Bank

The Court of Appeal allowed the claimant bank’s appeal against the judge’s decisions, upholding the defendant Italian local authority’s defences to claimant’s claim for money owing under interest rate swap. The defendant had had capacity to enter the swaps, its financial defences failed, as the mandatory rules of Italian law had no application to the swaps and it had not been entitled to counterclaim for damages on the basis of a statutory tort arising from the claimant’s alleged breaches of its obligations.