header-logo header-logo

The calm before the storm

14 September 2012 / Eleanor Mumford-Smith , John Bramhall
Issue: 7529 / Categories: Features , Regulatory , Profession
printer mail-detail

Expect piggyback litigation in the wake of regulatory intervention warn John Bramhall & Eleanor Mumford-Smith

In a speech in 2005 in those halcyon days before the global financial crisis, Tony Blair (remember him?) described the Financial Services Authority (FSA) as being “hugely inhibiting of efficient business”. It was on the back of that sentiment that a light-touch regulatory regime took centre stage. However, the onset of the recession changed all that, as serious weaknesses in this approach to regulation were exposed. Regulators resolved to ensure transparency in the markets with a more interventionist approach, and a number of high-profile investigations have followed. Off the back of each new investigation, whether into PPI or CDS mis-selling, there has been a wave of litigation brought by disgruntled clients against financial institutions and related professionals.

LIBOR litigation

One of the most recent examples is the £290m fine imposed on Barclays for misconduct in relation to LIBOR, which has the potential to trigger a raft of litigation in the UK, as well

If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Birketts—trainee cohort

Birketts—trainee cohort

Firm welcomes new cohort of 29 trainee solicitors for 2025

Keoghs—four appointments

Keoghs—four appointments

Four partner hires expand legal expertise in Scotland and Northern Ireland

Brabners—Ben Lamb

Brabners—Ben Lamb

Real estate team in Yorkshire welcomes new partner

NEWS
Robert Taylor of 360 Law Services warns in this week's NLJ that adoption of artificial intelligence (AI) risks entrenching disadvantage for SME law firms, unless tools are tailored to their needs
The Court of Protection has ruled in Macpherson v Sunderland City Council that capacity must be presumed unless clearly rebutted. In this week's NLJ, Sam Karim KC and Sophie Hurst of Kings Chambers dissect the judgment and set out practical guidance for advisers faced with issues relating to retrospective capacity and/or assessments without an examination
Delays and dysfunction continue to mount in the county court, as revealed in a scathing Justice Committee report and under discussion this week by NLJ columnist Professor Dominic Regan of City Law School. Bulk claims—especially from private parking firms—are overwhelming the system, with 8,000 cases filed weekly
Charles Pigott of Mills & Reeve charts the turbulent progress of the Employment Rights Bill through the House of Lords, in this week's NLJ
From oligarchs to cosmetic clinics, strategic lawsuits against public participation (SLAPPs) target journalists, activists and ordinary citizens with intimidating legal tactics. Writing in NLJ this week, Sadie Whittam of Lancaster University explores the weaponisation of litigation to silence critics
back-to-top-scroll