12 September 2025
Ceri Morgan, knowledge counsel at Herbert Smith Freehills Kramer LLP, analyses the Supreme Court’s landmark decision in Johnson v FirstRand Bank Ltd, which reshapes the law of fiduciary relationships and common law bribery
The judgment restores orthodoxy, confirming that dealer brokers arranging motor finance do not owe fiduciary duties to customers, and undisclosed commissions do not constitute bribes without such a relationship.
However, the court upheld Mr Johnson’s claim under s 140A of the Consumer Credit Act 1974, finding the lender’s relationship unfair due to undisclosed commissions and lack of transparency.
Morgan highlights the judgment’s impact on consumer protection, commercial certainty, and the evolving regulatory landscape.
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