Acceptance Of Settlement Offer As Part Of IRHP Review Precluded Subsequent Claim For Consequential Loss

Cameron Developments (UK) Limited v. National Westminster Bank Plc [2017] EWHC 1884 (QB)

In July, HHJ Moulder struck out a claim by a property developer (Cameron), for consequential losses allegedly incurred as a result of entering into an interest rate swap. The sale of the swap was reviewed as part of the Interest Rate Hedging Product (IRHP) review process conducted by the defendant bank (the Bank) (amongst other UK banks), pursuant to an agreement with the FCA. Having reviewed the sale of the swap, the Bank offered Cameron redress by way of an alternative product and a cash sum. Cameron was also invited to submit details of any claim it wished to make in relation to consequential losses not included in the initial offer of basic redress.

Cameron accepted the offer of basic redress. In doing so it acknowledged that acceptance represented "full and final settlement of any claims, liabilities, costs or demands that [it] may have against [the Bank] arising under or in any way connected with the sale of this IRHP as identified above. For the avoidance of doubt this applies to any past, present or future claims, actions, liabilities, costs or demands, regardless of whether or not you are aware of them at the date of this letter." Cameron subsequently submitted a claim to the Bank for consequential loss. The claim for consequential loss was rejected by the Bank.

Cameron subsequently made a claim for consequential loss in the courts. The claims brought by Cameron in the court proceedings alleged mis-selling...