Overview

Investors who have suffered loss through declining asset values are likely to investigate whether their contractual counterparty owed a duty of care to advise them as to the suitability of investments, and/or made actionable mis-representations or mis-statements.

On 1 November, the Court of Appeal handed down its decision in JP Morgan Chase Bank v Springwell Navigation Corp, which upheld the first instance decision of Mrs Justice Gloster and rejected Springwell’s claim for damages for losses arising out of investments purchased from the Defendant bank.

The events that led to the dispute took place in the latter part of the 1990’s, but the case is now the leading authority on mis-selling claims and will be essential reading for disappointed investors seeking to recoup losses arising out of the recent financial crisis. Macfarlanes has the details.