Donna Breeze & Ors v TSB Bank PLC

Donna Breeze & Ors v TSB Bank PLC

TSB did not breach the express terms of the mortgage contracts by charging interest based on the Whistletree SVR; the contract permitted continuation of the original SVR post-transfer. The implied term restricting the exercise of discretion to vary interest rates applies as agreed by the parties. Section 140A(5) CCA 1974 precludes orders under s.140B(1) in relation to or quantified by reference to a regulated mortgage contract as the credit agreement, but does not prevent the court from considering a regulated mortgage as a related agreement when assessing unfairness or quantifying remedies in connection with the loan agreement; however, the court cannot make orders directly affecting the...

Parties
Claimants: Donna Breeze and the other individuals identified at Schedule 1 to the Re-Amended Claim Form; Defendant: TSB Bank PLC
Jurisdiction
England and Wales
Judgment Date
10 January 2024
Procedural Posture
Civil (group Litigation) / Judgment on Preliminary Issues
Outcome
Preliminary issues determined in favour of TSB on express terms; implied term agreed; CCA issue determined with partial success for both parties.
Legal Topics
Interpretation of Mortgage Contracts, Implied Terms in Contracts, Unfair Relationship Provisions Under Consumer Credit Act 1974, Remedies Under CCA 1974, Mortgage Prisoner Claims
Contract Law Consumer Credit Law Financial Regulation Interpretation of Mortgage Contracts Implied Terms in Contracts Unfair Relationship Provisions Under Consumer Credit Act 1974 Remedies Under CCA 1974 Mortgage Prisoner Claims

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 13 Party arguments 2 Amounts and remedies 3
Sign in to unlock

Parties

Donna Breeze and the other individuals identified at Schedule 1 to the Re-Amended Claim Form

Claimants

TSB Bank PLC

Defendant

Procedural Posture

Civil (group Litigation) / Judgment on Preliminary Issues

Legal Issues

  1. 1 Whether TSB breached express terms of mortgage contracts by charging interest based on Whistletree SVR instead of TSB SVR
  2. 2 Whether an implied term restricts TSB's discretion to vary interest rates
  3. 3 Whether s.140A(5) Consumer Credit Act 1974 precludes orders under s.140B(1) in relation to or quantified by reference to regulated mortgage contracts, including as related agreements

Ratio Decidendi

TSB did not breach the express terms of the mortgage contracts by charging interest based on the Whistletree SVR; the contract permitted continuation of the original SVR post-transfer. The implied term restricting the exercise of discretion to vary interest rates applies as agreed by the parties. Section 140A(5) CCA 1974 precludes orders under s.140B(1) in relation to or quantified by reference to a regulated mortgage contract as the credit agreement, but does not prevent the court from considering a regulated mortgage as a related agreement when assessing unfairness or quantifying remedies in connection with the loan agreement; however, the court cannot make orders directly affecting the...

Court Disposition

Preliminary issues determined in favour of TSB on express terms; implied term agreed; CCA issue determined with partial success for both parties.

Orders

  • Declaration that TSB did not breach express terms by charging Whistletree SVR.
  • Approval of agreed implied term restricting discretion to vary interest rates.