|
|
Post by skooldaze on Jun 27, 2019 7:37:00 GMT
Hi
Has anyone sued a p2p lending platform?
In my case, I feel this lending platform has not performed due diligence in accepting a borrower and perform the right amount of investigation even when things were highlighted to them
They have now washed their hands of it and replying on administrators to mop up the mess.
Can I instruct a solicitor with the purpose of the lending platform not "doing their job"
|
|
Greenwood2
Member of DD Central
Posts: 4,243
Likes: 2,686
Member is Online
|
Post by Greenwood2 on Jun 27, 2019 8:19:39 GMT
Hi Has anyone sued a p2p lending platform? In my case, I feel this lending platform has not performed due diligence in accepting a borrower and perform the right amount of investigation even when things were highlighted to them They have now washed their hands of it and replying on administrators to mop up the mess. Can I instruct a solicitor with the purpose of the lending platform not "doing their job" I think you would need professional advice, it's going to depend on the exact terms and conditions of using the platform and the contract with the borrower.
|
|
SteveT
Member of DD Central
Posts: 6,873 
Likes: 7,918
|
Post by SteveT on Jun 27, 2019 8:25:43 GMT
Anyone can attempt to sue anyone for anything. Winning is quite another matter, let alone winning enough to cover the legal expenses you'd incur in doing so.
Have you identified the precise element(s) of the platform T&Cs that you believe they have breached? Usually, P2P platform T&Cs make it rather clear that they take no responsibility for conducting borrower DD.
Have you already formally complained about this breach? Following the platform's own formal complaints procedure and then, if you're still not satisfied, escalating your complaint to the Financial Ombudsman Service is rather more likely to have a positive outcome. Also, it costs you nothing!
|
|
|
|
Post by skooldaze on Jul 1, 2019 14:54:53 GMT
"Usually, P2P platform T&Cs make it rather clear that they take no responsibility for conducting borrower DD."
Exactly this and the platform has virtually admitted they were deceived by the borrower and the loan is listed as being a sham in court. However, the arguement is that it was poor experience, judgement by the platform to lend to the borrower in the first place (when you understand the backstory) AND the platform were informed of borrowers concerned very early into the late payment stage.
It's felt that stepping in sooner would have averted the problem. My case would be that the platform did not do enough to mitigate this fraud
|
|
adrianc
Member of DD Central
Posts: 8,959
Likes: 4,794
|
Post by adrianc on Jul 1, 2019 15:59:32 GMT
Exactly this and the platform has virtually admitted they were deceived by the borrower and the loan is listed as being a sham in court. Let's not be cryptic. Are we talking FC's "short term" hotel? I guess we're not talking Ly, because launching a suit there would be a bit pointless, given the administration.
|
|
|
|
Post by skooldaze on Jul 1, 2019 16:22:08 GMT
Yes. Well I was trying not to risk getting a warning on here for listing things etc
I was meaning after the administrator case was finished, but I'm clueless on the approach which is why I'm asking
|
|
adrianc
Member of DD Central
Posts: 8,959
Likes: 4,794
|
Post by adrianc on Jul 1, 2019 16:28:19 GMT
I was meaning after the administrator case was finished, but I'm clueless on the approach which is why I'm asking After the administration's finished, Ly won't exist to sue.
|
|
|
|
Post by skooldaze on Jul 2, 2019 13:18:41 GMT
Yes I am talking FC (I don't know about Ly)
But yes taking on FC...
Any suggestions from anyone if this is a worthwhile task before I pay for legal advice
|
|
SteveT
Member of DD Central
Posts: 6,873
Likes: 7,918
|
Post by SteveT on Jul 2, 2019 13:21:26 GMT
Yes I am talking FC (I don't know about Ly) But yes taking on FC... Any suggestions from anyone if this is a worthwhile task before I pay for legal advice See here
|
|
pikestaff
Member of DD Central
Posts: 2,136
Likes: 1,484
|
Post by pikestaff on Jul 2, 2019 15:14:13 GMT
Yes I am talking FC (I don't know about Ly) But yes taking on FC... Any suggestions from anyone if this is a worthwhile task before I pay for legal advice See hereAgreed. And frankly, if you don't get redress from the FOS it's unlikely that you will get it through the courts. So save your money.
|
|
|
|
Post by skooldaze on Jul 3, 2019 7:25:34 GMT
Anyone can attempt to sue anyone for anything. Winning is quite another matter, let alone winning enough to cover the legal expenses you'd incur in doing so. Have you identified the precise element(s) of the platform T&Cs that you believe they have breached? Usually, P2P platform T&Cs make it rather clear that they take no responsibility for conducting borrower DD. Have you already formally complained about this breach? Following the platform's own formal complaints procedure and then, if you're still not satisfied, escalating your complaint to the Financial Ombudsman Service is rather more likely to have a positive outcome. Also, it costs you nothing! The T&C's have not breached in a clear manner and is open for interpretation. "responding to, and seeking to resolve, all complaints or disputes concerning Loan Contracts" can be marked under "We thought we did our best with what with the information we had at the time" 19. Our Liability To You 19.1. Subject to clause 19.2, we will be liable to you for any foreseeable loss or damage suffered by you as a result of: our negligence or wilful default; I would argue that this was issue was caused by their negligence. - Yes I have formally complained about the breach and have gone to FOS. This was a couple of years ago before it reached this stage. Both FC and FOS did not find any breach, but this was a couple of years ago with the situation changing.
|
|
SteveT
Member of DD Central
Posts: 6,873
Likes: 7,918
|
Post by SteveT on Jul 3, 2019 8:52:52 GMT
Yes I have formally complained about the breach and have gone to FOS. This was a couple of years ago before it reached this stage. Both FC and FOS did not find any breach, but this was a couple of years ago with the situation changing. Good luck trying to sue FC then! It would be throwing good money after bad, IMHO. I suggest you write it off to experience and move on. We all have loans where platforms should be ashamed ever to have launched them, but this is the Wild West of lending and we all (I hope) know the risks we're taking.
|
|
|
|
Post by skooldaze on Jul 4, 2019 14:14:54 GMT
Thanks
Yes I was wondering if anyone had similar experiences and were already in the progress.
|
|
