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Post by masquedefer on May 9, 2019 10:23:04 GMT
If Lendy were to stop trading could we investors recover the legal right to pursue recovery of defaulted loans ourselves? Eg as a cooperative.
Are there any reasonable grounds that already exist to repudiate our agency agreement with Lendy to enable investors to do this now? Eg Lendy failed to act competently/properly as our agent, unfair agency contractual terms, misselling, conflict of interest, other........
Is there is a case for Lendy investors to ditch Lendy and use their own expertise to recover loans or appoint competent experts? Would be worthwhile for one investor to pursue a test case for Surveyor negligence claim through the small claims court. Would Lendy stop us?
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sl75
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Post by sl75 on May 9, 2019 11:18:06 GMT
As with all regulated P2P platforms, Lendy is required to have wind-down operations in place including a backup service provider.
Edit: curiously, I see that this was updated "23 days ago" - around the same time the "banking issues" started... co-incidence?
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trevor
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Post by trevor on May 9, 2019 11:44:16 GMT
Given the complexity of any possible case I can't see how a claim would be accepted in the small claims court. £10k max. And you 'd be up against LB 's lawyers. Good luck with that!
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Post by masquedefer on May 9, 2019 11:49:45 GMT
As with all regulated P2P platforms, Lendy is required to have wind-down operations in place including a backup service provider.
Edit: curiously, I see that this was updated "23 days ago" - around the same time the "banking issues" started... co-incidence?
I am aware that our agency agreement with Lendy provides for this. However if Lendy fails we could avoid this prospect if we can establish that this very same agency agreement is legally flawed and can be repudiated. Interesting point you make about the recent change. I wonder what was amended?
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Post by masquedefer on May 9, 2019 11:56:03 GMT
Given the complexity of any possible case I can't see how a claim would be accepted in the small claims court. £10k max. And you 'd be up against LB 's lawyers. Good luck with that! Lendy is simply our Agent. Each lender has a separate loan contract with the borrower. If our Agency agreement with Lendy can be repudiated or otherwise legally set aside, each individual lender can pursue a claim against the Surveyor. I think one test case in the small claims court by a lender with less than £10k invested against a Surveyor would set a precedent and the Surveyor's PI would pay up when every other investor wades in afterwards with their claim.
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iRobot
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Post by iRobot on May 9, 2019 11:57:11 GMT
Given the complexity of any possible case I can't see how a claim would be accepted in the small claims court. £10k max. And you 'd be up against LB 's lawyers. Good luck with that! I think the intention was that one lender - whose losses on a single loan were under £10k (the majority, I suspect) - would pursue the Valuer for faulty valuation in the SCC for the amount of their individual loss. My question would be whether the SCC could competently adjudicate on such a case, or whether it would need to be referred to a higher court - with all the associated costs and tribulations.
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Post by masquedefer on May 9, 2019 12:09:51 GMT
Given the complexity of any possible case I can't see how a claim would be accepted in the small claims court. £10k max. And you 'd be up against LB 's lawyers. Good luck with that! I think the intention was that one lender - whose losses on a single loan were under £10k (the majority, I suspect) - would pursue the Valuer for faulty valuation in the SCC for the amount of their individual loss. My question would be whether the SCC could competently adjudicate on such a case, or whether it would need to be referred to a higher court - with all the associated costs and tribulations. I believe the Civil Procedure Rules allow for a claim to be sent upto a higher court if it involves multiple similar claims. My point is that only one small investor would make a claim before Lendy does. I wonder if Lendy would even use their agency agreement to stop us from doing this? We each have a Loan agreement with the borrower and we reasonably relied on the Surveyor's report to lend money.
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Post by p2plender on May 9, 2019 12:14:55 GMT
What, Lendy are still trading?
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adrianc
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Post by adrianc on May 9, 2019 13:23:43 GMT
As with all regulated P2P platforms, Lendy is required to have wind-down operations in place including a backup service provider.
Edit: curiously, I see that this was updated "23 days ago" - around the same time the "banking issues" started... co-incidence?
... Interesting point you make about the recent change. I wonder what was amended? That page isn't cached on either Google or archive.org, so no easy way to find out.
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sl75
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Post by sl75 on May 9, 2019 14:45:54 GMT
What, Lendy are still trading? 2 new tranches of DFL034 and DFL037 in the pipeline would seem to imply so.
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Post by aquila99 on May 10, 2019 9:18:19 GMT
After asking ly for assurances on there efforts regarding recoveries, my reply states :
"CEO and the core team understand your frustrations and are focussing on recovering non performing loans and have made the business decision not to originate new loans in the near future to enable the team to concentrate on the recoveries process"
This suggested that ly are clearly not trading in the fullest sense. If can only be a matter of time before it all seizes up with no new cash being generated.
I would like think the current Fca restrictions are there to protect lenders, and hence influence a wind down (which I am sure will come) fairly in favour of lenders.
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Post by masquedefer on May 10, 2019 9:29:19 GMT
After asking ly for assurances on there efforts regarding recoveries, my reply states : "CEO and the core team understand your frustrations and are focussing on recovering non performing loans and have made the business decision not to originate new loans in the near future to enable the team to concentrate on the recoveries process" This suggested that ly are clearly not trading in the fullest sense. If can only be a matter of time before it all seizes up with no new cash being generated. I would like think the current Fca restrictions are there to protect lenders, and hence influence a wind down (which I am sure will come) fairly in favour of lenders. I have to point out aquilla99 only registered to join this BB yesterday (09/05/2019).
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Post by loftankerman on May 10, 2019 11:14:18 GMT
After asking ly for assurances on there efforts regarding recoveries, my reply states : "CEO and the core team understand your frustrations and are focussing on recovering non performing loans and have made the business decision not to originate new loans in the near future to enable the team to concentrate on the recoveries process" This suggested that ly are clearly not trading in the fullest sense. If can only be a matter of time before it all seizes up with no new cash being generated. I would like think the current Fca restrictions are there to protect lenders, and hence influence a wind down (which I am sure will come) fairly in favour of lenders. I have to point out aquilla99 only registered to join this BB yesterday (09/05/2019). We have to forgive our new arrival for not posting this in the positive thread. I nonetheless find it most uplifting.
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Post by aquila99 on May 10, 2019 18:55:53 GMT
I have clearly stepped outside accepted forum etiquette, but dont fully understand how/why. Can you explain as I am not only new this thread but forums in general. Hoping for a more friendly experience than when I ventured into such 10 years ago! I just wanted to share my response as it seems a clear indication that ceasing to trade can't be far away given FCA restrictions as no new business.
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jane
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Post by jane on May 10, 2019 19:03:44 GMT
I have clearly stepped outside accepted forum etiquette, but dont fully understand how/why. Can you explain as I am not only new this thread but forums in general. Hoping for a more friendly experience than when I ventured into such 10 years ago! I just wanted to share my response as it seems a clear indication that ceasing to trade can't be far away given FCA restrictions as no new business. Don't worry about it. A lot of paranoid and suspicious people on this forum.
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