Francesca Kaye, partner in the litigation team, and Mary Hodgson, solicitor in the litigation team, offer advice for solictiors pursued for breach of trust claims.
A number of lenders are seeking to reduce losses sustained after the sale of repossessed properties. This may be because solicitors are perceived to have deep pockets, but with no deduction for contributory negligence, breach of trust claims can also avoid close scrutiny of lending policies and mortgage applications.
Francesca and Mary look at recent decisions on the application of s 61 of the Trustee Act 1925, as well as consideration of what constitutes a breach of trust.
This article was first published in New Law Journal, May 2013.