Property Developers v Bank

Even in a case where limitation was approaching and where the defendant was a financial institution, Harbour’s funding and introduction of a leading law firm led to a successful outcome for the claimants.

Background

The claimant property developers had banking arrangements with the defendant bank which required two signatories on any payment instructions made in relation to their  bank account. Despite this, the bank permitted monies to leave the account with just one signature, causing significant losses to the claimants (the funds were fraudulently funnelled away from the business to a dishonest partner). These losses ultimately led to the insolvency of the property development companies, which as a result could not afford to pursue the bank for breach of mandate.

Harbour’s funding

In addition to funding, at the claimant’s request Harbour assisted with the introduction of a first class legal team which undoubtedly had a beneficial impact on the prosecution of the claim.

Outcome

Just 12 months after Harbour commenced funding, the case was successfully mediated to a settlement. The legal team, the liquidator and the original directors of the company were delighted with the outcome.