Case details

Steel and another (Appellants) v NRAM Limited (Respondent) (Scotland)

Case ID: UKSC 2016/0111

Case summary

Issues
  1. Whether the majority of the Extra Division correctly interpreted and applied the law relative to the existence of a duty of care or whether the majority have developed a new test; and
  2. Whether the majority of the Extra Division exceeded the scope of their appellate jurisdiction.
Facts

The first appellant is a solicitor. The respondent was formerly incorporated under the name Northern Rock (Asset Management) Plc. The respondent granted loan facilities to Headway Caledonian Limited ("HCL") in relation to its purchase of four commercial units at Cadzow Business Park in Hamilton, in return for which HCL granted the respondent security over the properties. The first appellant was at the material time instructed as HCL’s solicitor. Following an email sent by the first appellant, the respondent discharged the entire security at a stage when it ought to have been left in place in relation to two of the units. The respondent says that this was due to negligent misstatements for which the appellants should be held responsible. HCL has since gone in to liquidation and the respondent says that there is little or no prospect of their recovering the outstanding loan amount. The respondent claims for its losses from the appellants.

Judgment appealed

[2016] CSIH 11

Parties

Appellants
  1. Jane Steel
  2. Bell & Scott LLP
Respondent

NRAM Limited

Appeal

Justices

Lady Hale, Lord Wilson, Lord Reed, Lord Hodge, Lady Black

Hearing start date

07 Nov 2017

Hearing finish date

07 Nov 2017

Watch hearing
07 Nov 2017 Morning session Afternoon session