Wednesday 30th May 2007
The current account charges case brought against NatWest by barrister Tom Brennan could receive a judgment at any time, the claimant advises.
Following the completion of the initial hearing on Tuesday, May 22nd, the judge is now expected to rule on whether the case may proceed to court.
Mr Brennan asserts that the ruling will not represent a declaration of whether NatWest acted lawfully in imposing some £2,500 in bank charges on his current account, but will determine whether the case may proceed to trial.
If it were to go to court, Mr Brennan explains that he would be seeking exemplary damages in addition to recovering the charges themselves.
As such, he could stand to receive more in damages than was initially taken from his account via the charges imposed by NatWest.
The barrister explains on his personal website: "Exemplary damages, also known as punitive damages, are rarely awarded under English law, although they can be awarded where a defendant has acted unlawfully in order to make a profit.
"They are intended to punish a defendant and to deter them from acting that way in future."
He adds that his claim for punitive damages is based on the fact that at times when charges had been deducted from his current account, he was left unable to purchase food or pay bills.
According to Mr Brennan, charges of up to £38 are imposed by NatWest when a direct debit or standing order is refused.
But he claims the actual cost to the bank is closer to £2.50 and that, as such, the penalties are disproportionate and unfair.
In addition to punitive damages, the barrister is seeking interest on funds deducted from his current account at the standard rate of eight per cent.
The news follows the resolution of a previous case in which Lloyds TSB was deemed to have acted appropriately in charging its customer Kevin Berwick £2,000 for entering an unauthorised overdraft.
©
