Couple settle legal battle with Lloyds

A couple who successfully sued Lloyds Bank for negligence after a failed property development lost them money claimed yesterday to have won the final round of a seven-year legal battle. Julia Verity and Richard Spindler, who made legal history when the High Court ruled against Lloyds two years ago, said yesterday they had settled out of court a counter-claim by the bank.

The couple, an acupuncturist and teacher who already owned two houses when they took out a mortgage at the height of the late 1980s property boom, were awarded pounds 77,500 damages in September 1995. The court ruled Lloyds had been negligent in advising them to buy a third property with a view to renovating it just before the housing market crashed.

They then faced bankruptcy six months later when, in a separate case, Lloyds was successful in a counter-claim against the couple to recover pounds 104,000, after they had failed to service the debt on the investment property. The award included the outstanding loan on the property and other business and personal loans they had taken out with Lloyds.

The settlement announced yesterday followed an appeal by the couple against the counter-claim on the basis that the original pounds 77,500 award had been incorrectly calculated. Specifically, they said, it did not take into account a loss incurred by the couple when they sold one of their two existing properties to help pay their losses.

They said yesterday: "The overall effect of the two High Court judgments was that we owed the bank more money despite having proved that the bank's advice was negligent."

The settlement is understood to have drawn a line under the remaining debt owed by the couple to Lloyds. They said yesterday: "We are very glad and relieved that it is all over. It has been a long, arduous and perilous journey through the legal process."

Lloyds Bank, which admitted it was constrained in what it could say about the case because of client confidentiality agreements, said: "We are very glad Mr Spindler and Mrs Verity have dropped their appeal and agreed to an out-of-court settlement. The bank has always made strenuous efforts to reach an out-of-court settlement with the couple."

Mr Spindler, 38, and Mrs Verity, 57, are now understood to be living together in Henley-on-Thames but to have decided to separate. In a joint statement, they added: "It is nine years since the negligent advice and our lives have been totally disrupted by being in such insurmountable debt."

When the first award was made against Lloyds there was speculation it would open a floodgate of claims against banks from people who had taken a gamble on the housing market only to see their investments turn sour as prices fell.

PROMOTED VIDEO
Arts and Entertainment
Judi Dench appeared at the Hay Festival to perform excerpts from Shakespearean plays
tvJudi Dench and Hugh Bonneville join Benedict Cumberbatch in BBC Shakespeare adaptations
Life and Style
fashion David Beckham fronts adverts for his underwear collection
Arts and Entertainment
Exhibition at the Centre Pompidou in Metz - 23 May 2012
art
News
i100Most young people can't
Sport
Is this how Mario Balotelli will cruise into Liverpool?
football
Arts and Entertainment
Alfred Molina, left, and John Lithgow in a scene from 'Love Is Strange'
film
News
ebooksAn evocation of the conflict through the eyes of those who lived through it
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Head of Service and Support (Financial Services, ITIL, ORC, TT)

£75000 per annum: Harrington Starr: Head of Service and Support (Financial Ser...

Calypso Developer

£700 per day: Harrington Starr: Calypso Developer Java, Calypso, J2EE, JAXB, ...

Service Delivery Manager - ITIL / ServiceNow / Derivatives

£60000 - £75000 per annum: Harrington Starr: A leading Financial Services orga...

Senior Quantitative Developer

£700 per day: Harrington Starr: Quantitative Developer C++, Python, STL, R, PD...

Day In a Page

Middle East crisis: We know all too much about the cruelty of Isis – but all too little about who they are

We know all too much about the cruelty of Isis – but all too little about who they are

Now Obama has seen the next US reporter to be threatened with beheading, will he blink, asks Robert Fisk
Neanderthals lived alongside humans for centuries, latest study shows

Final resting place of our Neanderthal neighbours revealed

Bones dated to 40,000 years ago show species may have died out in Belgium species co-existed
Scottish independence: The new Scots who hold fate of the UK in their hands

The new Scots who hold fate of the UK in their hands

Scotland’s immigrants are as passionate about the future of their adopted nation as anyone else
Britain's ugliest buildings: Which monstrosities should be nominated for the Dead Prize?

Blight club: Britain's ugliest buildings

Following the architect Cameron Sinclair's introduction of the Dead Prize, an award for ugly buildings, John Rentoul reflects on some of the biggest blots on the UK landscape
eBay's enduring appeal: Online auction site is still the UK's most popular e-commerce retailer

eBay's enduring appeal

The online auction site is still the UK's most popular e-commerce site
Culture Minister Ed Vaizey: ‘lack of ethnic minority and black faces on TV is weird’

'Lack of ethnic minority and black faces on TV is weird'

Culture Minister Ed Vaizey calls for immediate action to address the problem
Artist Olafur Eliasson's latest large-scale works are inspired by the paintings of JMW Turner

Magic circles: Artist Olafur Eliasson

Eliasson's works will go alongside a new exhibition of JMW Turner at Tate Britain. He tells Jay Merrick why the paintings of his hero are ripe for reinvention
Josephine Dickinson: 'A cochlear implant helped me to discover a new world of sound'

Josephine Dickinson: 'How I discovered a new world of sound'

After going deaf as a child, musician and poet Josephine Dickinson made do with a hearing aid for five decades. Then she had a cochlear implant - and everything changed
Greggs Google fail: Was the bakery's response to its logo mishap a stroke of marketing genius?

Greggs gives lesson in crisis management

After a mishap with their logo, high street staple Greggs went viral this week. But, as Simon Usborne discovers, their social media response was anything but half baked
Matthew McConaughey has been singing the praises of bumbags (shame he doesn't know how to wear one)

Matthew McConaughey sings the praises of bumbags

Shame he doesn't know how to wear one. Harriet Walker explains the dos and don'ts of fanny packs
7 best quadcopters and drones

Flying fun: 7 best quadcopters and drones

From state of the art devices with stabilised cameras to mini gadgets that can soar around the home, we take some flying objects for a spin
Joey Barton: ‘I’ve been guilty of getting a bit irate’

Joey Barton: ‘I’ve been guilty of getting a bit irate’

The midfielder returned to the Premier League after two years last weekend. The controversial character had much to discuss after his first game back
Andy Murray: I quit while I’m ahead too often

Andy Murray: I quit while I’m ahead too often

British No 1 knows his consistency as well as his fitness needs working on as he prepares for the US Open after a ‘very, very up and down’ year
Ferguson: In the heartlands of America, a descent into madness

A descent into madness in America's heartlands

David Usborne arrived in Ferguson, Missouri to be greeted by a scene more redolent of Gaza and Afghanistan
BBC’s filming of raid at Sir Cliff’s home ‘may be result of corruption’

BBC faces corruption allegation over its Sir Cliff police raid coverage

Reporter’s relationship with police under scrutiny as DG is summoned by MPs to explain extensive live broadcast of swoop on singer’s home