Advisers have largely supported a High Court decision to allow a couple to pursue their IFA firm for extra compensation, even though it had already paid them £100,000 following a Financial Ombudsman Service (FOS) decision.
They say the ruling in favour of Barry and Julie Clark against Focus Asset Management is a fair one if their losses are, as the couple claimed, far in excess of what they received via the FOS award and due to negligent advice. The High Court ruling conflicts with a previous judgement made in 2010 which ruled that investors who had successfully claimed at FOS could not sue their adviser. Now that there are two conflicting rulings, the issue will have to be decided at some point by the Court of Appeal, and its decision will be binding on itself and all lower courts. The FOS has clari...
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