LONDON (Reuters) -The United Kingdom's Supreme Court on Friday overturned a landmark ruling on car finance commissions after an appeal by two lenders in a judgment that had the potential to shape a
UK Supreme Court Reverses Decision on Car Finance Commissions for Banks
LONDON (Reuters) -The United Kingdom's Supreme Court on Friday overturned a landmark ruling on car finance commissions after an appeal by two lenders in a judgment that is set to ease the fears of banks about the extent of a redress scheme.
Supreme Court president Robert Reed said the car dealers who sold the vehicles and arranged the finance did not owe fiduciary duties to customers, reversing a surprise Court of Appeal ruling that sent shockwaves through the motor finance industry.
Reed said the Court of Appeal had "failed to understand that the dealer has a commercial interest in the arrangement between a customer and a finance company."
(Reporting by Sam TobinEditing by William Schomberg)
