Financial Ombudsman's statutory powers: Successful High Court challenge by financial adviser firms

Abstract

Purpose

This paper aims to report and comment on a successful High Court challenge by financial advisory firms via the financial Ombudsman.

Design/methodology/approach

The paper's approach is to outline the facts and explain the decision.

Findings

Although the industry will welcome this decision, the FSA and the Ombudsman may not and the comments made by Mr Justice Lewison recognise what may be an eternal tension between “regulatory” redress schemes in the financial services industry and the courts and the common law.

Originality/value

The paper provides a useful commentary on a decision that has some considerable significance to the financial services industry.

Citation

Gray, J. (2007), "Financial Ombudsman's statutory powers: Successful High Court challenge by financial adviser firms", Journal of Financial Regulation and Compliance, Vol. 15 No. 4, pp. 487-491. https://doi.org/10.1108/13581980710835326