Litigation Recent Decisions 10/10/95

No duty owed by Scottish lenders to wives of borrowers

Mumford v Bank of Scotland: Smith v the same (1995).

First Division Inner House Court of Session (Lord Hope, Lord Weir and Lord Abernethy) 2/6/95.

Summary: No duty owed by bank in Scotland to require wife to seek independent advice before entering into a mortgage with her husband to secure his borrowing.

Appeals by reclaiming motion of two wives of debtors to the defender bank against dismissal of their actions to set aside mortgages of property owned in common with their husbands which had been charged to the defender as security for loans to the husbands.