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Credit Lyonnais Bank Nederland NV v Burch

Language: English Series: New Law Journal ; [1996] NLJ 1421-1422(2)Publication details: 1996Subject(s): Summary: CA 20 June 1996. A junior employee was unduly influenced by her employer to mortgage her flat in order to increase the businesses overdraft limit. When the company went into liquidation the bank was unable to recoup the total sum and demanded the outstanding sum, £60,000, from the defendant. Appeal by bank dismissed. Held that the transaction was invalid and the bank must have known that no competent solicitor could advise the defendant to enter into such a guarantee as she did.
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Law report London Journal article ABS56010 (Browse shelf(Opens below)) 1 Available 20405-1001

CA 20 June 1996. A junior employee was unduly influenced by her employer to mortgage her flat in order to increase the businesses overdraft limit. When the company went into liquidation the bank was unable to recoup the total sum and demanded the outstanding sum, £60,000, from the defendant. Appeal by bank dismissed. Held that the transaction was invalid and the bank must have known that no competent solicitor could advise the defendant to enter into such a guarantee as she did.