Barclays wins the right to an appeal in key Libor legal case

 
Tim Wallace
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A MAJOR legal case linked to the Libor scandal will not reach court until next year after Barclays yesterday won the right to appeal a key part of the case.

Guardian Care Homes (GCH) is suing Barclays for £70m, arguing it was mis-sold an interest rate swap.

As part of the complaint, GCH says the swap was based on Libor and so should be ruled invalid.

But after another case brought by a Deutsche Bank customer was dismissed, Barclays has been allowed to take the case to the court of appeal in an effort to have the Libor part of the claim disallowed. The appeal hearing will take place this summer.

“This is a hugely opportunistic appeal by Barclays,” said GCH’s Gary Hartland. “That Barclays lodged it five months after the decision by the High Court for Barclays to face a claim of fraudulent mis-representation, and prompted by a case with a different set of circumstances, hints at a last throw of the dice by a business desperate to avoid facing justice.”

Barclays disputes the case, arguing GCH was a sophisticated investor with substantial financial expertise.