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A few years ago I lodged a complaint with the FOS.
Several counts of maladministration were found against the Bank, however one single issue that was decided in the Banks favour was wrong on a point of law.
Needless to say I rejected the FOS decision in favour of taking other action.
Over the years I've continued to challenge this one point. Earlier this year I wrote to the Ombudsman and asked them to identify the legislation they relied on in making the erroneous decision.
FOS failed to identify the statute and went on to say-
"We are able to state the above because of what we know about general banking practice from many years dealing with complaints by customers against banks"
It appears that when determining a complaint Section 228(2) of the Financial Services and Markets Act 2000 requires the ombudsman to have reference to what was, in his opinion, 'fair and reasonable' in all the circumstances of the case. The FOS does not have to make a decision in accordance with English law,
Rules of the FOS scheme require it, in considering what would be fair and reasonable, to take into account a list of factors, including relevant law; regulatory rules, guidance and standards; and, where appropriate, what was considered to have been good industry practice at the relevant time.
Several counts of maladministration were found against the Bank, however one single issue that was decided in the Banks favour was wrong on a point of law.
Needless to say I rejected the FOS decision in favour of taking other action.
Over the years I've continued to challenge this one point. Earlier this year I wrote to the Ombudsman and asked them to identify the legislation they relied on in making the erroneous decision.
FOS failed to identify the statute and went on to say-
"We are able to state the above because of what we know about general banking practice from many years dealing with complaints by customers against banks"
It appears that when determining a complaint Section 228(2) of the Financial Services and Markets Act 2000 requires the ombudsman to have reference to what was, in his opinion, 'fair and reasonable' in all the circumstances of the case. The FOS does not have to make a decision in accordance with English law,
Rules of the FOS scheme require it, in considering what would be fair and reasonable, to take into account a list of factors, including relevant law; regulatory rules, guidance and standards; and, where appropriate, what was considered to have been good industry practice at the relevant time.
