Pemberton Greenish LLP v Henry

Solicitor – Dishonesty. The Queen's Bench Division ruled, in respect of a subrogated claim brought by the claimant firm of solicitors (on behalf of its insurer), that, although the defendant, who had acted as a consultant solicitor for the claimant, had committed various breaches of the Money Laundering Regulations 2007, SI 2017/2157, in respect of legal services provided to joint clients in relation to the provision of a mortgage on an investment property (the transaction), there was no sufficiently cogent evidence that the claimant's losses, following the discovery of a fraud concerning the transaction, had been caused as a result of the dishonest acts or omissions of the defendant. The court held that the breaches were not evidence of dishonesty by the defendant, but had been due to her desire to complete the transaction as swiftly as possible.

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