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When is default interest too much in a loan agreement? – Houssein v London Credit Ltd [2025]

When is default interest too much in a loan agreement? – Houssein v London Credit Ltd [2025]

The High Court has ruled in Houssein v London Credit Ltd [2025] EWHC 2749 (Ch) that a 4% monthly default interest rate on a property loan was enforceable and not a penalty. The case is a key win for private and non-bank lenders, confirming that strong default clauses can stand if they reflect genuine commercial risk. If you lend secured funds for property deals, make sure your facility or loan agreements are properly drafted and commercially justified. Steven Mather Solicitor advises on facility agreements, loan agreements and secured lending documentation.

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“Good faith” really does matter in contracts – Saxon Woods v Costa – Spring Media case

What is Good Faith in contracts? The Court of Appeal’s decision in Saxon Woods Investments Ltd v Costa shows how seriously courts take good faith obligations in shareholders’ agreements. The case involved an unfair prejudice petition where a director delayed a promised company sale, breaching both the agreement and his duties to minority shareholders.

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When helping a friend turns into breaching a non-compete – Spill Bidco Ltd v Wishart [2025]

When helping a friend turns into breaching a non-compete – Spill Bidco Ltd v Wishart [2025]

When you sell your business, your non-compete clause might stop you doing more than you think. In Spill Bidco Ltd v Wishart, a seller who funded and advised friends’ new ventures was found to have been concerned in competing businesses – breaching a standard non-compete clause. The case shows that even lending money or helping out informally after a sale can cross the line.

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The $1.7m deal by WhatsApp and Email – what every business needs to know about contract formation in the digital age

The $1.7m deal by WhatsApp and Email – what every business needs to know about contract formation in the digital age

Can a WhatsApp message create a legally binding contract? In DAZN v Coupang, the Court of Appeal said yes – a USD1.7m broadcasting deal was sealed by email and messages, even without a signed agreement. This case is a warning for business owners: contracts can be formed before paperwork is signed. Learn the key lessons on “subject to contract”, urgent deals, and how courts treat informal communications.

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Buying or selling a ‘book of business’ or client bank – how it really works

Buying or selling a ‘book of business’ or client bank – how it really works

hinking of buying or selling a book of business or client bank? Whether you’re an IFA, accountant, insurance broker or other professional – many advisers misunderstand what is really being transferred. Clients are not generally “owned” – what changes hands is goodwill, client records and the right to earn ongoing fees. In this guide I explain how client bank sales work in practice, how valuations are calculated, and what risks buyers and sellers need to watch out for.

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Sarah Thompson

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