Financial Services and Markets Act 2000, Schedule 17, paragraph 10

Exemption from liability in damages

SCHEDULE 17 The Ombudsman Scheme

10 (1)F3809 No person is to be liable in damages for anything done or omitted in the discharge, or purported discharge, of any functions under this Act in relation to the compulsory jurisdiction ....

(2) Sub-paragraph (1) does not apply—

(a) if the act or omission is shown to have been in bad faith; or

(b)M71 so as to prevent an award of damages made in respect of an act or omission on the ground that the act or omission was unlawful as a result of section 6(1) of the Human Rights Act 1998.

Definitions used in Schedule 17, paragraph 10

functions

(4) Neither section 2AB(3)(d) nor the definition of “functions” in paragraph 1 applies for the purposes of sub-paragraph (2).

Defined in Sch.1ZB para.31(4) · see it in the full Act

(2A) The functions referred to in sub-paragraph (1)(a) include functions of the FCA under the Competition Act 1998 or the Enterprise Act 2002 as a result of Part 16A of this Act ; but this sub-paragraph is not to be regarded as limiting the effect of the definition of “functions” in paragraph 1.

Defined in Sch.1ZA para.23(2A) · see it in the full Act

(4) Neither section 1A(6)(d) nor the definition of “functions” in paragraph 1 applies for the purposes of sub-paragraph (2).

Defined in Sch.1ZA para.23(4) · see it in the full Act

Cases considering Schedule 17, paragraph 10 (3)

iDealing.com Limited, R (on the application of) v Financial Ombudsman Service Limited

[2024] EWHC 847 (Admin) · 19 April 2024Limits

The court treated paragraph 10 of Schedule 17 as conferring immunity from damages for acts or omissions in the discharge or purported discharge of compulsory-jurisdiction functions, subject to bad faith and unlawful human-rights breaches. It reinforced the statutory distinction between the consumer scheme and the challenged voluntary scheme.

Kenneth Johnston v Financial Ombudsman Service

[2025] EWCA Civ 551 · 8 May 2025Limits

The lower court’s statutory-immunity ruling was described by reference to this paragraph. The Court of Appeal did not determine the scope of the immunity because the issue had been abandoned at the first appeal (see paras [16]-[20] and [70]).

Financial Ombudsman Service v Heather Moor & Edgecomb Ltd (Rev 1)

[2008] EWCA Civ 643 · 11 June 2008Limits

Confirms statutory immunity from damages for functions connected with the compulsory jurisdiction, subject to bad faith and Convention-right exceptions. (see para [32])

What each judgment says about Schedule 17, paragraph 10 is in the case-law panel in the full Act.

Explanatory note

855.The efficient operation of the scheme could be significantly disrupted if its actions were subject to frequent legal challenge.  This paragraph provides immunity for the scheme operator and its staff from actions for damages, similar to the immunity enjoyed by the Authority.

All the explanatory notes for the Act

Amendments and notes

6 notes from legislation.gov.uk

Amendments

  1. F3809Words in Sch. 17 para. 10(1) omitted (26.7.2013 for specified purposes, 1.4.2014 in so far as not already in force) by virtue of The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) (No. 2) Order 2013 (S.I. 2013/1881), arts. 1(2)(6), 10(21)(d)

Modifications

  1. C1711Sch. 17 para. 10(1) amended (19.7.2001 for specified purposes otherwise 1.12.2001) by S.I. 2001/2326, arts. 1(1), 13; S.I. 2001/3538, art. 2(1)
  2. C1712Sch. 17 para. 10(1) extended (31.10.2004 for certain purposes and 14.1.2005 otherwise) by The Financial Services and Markets Act 2000 (Transitional Provisions) (Complaints Relating to General Insurance and Mortgages) Order 2004 (S.I. 2004/454), arts. 1(2), 7
  3. C1713Sch. 17 para. 10(1) applied (with modifications) (E.W.S.) (29.11.2018 for specified purposes, 1.4.2019 in so far as not already in force) by The Financial Services and Markets Act 2000 (Claims Management Activity) Order 2018 (S.I. 2018/1253), arts. 1(2)(3), 76
  4. C1714Sch. 17 para. 10(1) applied (with modifications) (28.1.2021 for specified purposes, 30.7.2022 in so far as not already in force) by The Financial Services and Markets Act 2000 (Regulated Activities) (Amendment) Order 2021 (S.I. 2021/90), arts. 1(2)(3), 11

Marginal citations

  1. M711998 c. 42.