Sonia Tolaney Call 1995; MA Jurisprudence (Oxon) E-mail: stolaney@3vb.com

Named as Banking and Finance Junior of the Year (Chambers & Partners' Bar Awards 2007) and recognised as one of the leading juniors at the commercial bar, Sonia is regularly instructed to act in complex commercial litigation and arbitration. She has been consistently rated by the legal directories as a leading junior in several practice areas (ranked in the top tier) and is described as a "market-acknowledged star.. who is invariably involved in the Commercial Court's most important proceedings" (Chambers & Partners 2008).

She is noted, in particular, for her "tenacity", "intense brightness" and "great tactical sense and litigation ability" (Chambers and Partners 2007).

Over the last few years, Sonia has acted in a number of landmark commercial, banking, fraud and insolvency disputes including (recently) the appeal to the House of Lords in OFT v Lloyds TSB Bank plc (overseas use of credit cards), the high-profile dispute between British Energy and Credit Suisse over the Eggborough Power Station, the Boxclever litigation and litigation concerning the demise of the former Arrows Formula One team.

Sonia also has significant experience of professional negligence/indemnity and insurance disputes. She acted for some of the executive directors in the litigation brought by the Equitable Life Assurance Society against its former directors.

Currently Sonia is acting in the much-publicised "Bank Charges" litigation and is also involved in a number of "credit-crunch" related disputes and financial advisory work. She is also instructed to act for JPMorgan (in the sister action to JPMorgan v Springwell) in relation to claims arising out of alleged investment advice in the sale of emerging markets debt instruments.

Sonia has wide advocacy experience and is recognised as "a clever and persuasive advocate... who is excellent on her feet and now 'a big name'.. 'she is very much a star whose ascent through the ranks will be rapid'" (Legal 500 2007/2008)

Main Practice Areas

• Commercial litigation, arbitration and mediation, advisory work.
• Domestic and international banking (including all aspects of credit and security
• Financial Services
• Corporate and personal insolvency.
• Domestic and international commercial fraud and asset tracing.
• Insurance and reinsurance.
• Professional negligence.

Commercial Litigation and Arbitration

Sonia has extensive experience of substantial and complex contractual / commercial disputes. She has been identified by Chambers and Partners and the Legal 500 as a leading junior in this field for some time. Last year she was nominated by Chambers & Partners as the "Commercial Litigation Junior of the Year" (Chambers & Partners Bar Awards 2006).

She is noted for her "charm, skill and ability". "As well as being 'a fluid and able communicator, she writes well' and has 'an excellent client manner, she's personable and well known' " (Legal 500 2007/2008).

Current instructions (2007) include:

• OFT v Abbey National & Ors. Instructed by Slaughter and May to act for Nationwide Building Society in the much publicised bank charges litigation commenced by the Office of Fair Trading against eight major banks to determine whether bank charges levied on unauthorised overdrafts by each of the banks contravene the requirements of consumer protection legislation. Preliminary issues heard by Andrew Smith J in January 2008.
  
  
• Instructed by Freshfields in a sizeable arbitration arising out of the mismanagement of hedge fund investments and the mispricing of securities.
  
  
• Instructed by Linklaters in a substantial contractual / IT dispute.
  

• Office of Fair Trading v Lloyds TSB Bank and others [2007] UKHL 48, HL: Lord Hoffman, Lord Hope of Craighead, Lord Walker of Gestingthorpe, Lord Brown of Eaton-under-Heywood and Lord Mance; 31 October 2007. Instructed by Lovells and SJ Berwin (jointly) to appear in the House of Lords to represent Lloyds Bank and Tesco Personal Finance (as representative defendants for the UK Credit Card Industry). The case determined that overseas use of credit cards will attract the same protection as domestic usage (pursuant to section 75 of the Consumer Credit Act).
  
  
• British Energy v Credit Suisse & Ors [2007] EWHC 1428 (Comm). Acted for Credit Suisse (instructed by Linklaters) in the dispute over the Eggborough Power Station. The case involved complex issues arising from the securitisation of British Energy.
  
  
• Haller v Deutsche Bank (Commercial Court). Acted for Deutsche Bank in a sizeable commercial/banking dispute (2006/7) arising in the context of debt arbitrage trading activities. Instructed by Slaughter and May.
  
  
• IXIS v Corporate & Investment Bank v WestLB AG & ors. Substantial Commercial Court proceedings arising out of the collapse of the Box Clever Group. Claims in negligence and deceit relating to the securitisation of receivables. Instructed by Lovells.
  
  
• Equitable Life Assurance Society v Bowley & Others. High profile claim by the Society against its former directors for breach of fiduciary duty and negligence. Sonia acted for two of the former executive directors and was instructed by Fox Williams.
  
  
• Kensington International Ltd v the Republic of Congo (Commercial Court), [2005] EWHC 2684 (Comm). Substantial third party debt proceedings brought by Kensington against the Congo, involving issues of piercing the corporate veil, defrauding creditors and sham transactions. Instructed by Dechert.
  
  
• Banco Santander e Acores SA v JPMorgan Chase (Commercial Court). Claim for US$21m (approx) alleged to be due under a swap transaction.Issues of construction, commercial purpose and unilateral mistake. Instructed by Allen & Overy.



• Morgan Grenfell & others v Arrows Autosports Limited & others. High profile litigation involving the demise of the former Arrows formula one team. Commercial and contractual dispute about the repayment of monies owed by Arrows to Morgan Grenfell.Instructed by Slaughter & May.
  • Interlocutory hearing before Lightman J (Judgment 4.7.02 [2002] EWHC 1329).
  • Trial before Pumfrey J [2003] All ER (D) 417.
  • Further trial on the construction and scope of an indemnity given by Tom Walkinshaw before Lindsay J [2004] All ER (D) 76.

• Involved in football finance litigation arising from the terms of a business sale and purchase agreement. Breach of warranty dispute. Instructed by Lovells.
  
  
• Kolon v Government of Ghana (Commercial Court). Sonia acted for Kolon UK in relation to the enforcement of arbitration awards obtained against the Government of Ghana. State immunity issues. Instructed by Holman Fenwick & Willan.
  
  
• Acorncrest v Natwest [2003] All ER (D) 82. Commercial and banking dispute. Construction of security, condition precedent and estoppel. Successful summary judgment application before Neuberger J. Instructed to act for NatWest by DLA.
  
  
• Royal Bank of Scotland v XL Insurance (Commercial Court). Credit Default Swap Transaction. Claim for rectification and/or contractual relief. Instructed by Allen & Overy.
  

Financial work: Banking, Financial Services, Insolvency, Corporate Restructuring

Banking and Financial Services: Awarded "Banking Junior of the Year" (Chambers & Partners Bar Awards 2007) Sonia has been recognised as one of the leading juniors in this field for some years now and has been involved in a number of high profile banking cases. She is rated by both Chambers and Partners and the Legal 500 in the top tier of leading juniors.

She is regularly instructed in major domestic and international banking disputes (including all aspects of credit and security): banker-customer and inter-bank disputes, cases relating to sovereign and central bank debt, matters involving the taking and enforcement of security, guarantees, bills of exchange, letters of credit, standbys, bonds, derivatives, swaps, options, letters of comfort, triple cocktails, conversion claims, prime bank instrument fraud; freezing injunctions and equitable claims/remedies. She is also the author of a chapter on Letters of Credit, Bonds, Standbys in McKendrick, Sale of Goods (2000) and the Assistant Editor of the Banking Encyclopedia (Lexis/Nexis, Butterworths). She is also currently involved in some significant financial services work.

"Clients love her ....she is "independent-minded and incisive, but always constructive in seeking a resolution to a case" (Chambers & Partners 2008, Banking and Finance).

Sonia "inspires confidence in top City instructing solicitors and clients. All agreed that 'she is incredibly bright and knows the law while also being a grounded personality" (Chambers and Partners, Banking and Finance 2007).

Insolvency and Corporate Restructuring: Sonia acts for and against liquidators, receivers, and trustees in bankruptcy, and has recently been involved in restructuring work.

Current Instructions (2008) include:

• OFT v Abbey National & Ors. Instructed by Slaughter and May to act for Nationwide Building Society in the much publicised bank charges litigation commenced by the Office of Fair Trading against eight major banks to determine whether bank charges levied on unauthorised overdrafts by each of the banks contravene the requirements of consumer protection legislation. Preliminary issues heard by Andrew Smith J in January 2008.
  
  
• Instructed by Freshfields in a sizeable dispute arising out of the mismanagement of hedge fund investments and the mispricing of securities.
  
  
• JP Morgan Chase v. Pollux Holdings Limited. Instructed by Clifford Chance to act for JPMorgan in this similar action to the ongoing Springwell litigation involving claims arising out of alleged investment advice in the sale of emerging markets debt instruments.

• Office of Fair Trading v Lloyds TSB Bank plc and others, appeal to House of Lords (application of s75 Consumer Credit Act to credit card transactions overseas). Jointly instructed by Lovells and SJ Berwin to appear in the House of Lords to represent Lloyds Bank and Tesco Personal Finance (as representative defendants for the UK Credit Card Industry). The case determined that overseas use of credit cards will attract the same protection as domestic usage (pursuant to section 75 of the Consumer Credit Act).



• British Energy v Credit Suisse & Ors. Sonia acted for Credit Suisse (instructed by Linklaters) in this dispute over the Eggborough Power Station. The case involved complex issues arising from the securitisation of British Energy.



• Haller v Deutsche Bank (Commercial Court). Sonia acted for Deutsche Bank in a sizeable commercial/banking dispute (2006/7) arising in the context of debt arbitrage trading activities. Instructed by Slaughter and May.



• IXIS v Corporate & Investment Bank v WestLB AG & ors. Substantial Commercial Court proceedings arising out of the collapse of the Box Clever Group. Claims in negligence and deceit relating to the securitisation of receivables. Instructed by Lovells.
  
  
• AY Bank Ltd (in liquidation) v Bosnia and Herzegovia and others [2006] All ER (D) 177 (Apr). Acted for the Joint liquidators of AY Bank seeking directions as to whom to pay dividends in respect of accounts held with bank in the name of the former National Bank of Yugoslavia. Competing entitlements raised by the Successor States to the former SFRY. Preliminary dispute determined by the Chancellor as to whether the issues raised by joint liquidators were justiciable in the English High Court. Issues arising as to Constitutional law, Foreign sovereign state immunity from suit, Jurisdiction. Instructed by Lovells.
  
  
• Acted for an investment bank in a substantial arbitration claims concerning the scope of the bank's duties when acting as a financial advisor on the acquisition of pension and life assurance companies. Instructed by Allen & Overy.
  
  
• Banco Santander e Acores SA v JPMorgan Chase (Commercial Court). Claim for US$21m (approx) alleged to be due under a swap transaction. Issues of construction, commercial purpose and unilateral mistake. Instructed by Allen & Overy.

• Morgan Grenfell & others v Arrows Autosports Limited & others. High profile litigation involving the demise of the former Arrows formula one team. Commercial and contractual dispute about the repayment of monies owed by Arrows to Morgan Grenfell. Instructed by Slaughter & May.
  • Interlocutory hearing before Lightman J (Judgment 4.7.02 [2002] EWHC 1329).
  • Trial before Pumfrey J [2003] All ER (D) 417. Commercial and contractual dispute about the repayment of monies owed by Arrows to Morgan Grenfell. Security issues; Applications under the IA 1986.
  • Further trial on the construction and scope of an indemnity given by Tom Walkinshaw before Lindsay J [2004] All ER (D) 76.

• Fisher v Barclays Stockbroking Limited (Commercial Court). Dispute about the scope of the duty of care of a stockbroker offering an advisory stockbroking service. Issues arising from the provisions of the Financial Services Act 1986 and Statements of Principle. Instructed by Lovells to act for BSL.
  
  
• Financial Institutions Services v Negril Negril Holdings Limited (Privy Council). Appeal from Jamaica (CA) to the Privy Council (Appeal No 37 of 2003). Substantial banking dispute (Bank's right to charge interest on "unauthorised" borrowing at penal rates, conclusive evidence clause, and construction of banking contract and security documentation). Instructed by Lovells.
  
  
• McCall v Telewest: Instructed by Freshfields to act for Telewest in relation to a challenge to the Scheme of Arrangement.
  
  
• Eurobet v Girobank. Claim arising from the operation of an international money transmission service. Instructed by Taylor Wessing.
  
  
• Royal Bank of Scotland v XL Insurance (Commercial Court). Credit Default Swap Transaction - claim for rectification and/or contractual relief. Instructed by Allen & Overy.
  
  
• Libra Bank v Financiera de la Republica [2002] EWHC 821. Dispute arising from the terms of an assignment of debts owed by the Republic of Ecuador to the Claimant; involving (1) the construction of an assignment under US Law (2) the construction of Past Due Interest Bonds (3) Claims in contract and restitution. Trial before Michael Briggs QC. Instructed by Allen & Overy.
  
  
• Starlight v Bruce Metcalfe: Prime Bank Instrument Fraud. Instructed by Richards Butler.
  
  
• Smith v Lloyds [2000] 3 WLR 1725; CA, Pill Potter and Stuart-Smith LJJ, conversion, fraudulent alteration of a cheque, s64 Bills of Exchange Act.
  
  
• Lloyds Bank v Voller [2000] All ER (D) 1465; CA, Potter and Wall LJJ, a leading case on a bank's right to charge interest on unauthorised overdraft. Acted for Lloyds Bank.
  
  
• Commerzbank v Arvind Mills & others: Claim for repayment of monies due under a security and trust agreement entered into between a syndicate of 13 banks; conspiracy to defraud between the security agent and trustee and the borrower. Instructed by Lovells.
  
  
• AY Bank v Promstroybank of Russia: Dispute about the repayment of substantial borrowing, set off, charge-backs. Successful summary judgment application. Instructed by Lovells.
  
  
• Involved in the BCCI and ICIC v Adham litigation. Instructed by Lovells.
  
  
• Crest Holmes (South East) v Browne, Jacob J 28.10.99. Instructed by Denton Wilde Sapte.
  

• IXIS v Corporate & Investment Bank v WestLB AG & ors. Substantial Commercial Court proceedings arising out of the collapse of the Box Clever Group. Claims in negligence and deceit relating to the securitisation of receivables. Instructed by Lovells.
  
  
• Kensington International Ltd v the Republic of Congo (Commercial Court), [2005] EWHC 2684 (Comm). Substantial third party debt proceedings brought by Kensington against the Congo, involving issues of piercing the corporate veil, defrauding creditors and sham transactions. Instructed by Dechert.
  
  
• BBC Worldwide v Eurasia Management & others. Acted for BBCW in a claim involving allegations of conspiracy to defraud, breach of fiduciary duty, breach of contract, dishonest assistance. Claim settled in 2005. Instructed by Richards Butler.
  
  
• Vardinoyannis v Ansol Limited: Acted for Greek claimant in litigation in Guernsey and the UK (worldwide freezing order, ancillary freezing orders, and disclosure orders. Successfully resisted substantial discharge applications). Instructed by Taylor Wessing.
  
  
• New Millennium Experience Company v Brophy and others: Acted for the Dome in relation to claims for damages for conspiracy to defraud. Instructed by BLP.
  
  
• Starlight Inc v Bruce Metcalfe: Fraud involving prime bank instruments and fraudulent investment programmes. Instructed by Richards Butler.



• ING Bank v McGoona: Dispute in relation to monies stolen from an account with ING. Freezing injunctions and ancillary disclosure orders, tracing. Most of the stolen funds successfully recovered. Instructed by Lovells.



• News International v Michael Clinger and others, Lindsay J, commercial fraud, restitution (involved at interlocutory stages in 1998). Instructed by Allen & Overy.



• Rodney Toogood v SBG Holdings Limited and others, 1996, Neuberger J, commercial fraud, negligent misstatement, misrepresentation, banking.



• Acted for US Chapter 7 Trustee in bankruptcy in proceedings under the Civil Jurisdiction and Judgments Act 1982.



• Involved in the ICIC v Adham litigation. Instructed by Lovells.

• CNA Insurance Co (Europe) Limited v La Boliviana and others (Commercial Court). Substantial Insurance/reinsurance dispute arising out of the rupture of the OSSA II pipeline in Bolivia; presentation and coverage issues. Instructed by Linklaters.
  
  
• National Bank of Greece SA v RM Outhwaite 317 Syndicate at Lloyds and others. (Commercial Court) Acted for broker in relation to claims brought against underwriters arising out of policies of building insurance in relation to the construction of a vessel. Instructed by Herbert Smith.
  
  
• Anglian Water Services v Crawshaw Robbins [2001] BLR 173 Burnton J, November 2000, Trial about the construction of an indemnity clause, issues of nuisance, negligence, breach of statutory duty. Instructed by Herbert Smith.
  
  
• Casson & anr v Ostley PJ Ltd & ors [2000] EWCA CTV 1013, Stuart-Smith, Sedley, Schiemann LJJ; NLD, 5.9.00; October 2000 Building Law Monthly pp 1-5.Lord Brennan QC (sitting as a Deputy High Court Judge), Dispute about the construction of an exclusion clause in an insurance policy.
  
  
• Involved in film finance litigation (Matrix: The Last September).
  
  
• ING Bank v Trade Indemnity Plc & Credit Association Brokers (Commercial Court). Acted for ING on its claim to recover trading losses from insurers. Instructed by Herbert Smith.

• Acted in a substantial solicitors' negligence dispute. Instructed by Barlow Lyde & Gilbert.



• Acted for an investment bank in a substantial arbitration concerning the scope of the bank's duties when acting as a financial advisor on the acquisition of pension and life assurance companies. Instructed by Allen & Overy.



• Equitable Life Assurance Society v Bowley & Others. High profile claim by the Society against its former directors for breach of fiduciary duty and negligence. Sonia acted for two of the former executive directors and was instructed by Fox Williams.
  


• Fisher v Barclays Stockbroking Limited (Commercial Court). Dispute about the scope of the duty of care of a stockbroker offering an advisory stockbroking service. Instructed by Lovells.



• Ian Smith & David Waterhouse (Liquidators of the Flight Company) v Kounnis Freeman: action by the liquidators against the former auditors of the company for negligence and misfeasance. (Subsequent action following Andrew v Kounnis Freeman [1999] 2 BCLC 641). Instructed by Herbert Smith.

• Credit Agricole v Gray Security: Claim against a security firm for the alleged negligence of its security guard at the premises of Credit Agricole. Instructed by Herbert Smith.

Awards & Scholarships

Articles & Publications

Challis & Green v Barclays Bank, JIBL, vol 11, issue 4 (96)
Author of chapter on Financing International Sales in McKendrick on Sale of Goods (Dec 2000)
Sub-editor of 3 Verulam Buildings Banking Newsletter
Assistant Editor of Banking Encyclopedia (Lexis/Nexis, Butterworths)
Founder Member of the Times Law Panel (2007)

Additional Qualifications