Legal background Bounce Back Loans Scheme
Sections 140A to 140C of the CCA deal with a relationship arising out of a credit agreement between a lender and a borrower that is unfair to the borrower.
	Section 140A of the CCA sets out the circumstances where a court can make an order in relation to any credit agreement where it determines that the relationship between the creditor (lender) and the debtor (borrower) arising out of the agreement (including any related agreement) is unfair to the debtor. The unfairness may arise because of one or more of the following:
	1. any of the terms of the agreement or of any related agreement;
	2. the way in which the lender has exercised or enforced any of their rights under the agreement or any related agreement;
	3. any other thing done (or not done) by or on behalf of the lender (either before or after the making of the agreement or any related agreement).
	The powers of the court are broad where it determines that the relationship is unfair to the borrower. Under section 140B the court can, in particular:
	1. require the lender to repay the whole or part of any sum paid by the borrower;
	2. reduce or discharge any sum payable by the borrower;
	3. set aside (in whole or part) any duty imposed on the borrower;
	4. alter the terms of the agreement or any related agreement.
	This Act amends section 140A of the CCA to provide that an order by the court cannot be made under section 140B of the CCA in connection with a loan made under the BBLS. Given that sections 140A to 140C of the CCA only apply to individuals (such as sole traders), unincorporated bodies of persons and partnerships of fewer than four partners, the effect of the amendment made by this Act will only apply to that group of borrowers too.