Choice Investments Ltd. v. Gregory Jeromnimon and Midland Bank Ltd. - Lord Denning, M.R., Lord Justice Brightman and Lord Justice Griffiths - C.A. - Nov. 6, 1980

Foreign currency sum in U.K. bank is a debt which can be attached - Court of Appeal decision

Creditors having obtained judgment against a debtor were granted a garnishee order nisi against a bank. The debtor had three accounts at the bank, one of which was in US dollars. There was no difficulty in attaching the two small sterling accounts but problems arose over the U.S. dollar account. Under the rules and statutes which allowed attachments, only “debts” could be attached. Until recently a debt owing in foreign currency was not regarded as a “debt” which could be attached. If it was not paid, it gave rise only to an action for “damages” for breach of contract: and that could not be attached ( United Railways of Havana [1961] A.C. 1069).