Case study

Successful litigation recompenses client for their loss of £7.65 million

Posted by : Adrian Parkhouse

This was a complex and difficult case but Farrers did an outstanding job. They got to grips with the case from the outset, testing the evidence and working with the client. More than anything else, they were totally committed to the client’s best interests and cared deeply about achieving the desired result.

Ben Hubble QC

Protracted professional negligence case results in welcome conclusion for client.

We successfully brought a claim against a client’s former solicitors for negligence in respect of a settlement made with HMRC in 2003. The client was one of several hundred UK companies who filed suits against HMRC, involving a number of test cases in the House of Lords. The issue of negligence stemmed from whether the original solicitors had received the client’s instructions to settle or protect a specific aspect of the claim – its potential entitlement to compensation based on compound rather than simple interest. The difference between the two was £7.65 million, an amount which then formed the basis of our claim. 

The judge ordered payment of 100% of the amount claimed, which was more than the out of court settlement figure offered by the claimant nine months earlier. From our client’s perspective, a welcome conclusion indeed.