Update on Recovery Litigation
As disclosed in our interim statement on 18 June 2009, we are pursuing a significant claim for unpaid fees where recovery litigation is at an advanced stage.
This litigation concerns two related projects at Mentmore Towers in Buckinghamshire and 90-95 / 100 Piccadilly in Central London.
Judgment as to the merits of our claim, and those of the counterclaims, has now been handed down. The subsequent hearing, regarding quantification of the claims found to have merit, is scheduled to be held towards the end of the year.
We are very pleased that the judge has entirely dismissed the counterclaim of professional negligence and that he also found that we should receive payment for the services performed.
The judge did however find that communication of the resignation of a senior member of the project team should not have been delayed and therefore found against the Company in respect of this element of the counterclaims. The judge also criticised the witness statement and representations made by Nicholas Thompson, Chief Executive Officer of the Company, in support of our claim.
In light of the judgment handed down, the directors have reviewed the financial estimates previously made in respect of this recovery litigation, and have concluded that these remain a reasonable and prudent estimate of the most probable outcome.
Aukett Fitzroy Robinson – 020 7636 8033
Tim Hodgson, Chairman
Nicholas Thompson, Chief Executive Officer
Duncan Harper, Group Finance Director
FinnCap – 020 7600 1658
Hermes Financial PR
Chris Steele – 07979 604687
Trevor Phillips – 07889 153628