10 January 2018

Scottish law firm settles 'conflict of interest' dispute

The dispute arose when the seller of a business claimed he had suffered financial losses as a result of a conflict.

A Scottish law firm has settled a claim for 'conflict of interest' which a business owner alleges arose when he sold a stake in his business to a US private equity firm nearly 10 years ago. Robert Kidd had retained Paull & Williamsons as his law firm in the sale of his share of an Aberdeen-based company called ITS Tubular Solutions to an American private equity firm Lime Rock Partners. The businessman was claiming £160 million for what he alleged was financial losses through the advice given to him when he sold the company after a lawyer from the firm also provided advice to the buyer. Last year, a judge ruled that the businessman should recieve £1 million in expenses from the law firm. The terms of the settlement are confidential. A spokeperson from the firm said that the dispute arose out of historical events which occurred before its merger and had now been resolved to the satisfiaction of both parties.