Beleaguered Equitable appoints Herbert Smith
Legal Week reports
April 17, 2001 at 07:11 AM
2 minute read
Troubled mutual assurer Equitable Life has appointed Herbert Smith to consider whether it has a case against its professional advisers and the Financial Services Authority over its acrimonious dispute with its own policy holders.
The action of legal advisers Denton Wilde Sapte and former auditors Ernst & Young are set to come under close scrutiny, though Equitable has stressed that it has as yet seen no evidence of negligence.
The move comes after Legal Week this month revealed that a shortlist of law firms was being put forward by policy holder action groups, including Slaughter and May, CMS Cameron McKenna and Linklaters & Alliance (Legal Week 5 April).
The life insurer agreed with action holder policy groups that consideration should be given to the potential for redress against those who played a major role in the events that landed the assurer with a £1.4bn liability in relation to inflation-protected annuities policies.
The instruction of Herbert Smith, which was announced by Equitable on Saturday (14 April), has raised expectations that Equitable intends to take a hard stance against any negligent party.
Herbert Smith was not one of the original shortlist of law firms put forward by the main action groups, and it is understood that a couple the law firms initially approached by Equitable were conflicted out. Equitable first contacted Herbert Smith last week.
Equitable has to date denied that it has seen any evidence of negligence. However, it will provide Herbert Smith with its own records and documentation from public records collated by action groups so that a thorough audit can be carried out. Chairman Vanni Treves has assured policyholders in the past that if evidence is found then Equitable will seek compensation without fear or favour.
Herbert Smith is unable to confirm at this stage who will lead the team.
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllSkadden to Close in Shanghai and Make Cuts to China Corporate Practice
DWF Group's Canadian Firm Set to Add Fourth Office With 16-Lawyer Montreal Team
UK Law Firms Face £75M Money Laundering Investigations Alongside Russia Scrutiny
3 minute readTrending Stories
- 1The Law Firm Disrupted: Playing the Talent Game to Win
- 2A&O Shearman Adopts 3-Level Lockstep Pay Model Amid Shift to All-Equity Partnership
- 3Preparing Your Law Firm for 2025: Smart Ways to Embrace AI & Other Technologies
- 4BD Settles Thousands of Bard Hernia Mesh Lawsuits
- 5A RICO Surge Is Underway: Here's How the Allstate Push Might Play Out
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250