Charles Fussell & Co LLP instructed in multi-national dispute

Charles Fussell & Co LLP has been instructed to act for a Guernsey-based investment advisory company in a major claim against a London-based investment company and its international subsidiaries. The claim arises from the breach by that investment group of an oral joint venture agreement, under which the parties agreed to cooperate and share the lucrative fees available for introducing investors to funds and vice versa. In this case, however, clients may have been subsequently encouraged to create new agreements with the investment group alone, cutting out the advisory company. The investment company may then have concealed the subsequent income by diverting it to hidden offshore subsidiaries.

The case raises numerous difficult legal questions, including those that frequently attend oral agreements part-evidenced in writing, as well as the use and abuse of the “corporate veil”, the pursuit of offshore parties whose very existence may be concealed from a claimant at the time he brings his claim, and the questions that arise where introductions are made by a third party that is itself arguably an asset introduced by a party. It will be of interest to those involved in the financial services industry, in particular those who are involved in corporate introductions, and considering constructing joint venture plans in that field.

Daniel Saoul and Graeme McPherson QC, both of Four New Square Chambers, have been retained to act as Counsel.