LONDON (Alliance News) – Watchstone Group PLC late Thursday said it has filed its defence to the High Court regarding the claims from Slater & Gordon (UK) 1 Ltd concerning a breach of warranty and/or fraudulent misrepresentation.
Slater & Gordon is seeking GBP637 million from the London-listed Watchstone, plus interest and damages. Watchstone provides technology and services, primarily to the insurance and automotive sectors.
“As previously detailed, Watchstone is satisfied that Slater & Gordon’s claims are wholly without merit and the proceedings should never have been issued. Watchstone will defend these proceedings robustly,” said the company, with a further announcement expected “in due course”.
Watchstone, formerly Quindell, is still resolving issues from the former business.
In June the company was issued High Court proceedings by Slater & Gordon in relation to the Australian law firm’s purchase of the then-Quindell’s professional services arm. Slater & Gordon acquired the business back in March 2015, and not long after Quindell was placed under investigation by the UK SFO over past accounting practices, which remains ongoing.
Slater & Gordon booked an AUD879.5 million impairment in its results for the year ended in June 2016 as a result of issues with the business.
Watchstone shares closed up 6.7% on Thursday at 96.0 pence.
By Joshua Warner; email@example.com; @JoshAlliance
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