Amalgamated Metal Corporation Plc v Wragge & Co (A Firm) & Anor

Amalgamated Metal Corporation Plc v Wragge & Co (A Firm) & Anor

Wragge & Co settled AMC's pre-limitation quantum claims relating to utilised ACT without AMC's authority and contrary to explicit instructions. This constituted a breach of duty. But for this breach, AMC would have remained subscribed to the quantum issues and recovered compensation on a compound interest basis. The loss suffered is the difference between what AMC received and what it would have received had the claim been properly pursued.

Parties
Claimant: Amalgamated Metal Corporation Plc; First Defendant: Wragge & Co (a firm); Second Defendant: Wragge & Co LLP
Jurisdiction
England and Wales
Judgment Date
08 April 2011
Procedural Posture
Civil (professional Negligence/authority of Agent) / Judgment After Trial
Outcome
Claim allowed
Legal Topics
Authority of Agent, Breach of Duty, Causation, Quantum of Damages, Solicitor's Duties, Settlement Without Authority
Professional Negligence Agency Law Contract Law Authority of Agent Breach of Duty Causation Quantum of Damages Solicitor's Duties +1 more

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Parties

Amalgamated Metal Corporation Plc

Claimant

Wragge & Co (a firm)

First Defendant

Wragge & Co LLP

Second Defendant

Procedural Posture

Civil (professional Negligence/authority of Agent) / Judgment After Trial

Legal Issues

  1. 1 Whether Wragge & Co settled AMC's pre-limitation quantum claims without authority
  2. 2 Whether Wragge & Co breached its duty of care to AMC in advising on and conducting the settlement
  3. 3 Whether AMC suffered loss as a result of Wragge & Co's actions and, if so, the quantum of that loss

Ratio Decidendi

Wragge & Co settled AMC's pre-limitation quantum claims relating to utilised ACT without AMC's authority and contrary to explicit instructions. This constituted a breach of duty. But for this breach, AMC would have remained subscribed to the quantum issues and recovered compensation on a compound interest basis. The loss suffered is the difference between what AMC received and what it would have received had the claim been properly pursued.

Court Disposition

Claim allowed

Orders

  • Judgment for AMC against Wragge & Co and Wragge & Co LLP for £7,655,473.13