Khanty-Mansiysk Recoveries Ltd v Forsters Llp [2016] EWHC 522 (Comm) (22 March 2016)

Khanty-Mansiysk Recoveries Ltd v Forsters Llp [2016] EWHC 522 (Comm) (22 March 2016)

The Settlement Agreement, by its clear and wide language, released all claims, including unknown and uncontemplated claims, arising out of or in connection with the legal services provided and invoiced. The current claim for professional negligence is connected with those services and is therefore barred by the...

Source-derived case information.

Citation
[2016] EWHC 522 (Comm)
Parties
Claimant: Khanty-Mansiysk Recoveries Limited; Respondent: Forsters LLP
Jurisdiction
England and Wales
Judgment Date
22 March 2016
Procedural Posture
Commercial Court Claim / Determination of Preliminary Issue (construction of Settlement Agreement) on Summary Judgment Application
Outcome
Claim barred by Settlement Agreement; declaration granted in favour of Forsters LLP.
Legal Topics
Settlement Agreements, General Release Clauses, Interpretation of Contracts, Solicitor's Duties, Professional Indemnity, Summary Judgment
Contract Law Professional Negligence Settlement Agreements General Release Clauses Interpretation of Contracts Solicitor's Duties Professional Indemnity Summary Judgment

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Parties

Khanty-Mansiysk Recoveries Limited

Claimant

Forsters LLP

Respondent

Procedural Posture

Commercial Court Claim / Determination of Preliminary Issue (construction of Settlement Agreement) on Summary Judgment Application

Legal Issues

  1. 1 Whether the Settlement Agreement bars the claimant's current claim against Forsters LLP
  2. 2 Proper construction of the release clause in the Settlement Agreement
  3. 3 Whether the Settlement Agreement is void for fundamental common mistake

Ratio Decidendi

The Settlement Agreement, by its clear and wide language, released all claims, including unknown and uncontemplated claims, arising out of or in connection with the legal services provided and invoiced. The current claim for professional negligence is connected with those services and is therefore barred by the Settlement Agreement.

Court Disposition

Claim barred by Settlement Agreement; declaration granted in favour of Forsters LLP.

Orders

  • Declaration that the claim is caught by the Settlement Agreement and barred.
  • Parties to agree draft order including costs and directions; failing agreement, court to resolve outstanding issues.