Sumption’s gumption

11.28am
The House of Lords will see more silks than a Milanese fashion boutique this week, and professional negligence lawyers and third party funders will be watching the contest closely.


Sumption's gumption12 February, 11.28am

The House of Lords will see more silks than a Milanese fashion boutique this week, and professional negligence lawyers and third party funders will be watching the contest closely.

In the red corner are Michael Brindle QC and Mark Simpson QC, both of Fountain Court Chambers. Norton Rose has instructed them to act for Stone & Rolls (in liquidation) in its audit negligence claim against Moore Stephens (a firm).

In the blue corner and instructed to defend Moore & Stephens by Barlow Lyde & Gilbert’s Julian Randall are Jonathan Sumption QC and Tom Adam QC of Brick Court Chambers.

Stone & Rolls (in liquidation) has accused its auditors, Moore Stephens, of failing to discover and report evidence of credit fraud by Stone & rolls and its ultimate owner, Zvonko Stojevic.

Sumption will attempt to set new precedent by using the ex turpi causa defence to defend the claim. He will suggest that it is an illegal claim because the claimants are seeking to recoup losses made by their own fraud.

As litigators look to unravel the complex financial arrangements at the heart of the credit crunch, professional advisors will find themselves at the receiving of many a writ.

If the defendant is successful, those professional advisors could be afforded new protections with the validity of the claim struck out.