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Nabarro Nathanson is replacing Hammond Suddards in acting for the action group challenging Legal & General over allegedly excessive pensions surrender penalties.
The switch is due to the fact that one of Hammond Suddards' northern offices is acting for L&G, says Hammond pensions partner Robin Ellison. "It is an exciting case, so we are obviously disappointed."
Nabarro Nathanson was one of several firms Ellison recommended to the client. Lawyers from both firms were due to meet with the action group last week to finalise a strategy for legal action for up to 30 companies. Nabarros pensions partner, Paul Fitzmaurice, will take over the legal work.
The group of companies claims it is being discouraged from moving its schemes away from the insurer because it has allegedly threatened to impose surrender penalties of up to 20 per cent of the value of its assets.