Liverpool saga back in court to block Texas injunction

The battle for Liverpool Football Club will hit the High Court again this morning with the club’s board calling on Mr Justice Floyd to grant an anti-suit injunction.

The battle for Liverpool Football Club will hit the High Court again this morning with the club’s board calling on Mr Justice Floyd to grant an anti-suit injunction.

Overnight, the club’s current owners Tom Hicks and George Gillett were awarded a temporary restraining order (TRO) by a Texan court, preventing the sale.

An anti-suit injunction granted in London would prevent the US owners from taking any further action to make the TRO permanent. If they were to
continue proceedings were an anti-suit injunction granted, it would mean that the owners would be in breach of a High Court injunction.

This is the latest twist in the ongoing battle for ownership of the club. It is due to repay the Royal Bank of Scotland £237m tomorrow (15 October) or face administration.

Yesterday the High Court granted RBS a mandatory relief injunction forcing Hicks and Gillett to reconstitute the club’s board and allow it to be sold to US bidders New England Sport Ventures (NESV) (13 October 2010).

Erskine Chambers’ Richard Snowden QC was instructed by Freshfields Bruckhaus Deringer partner Patrick Swain to act for the bank.

It is understood the pair will be back in court this morning along with One Essex court’s Lord Grabiner QC, representing the club’s board, in a bid to block the US TRO. If successful the injunction will be served to the Texan court this morning and the TRO dismissed.

Baker & McKenzie partner Graham Blair, who heads the firm’s litigation practice in Houston, is advising the Liverpool FC board in Texas.

It is understood that the owners secured the Texan injunction while lawyers convened to discuss the club’s sale to New England Sports Ventures (NESV), owners of the US Red Sox.

Slaughter and May is acting for Liverpool on the sale, fielding a team led by corporate rainmaker Nigel Boardman and also featuring corporate partner Mark Zerdin (6 October 2010).