Gateley hit by multi-million pound professional negligence suit from property development client

Property developer EPG has instructed DLA Piper to sue Gateley for breach of contract and professional negligence.

The developer claims the firm forged documents and acted dishonestly when it was instructed to work on the acquisition, development and sale of the Trafford Press Building in Manchester by its subsidiary company, Fresh Start Living, which collapsed following the alleged mishandling.

EPG claims Gateley “made a number of significant errors and provided advice that was deficient” that resulted in millions of pounds of losses.

The firm is the latest major UK firm to be hit by a professional negligence claim in the past year or so. Mishcon de Reya is awaiting a November court date to defend the claim brought by former Queens Park Rangers chairman Antonio Caliendo, while last year Nabarro and Weil Gotshal & Manges both settled cases brought by ex-clients.

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