In a judgement handed down to Rathbones, the court found in favour of the wealth manager in a case that centred around the management of a Jersey trust which the firm sold in 2008.
When the case came to light at the beginning of the year it emerged that a claim had been filed against three trustees, including one formerly employed by Rathbones, because one of the assets in the trust had not performed as well as expected.
Rathbones did not chose or manage any of the investments, though it estimated legal fees linked to the case could cost it £100,000 a month until the end of the year.
In part, a trial at London’s Commercial Court found in favour of Rathbones, covering all of the substantive points and finding that an insurance policy put in place by Rathbones covered the ex-employee and a director of Rathbone Trust Company Jersey (now known as Hawksford Trust Company Jersey).
However the judge, Mr Justice Burton, also ruled that the insurer involved in the case could take over any right of action which the employee might have against Rathbones.
Rathbones said it was considering its next step now that the judgement had been handed down and would update investors in new course.
It said in a statement: “Rathbones is reviewing the judgement and its potential implications with its counsel and other advisers and will be deciding in the near future whether or not to appeal against certain aspects of the judgement.”
