HomeCase studiesSMEs, directors & shareholdersDirector servicesSuccessfully defending a director disqualification claim

Why the client needed our help

Our client was the founder and managing director of an independent financial advisors, which, following a rejected insurance claim, was placed into liquidation. Proceedings were issued by the Secretary of State to disqualify our client for a period of 6 years.

How we helped

We engaged in correspondence with the Secretary of State and, following their refusal to withdraw the disqualification proceedings, prepared detailed affidavits and evidence on behalf of the client and all relevant witnesses.

The client had, quite reasonably, advised the insurance broker as to a confusion within its paperwork, which was ultimately the cause of the failed insurance claim.

The Secretary of State were unwilling to accept the client’s explanation of events and continued to seek disqualification.

On day 3 of the trial, the Secretary of State agreed to drop the proceedings against the client, having considered the client’s oral testimony and cross-examination in Court.

The Secretary of State accepted the client’s genuine understanding in respect of the insurance policy and the reasonableness of his actions in light of this fact.

The outcome

Having conceded its position, the Secretary of State was ordered to pay a proportion of the client’s costs in respect of the client’s defence of the claim against him. Our client was not disqualified and was free to continue in his business and personal life without the threat hanging over him.

Key contacts

Stephen Downie

Stephen Downie

Partner

Carly Moore-Martin

Carly Moore-Martin

Senior Associate

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