Legal Malpractice

Nominal Damages in a $55 Million Dollar Legal Malpractice Case

By (Andrew Lavoott Bluestone)

Here, in an article from NY Lawyer is the shocking outcome of a huge London legal malpractice case.  Linklatters, on trial for $ 55 Million ends up paying $ 5 [actually 5 pounds] as a nominal verdict.  Queery: no motion for summary judgment?  In NY courts, we see such outcomes in pre-answer motions and in motions for summary judgment.

Fromthe article: "Linklaters has staved off paying out a $55 million negligence claim -- one of the largest made against a U.K. law firm in recent years -- having instead to pay out 5 pounds ($7.50) in nominal damages to telecom company Levicom.

In the judgment, handed down in the Royal Courts of Justice Tuesday, Mr Justice Andrew Smith ruled that, despite finding Linklaters' early advice to the claimant was expressed negligently, it did not bear any loss to the client and therefore awarded nominal damages of just 5 pounds.

On all other issues, Smith found Linklaters had not acted negligently.

In his judgment, Smith said: "I conclude that Linklaters' advice was negligent in some respects, but the negligence did not cause [the claimant] Levicom any loss. Linklaters were therefore in breach of contract, but are liable for only nominal damages of 5 pounds."

The judgment follows a five-week trial which started in January after an unsuccessful mediation at the end of last year, over claims Linklaters gave negligent advice to the Baltic telecom company. "

Full post as published by New York Attorney Malpractice Blog on April 29, 2009 (boomark / email).