The two-year dispute dates back to 2015 when Slater and Gordon attempted an acquisition of Watchstone (at the time known as Quindell) for £637m. Unfortunately, the acquisition was a disaster, with Slater & Gordon suing Watchstone for alleged breaches of warranty and fraud in June 2017. They claimed that Watchstone had misrepresented them after a potentially  “transformational” deal went awry. Watchstone responded with a counterclaim in September 2019, claiming that they had uncovered an “illicit back channel” as they claimed Slater & Gordon’s corporate finance advisor accessed confidential information about Watchstone from PwC. Their suit was for £63m.

The two parties have now decided to settle their claims against each other, with neither having to make an admission of liability. Of the £50m held in escrow, the settlement provides £11m to be distributed to Slater & Gordon with the remaining balance of £39m being awarded to Watchstone. Both sides believe the other did not have a legitimate reason for their claims.