View more on these topics

Bluefin sues for £1m over ‘poaching’ court case

Bluefin is suing a former IFA for £1m over allegations that he poached clients and set up a new firm while still under contract.

Bluefin, which is the parent company of Layton Blackham Financial Services, has issued a High Court writ against former director Sean Condon, who resigned from Layton Blackham in December 2009.

The writ alleges that Condon set up a new firm, Yew Tree Financial Planning, while still working for Layton Blackham.

It claims that 54 out of 62 clients then moved to Yew Tree.

Bluefin claims it lost about £1m in profits as a result.

Condon and Bluefin declined to comment on the issue.

Lanson public affairs and regulatory consulting director Richard Hobbs says: “Contract-based disputes happen all the time. The issue over the poaching of clients is a difficult one because there may be a contract in place but the relationship exists between the client and the individual adviser. The network may have the legal control but it is difficult for them to exert in practice.”

Barlow, Lyde and Gilbert partner Nick Dent says: “It does not surprise me that this kind of thing might be happening. These kinds of allegations can be very difficult for networks to prove, especially if there is no material evidence such as emails.”

Recommended

Japan slowdown will be short lived, says World Bank

The slowdown in Japan’s economic growth expected as a result of the Tōhoku earthquake and tsunami is likely to be temporary, according to the World Bank. In its latest East Asia and Pacific Economic Update, the organisation admits that it is “far too early” to make an accurate assessment about the full impact of the […]

1

Budget 2011: Experts hail industry consultation

Wednesday’s Budget has been hailed for relying on industry consultation which experts suggest will result in better policy. MAC Consulting chief executive Mark Chilton says consultation periods allow flaws in proposals to be drawn out. He says: “We have suffered particularly in taxation, but at a broader level too, from poor regulation and legislation in […]

TrigoldCrystal plans for life after collapsed Mortgage Brain merger

TrigoldCrystal is planning several upgrades and a new trading platform launch following the collapse of its merger with rival Mortgage Brain. The software firm today revealed earnings before interest, taxes, depreciation and amortisation of £1.2m in 2010, compared to £0.9m in 2009. It has yet to publish its full 2010 results but says it cleared […]

1

Resolution boosts dividend 15 per cent as profits hit £275m

Resolution has boosted its final dividend 15 per cent to 12.57 pence per ordinary share after posting pre-tax operating profits of £275m, preliminary 2010 results show. The life consolidation firm says it intends to increase the 2011 dividend to 18.85 pence as available shareholder cash increased to £1,067m at the end of 2010, up from […]

Unfinished business?

Pension specialist Fiona Tait gives an update on three big announcements from the 2016 Budget – Pensions Advice Allowance (PAA), the Lifetime ISA (LISA) and the pension dashboard. £500 Pensions Advice Allowance What’s new Under current rules it is possible to deduct an adviser charge from a defined contribution pension fund to pay for financial […]

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment