Russell Crumpler & Anr (as joint liquidators of Peak Hotels and Resorts Limited) v. CANDEY Limited - chancery division, companies court

Following the settlement by liquidators of The Lawyer 2015 top 20 case in which CANDEY acted for PHRL to secure control of the uber-luxury boutique hotel group, Aman Resorts, a dispute arose between CANDEY and KPMG, the liquidators of PHRL who challenged the firm’s secured fixed fee.

It was held that CANDEY had a floating charge in the sum of the value of services provided by CANDEY which in the context of s.245 Insolvency Act 1986 was held to be the sum of the fixed fee agreed of £3.86 million as opposed to the hourly rates expended of £1.2 million as contended by the liquidators. Judgment was given by HHJ Raeside QC in CANDEY’s favour in the sum of £4.4 million plus costs.

The question of whether CANDEY LLP can recover a further 100% uplift on its fees is set to be determined by the High Court in July 2018.

KPMG have appealed to the Court of Appeal.

[2017] EWHC 3388 (Ch).