Call us today0800 160 1298
 
 

Advantage Litigation

Welcome to Advantage Litigation Services. We provide affordable access to commercial litigation.

  • Home
    Home This is where you can find all the blog posts throughout the site.
  • Categories
    Categories Displays a list of categories from this blog.
  • Tags
    Tags Displays a list of tags that have been used in the blog.
  • Bloggers
    Bloggers Search for your favorite blogger from this site.
  • Team Blogs
    Team Blogs Find your favorite team blogs here.
  • Login
    Login Login form

Patisserie Valerie shareholder group action claim looms

Posted by on in Commercial Litigation
  • Font size: Larger Smaller
  • Hits: 1211
  • Subscribe to this entry
  • Print

Shareholders of embattled bakery chain Patisserie Valerie are being encouraged to join a group action claim by London law firm Teacher Stern.

The commercial law firm has indicated that the claim, likely to be in the form of a Group Litigation Order, is in its early stages and will be for financial loss endured by shareholders in the fashionable bakery chain that recently came close to financial collapse following revelations over an alleged accounts ‘black hole’. Shareholders of the AIM-listed business are in discussions with regard to the exact form of the legal action, and litigation funding is currently being sought to back the claim.

Patisserie Valerie was founded in London by Madame Valerie in 1926. Following the discovery of potentially fraudulent accounting activity, shares in the holding company Patisserie Holdings were suspended on 10 October 2018 and the Serious Fraud Office said it had "opened a criminal investigation".The irregularities, including the unreported (to the Board) opening of bank accounts, have resulted in a material mis-statement of the company’s accounts of £20 million.

On 11 October 2018, it was reported that without an immediate cash injection the company would not survive and on the same day, the firm's finance director Chris Marsh was arrested on suspicion of fraud and then released on bail. In the following two days, Chairman Luke Johnson loaned the company £20m of his own money in a move to prevent bankruptcy and also preserving 2500 jobs.

Should the group action proceed, it would follow a recent trend of such actions in the UK courts, including the high profile VW emissions scandal and a group claim against European truck manufactures alleged to have been operating a cartel stretching back over 20 years.

If you need advice on a group action, shareholder or similar commercial dispute, contact Advantage Litigation today for an initial, no-obligation discussion on 0800 160 1298 or online here.

Get in touch

  1. Your Name(*)
    Please let us know your name.
  2. Your Email(*)
    Please let us know your email address.
  3. Company Name(*)
    Please write a subject for your message.
  4. Your Phone Number
    Invalid Input
  5. Message(*)
    Please let us know your message.
  6. Anti-Spam, please enter the characters shown
    Anti-Spam, please enter the characters shown
    Invalid Input

Latest News

  • A recent decision by the Court of Appeal now means that car making giants Volkswagen will not be able to appeal the decision that it did circumvent EU clean air regulations. The decision is a key preliminary issue in the current class action the German manufacturer is facing. Read More

  • New data recently published by the The Solicitors Regulation Authority’s (SRA) has revealed that complaints made against law firms in the UK have seen a 9% increase based on the previous year. The new data, based on the most recently available figures for 2019, show that there were just under 30,900 ‘first tier’ complaints received, compared to just under 28,300 in 2018. Legal sector analysts have suggested that new changes in transparency laws, introduced at the end of 2018, may have contributed to the higher numbers with law firms now being compelled to publish details of how and when their clients lodge complaints. Overall, Law firms managed to resolve 80% of all complaints themselves, slightly less than 2018 but a big improvement on 2012 data where 71% of complaints were resolved without recourse to the regulator or formal legal proceedings. Delays, advice... Read More

  • Business at all levels is underpinned by contracts. These can range from simple verbal agreements for low value transactions through to complex and detailed written agreements between corporations and governments. To save on the risk of future avoidable legal actions, writing a contract that is suitable for the transaction or agreement is key. A contract is a pledge, between two or more parties (be they individuals or organisations), that is legally binding. It is designed to the fulfilment of commitment in exchange for something of value. Whilst some contracts may be made verbally, there are some that must be in writing, such as for a property transaction. Contracts – why are they important? A contracts is designed to make sure that ensure that your position and interests are protected by law and that both parties understand that there is a clear and... Read More