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10 June 2010 / Nick Bird
Issue: 7421 / Categories: Features , Professional negligence
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Cause & effect

Nick Bird reports on the Levicom outcome & lessons in causation

Arecent Court of Appeal decision may make it harder for defendant professionals to establish a causation defence in a narrow class of cases. On 11 May the Court of Appeal allowed the appeal in Levicom International Holdings BV and another v Linklaters [2010] EWCA Civ 494, [2010] All ER (D) 81 (May). It ruled that where a firm advises its client to pursue litigation, rather than settle, and the client does so, the normal inference is that the client acted on that advice. The burden shifts to the firm to prove that the client would have gone ahead whatever the advice and that their advice did not therefore cause the loss to the client. After this ruling, defendants in professional negligence claims will need some evidence to establish that a client would have proceeded, even if their advice had been different. Linklaters had advised the claimants, two companies in the Levicom group (Levicom), on a dispute they had with two Swedish companies. Levicom alleged that Linklaters advised it negligently as to the strength of

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MOVERS & SHAKERS

Gateley Legal—Jack Kelly

Gateley Legal—Jack Kelly

Gateley Legal expands Midlands residential development team

Gibson Dunn—Richard Surtees

Gibson Dunn—Richard Surtees

Gibson Dunn adds employee benefits and executive compensation practice in London with partner Richard Surtees

Laytons ETL—Alec Cameron

Laytons ETL—Alec Cameron

Laytons ETL appoints new partner and head of intellectual property disputes

NEWS
A series of recent decisions has clarified important principles across property law, from perpetuities to lease renewals and public rights over land
Employers cannot rely on wellbeing services alone to defend workplace stress claims after a High Court decision awarding almost £1m to an overworked employee
Andy Burnham's brand of 'Manchesterism' could offer fresh thinking on legal aid and access to justice if it reaches Westminster, according to Roger Smith, NLJ columnist and former director of JUSTICE
The constitutional fallout from a change of prime minister, rather than the politics, is under scrutiny as questions arise over the limits of executive authority in a leadership transition
The legal profession is undergoing a fundamental shift from selling services to creating technology-enabled products, according to Professor Luke Mason, Head of School of Law at Regent's University London
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