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Costs awarded against airport in legal dispute
5:32pm Wednesday 4th December 2013 in News
AN airport’s long-running court battle which won damages of just £2 resulted in a £2.5m bill for legal costs.
Newcastle International Airport fought a six-year legal battle to pursue its negligence claim against law firm Eversheds.
Last week, the Court of Appeal ruled that the law firm had breached its duty of care by not properly explaining the impact of an £8.5m bonus deal for two airport executives - but awarded the airport just £2 in nominal damages after the court decided the failure would not have caused substantial losses.
Now it has emerged that the lengthy legal challenge racked up a bill of around £2.5m during hearings at both the High Court and Court of Appeal after costs were awarded against the airport.
A spokesman for Eversheds said: "After receiving submissions from both sides, Eversheds has been awarded costs for both the first trial and the appeal."
Newcastle International Airport, which is part-owned by seven local authorities including Durham County Council, issued a statement yesterday (MON) insisting that taxpayers would not have to foot the bill, because it had put in place a number of measures including legal expenses insurance at the start of the case.
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