The claim form in a breach of contract claim against Lee Baron Limited, a specialist property management company based in London, has been published by the High Court, the mouseinthecourt can exclusively reveal.
We previously exclusively reported that the Joint Administrators’ of the failed peer-to-peer finance firm Lendy Ltd had filed the claim in December 2022.
The underlying loans on the platform, known as the Homer and Mutton Row loans, are understood to total £7m collectively crowdfunded by some 5,000 members of the public.
Lendy collapsed in May 2019 amid significant financial and regulatory difficulties.
The Homer Row loan, circa £7.45m, was advanced in March 2017. Following a sale of the property at auction just £1.17m was returned to investors in May 2021 after legal fees and expenses.
The Mutton Row loan, circa £711k, was advanced in February 2017. In this loan just £23,509 – some 3.2% – was returned to investors in May 2021 after legal fees and expenses.
The claim form states the brief details of the claim as being:
“A claim for damages for breach of contract and/or negligence arising from advice and/or services provided and/or work product provided by the Defendant and/or negligence in failing to advise and/or adequately advise.“
The court fee is shown as being £10,000 and the form was signed by Harry Warren, an associate solicitor at Shoosmiths LLP.
Homer Row prior to demolition in May 2019 (Credit: Daniel Cloake)
Investors expecting a speedy resolution will do well to consult the Kings Bench division trial windows. The earliest slot for a three-day-trial is currently showing as January – March 2024.
The Lee Baron claim
The defendant in the claim is Lee Baron Limited: “a specialist property management firm of 150 dedicated professionals headquartered in London and operating nationwide“
It is understood that Lee Baron prepared the valuation reports for both Homer Row and Mutton Row.
Written documents setting out the particulars of this claim have yet to be made publicly available.
The burden of proof in any breach of contract claim rests solely upon the claimant. At this early stage absolutely no inference of wrongdoing should be assumed on the part of the defendant.
This site will keep an eye open for any developments in the litigation. You can support our crowdfunded journalism by donating to the Cheese Fund.
We have approached Lee Baron Limited for comment.
Case details
The High Court, Kings Bench Division
Case Number: KB-2022-004856
Claimants
1) Lendy Limited (in administration)
2) Saving Stream Security Holding Limited (in administration)
3) Lendy Limited (in administration) as agent on behalf of the “Lenders” as defined in the two loan agreements dated 15 February 2017 and two loan agreements dated 25 April 2017
The claimants solicitor is Shoosmiths LLP
Defendant
Lee Baron Limited
The defendants solicitor is Reynolds Porter Chamberlain LLP
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