Derby County May Seek Legal Ruling on Compensation Claims

[DCI_Gene_Hunt]

A week old & may have been posted already (sorry for posting again if it has) but I don't recall seeing it and thought it quite interesting on seeing it for the first time today.

Derby could seek legal ruling on compensation

Derby's administrators could seek a legal ruling over compensation claims from Middlesbrough and Wycombe if the EFL continues to regard them as 'football debts'.

www.bbc.co.uk

 

[Jonny Ingbar]

The fact they are considering this means they clearly feel the claim may have merit.

Football creditors receive 100% owed, others only 25%.

They need to really decide on how to resolve it, because it isn't going away.

Either settle, of contest it, there isn't a third choice labelled "procrastination and deflection ".

 

[Redlips]

The fact they are considering this means they clearly feel the claim may have merit.

Football creditors receive 100% owed, others only 25%.

They need to really decide on how to resolve it, because it isn't going away.

Either settle, of contest it, there isn't a third choice labelled "procrastination and deflection ".

Mediation and alternative dispute resolution is sort of the civil procedure process. A final hearing and a final ruling is a long way off:

What is telling is that Derby have sought advice from three barristers saying we don’t have a hope. This sounds like Derby have shopped around as barristers 1 and 2 probably said we had a claim.

 

[DrummerMan]

It could take months for a legal claim ruling and Derby don't have months - so the new bidders will have to take the risk - that's the situation

 

[Biggz]

At the moment there's no debt owed to us and we're not a creditor, so not sure how being paid 100% or 25% of that matters. It's for an arbitration process to decide if anything is due, if that process had completed and we were currently owed I can see why they'd do this.

They'd be better off trying to find out how an ongoing arbitration process could be cancelled, which they wont have any luck with because that's the point in arbitration, one side feels aggrieved the other disagrees.

It's either pay off Gibbo as part of the takeover, or complete takeover and ride out the arbitration.

 

[Anterimus]

At the moment there's no debt owed to us and we're not a creditor, so not sure how being paid 100% or 25% of that matters. It's for an arbitration process to decide if anything is due, if that process had completed and we were currently owed I can see why they'd do this.

They'd be better off trying to find out how an ongoing arbitration process could be cancelled, which they wont have any luck with because that's the point in arbitration, one side feels aggrieved the other disagrees.

It's either pay off Gibbo as part of the takeover, or complete takeover and ride out the arbitration.

Not completly correct. According to administrator documents filed to companies House in November, Middlesbrough Football Club are owed £566.46

 

[Stepper_T]

How soon may Derby be at risk of liquidation? Is there a certain point in time when the creditors have to be paid by?

 

[Biggz]

Not completly correct. According to administrator documents filed to companies House in November, Middlesbrough Football Club are owed £566.46

Oh I didn't know that bit... can't believe we're stopping the takeover for £566. Their fans could have paid Gibbo off instead of buying their "Save Derby" flag

 

[Anterimus]

Oh I didn't know that bit... can't believe we're stopping the takeover for £566. Their fans could have paid Gibbo off instead of buying their "Save Derby" flag

Here you go for the full list. Just scroll down. Funnily, one of the richest clubs in the world, Man City, owe Derby........ £10.

 

[Jonny Ingbar]

Mediation and alternative dispute resolution is sort of the civil procedure process. A final hearing and a final ruling is a long way off:

What is telling is that Derby have sought advice from three barristers saying we don’t have a hope. This sounds like Derby have shopped around as barristers 1 and 2 probably said we had a claim.

I think the EFL have tried to broker mediation, but you're right, civil claims do require at least some intent to do so.

For me, the telling thing is that Boro have advice that they have a valid claim. There is obviously a big difference between cases are are very strong and those which only have marginal chances of success, but Gibson is astute enough to know not to back the wrong horse.

And I think you're right about the Derby advice; I'm not sure what requirement there would be to instruct three different barristers or QC's, for what is the same advice?

 

[Redlips]

I think the EFL have tried to broker mediation, but you're right, civil claims do require at least some intent to do so.

For me, the telling thing is that Boro have advice that they have a valid claim. There is obviously a big difference between cases are are very strong and those which only have marginal chances of success, but Gibson is astute enough to know not to back the wrong horse.

And I think you're right about the Derby advice; I'm not sure what requirement there would be to instruct three different barristers or QC's, for what is the same advice?

The administrators have allegedly sought advice from three barristers on the merits of mfc claim. Why go to the trouble of getting three opinions from counsel? You would only need one.

It sounds like two opinions suggested mfc have a case.

it is set out in the civil procedure rules and the white book that parties must engage in alternative dispute resolution. If had no reasonable prospects of success and proceedings were issued then Derby would apply for summary judgement to strike out mfc claim that clearly has not happened.