The recent decision of the High Court (Richard Spearman QC, sitting as a Judge of the Queen’s Bench Division) in David Neil Gerrard and Elizabeth Ann Gerrard v Eurasian Natural Resources Corporation Limited and Diligence International LLC [2020] EWHC 3241 (QB), relates to one aspect of the complex litigation between Mr. Gerrard (currently a partner at Dechert LLP, a law firm) and ENRC (his former client). The decision deals with various interlocutory applications in a claim that is itself ancillary to the main proceedings. Nevertheless, even though it relates to a skirmish in a much more extensive battle, the decision is of considerable interest in its own right, in particular as to the use of covert surveillance in the context of litigation.
Mr. Gerrard was ENRC’s solicitor between December 2010 and March 2013, acting for ENRC in relation to a SFO investigation. In 2017, ENRC brought proceedings against Mr. Gerrard in the Commercial Court alleging that Mr. Gerrard had acted negligently and in breach of fiduciary duty by seeking to extend the scope of the SFO’s investigation into ENRC, and by leaking information about ENRC to the media and the SFO. In 2019, ENRC brought further proceedings in the Chancery Division against the Director of the SFO, for (among other matters) inducing Dechert LLP and/or Mr. Gerrard to breach their fiduciary duty to ENRC. Continue reading