The liquidator of claims handler and legal expenses insurer Invaro resolved its dispute with Cheshire-based law firm Hilary Meredith last month.

Liquidator Smith & Williamson said it hoped the settlement would encourage the 'handful' of other law firms it is pursuing to 'see the light'.


As revealed in the Gazette last May, Smith & Williamson issued a claim against the Cheshire firm, alleging that it owed Invaro £4 million, stemming from practice funding and case funding it claimed had been provided by the insurer. Hilary Meredith has not admitted any liability.


Tony Murphy, corporate recovery director at Smith & Williamson, said: 'We are in advanced negotiations with other parties on other matters. We are hoping that the result of this settlement, which will become known to the other parties, will encourage others to see the light and settle without the need to issue proceedings.'


A joint statement released by Hilary Meredith and Invaro said: 'It has been reported in a number of press articles over recent months that [the firm] Hilary Meredith is the subject of legal proceedings by Invaro Ltd for the recovery of several millions of pounds. These proceedings were always disputed and have been vigorously defended.


'Following discussions, representatives of Invaro and Hilary Meredith are both pleased to confirm that they have been able to resolve all outstanding issues on an amicable basis. Accordingly, the legal proceedings have been brought to an end without further recourse to the courts.'