One of the handful of collective actions to be certified by the Competition Appeal Tribunal (CAT) could be set to lapse following the withdrawal of a high-profile class representative, the Gazette has learned.
Former chief financial ombudsman Walter Merricks CBE, who led the pioneering Mastercard action which controversially settled last year, said this week that he had been unable to obtain after-the-event insurance for an action against train operator Govia Thameslink over alleged unfair pricing of rail fares. Merricks revealed last November that he intended to take over the role of class representative in the claim following the death of the previous representative David Boyle.
Merricks told the Gazette: 'I was preparing to make an application to be authorised as class representative. I thought it would be very unfortunate if a case that had been certified should simply collapse for lack of a representative willing to carry it on.
'However, when I investigated matters I found that I was unable to secure the necessary ATE insurance to support an application and so I informed the CAT that I would not be applying.' An upcoming hearing will 'determine certain costs and other consequential matters arising, including applications from Maitland Walker the solicitors for the late Mr Boyle'.
The claim, filed in 2021, is one of 14 to have so far been certified by the CAT under the competition collective proceedings regime. It seeks damages for losses allegedly suffered by passengers on the London to Brighton main line as a result of the pricing practices of Govia Thameslink Railway Limited. The secretary of state for transport is named as an intervener.
A hearing in the case is listed for 15 April. In a consent order this week, the CAT chair, Mr Justice Butcher, ordered the ‘late class representative’s solicitors’ - understood to be London and southwest firm Maitland Walker - to provide details of any replacement proposed class representative along with details of funding and ATE insurance.
The order requires ‘a realistic assessment of the prospects of securing a replacement class representative and the necessary funding and insurance arrangements’ as well as the timetable for doing so.
Maitland Walker declined to comment.
A spokesperson for Govia Thameslink Railway said: ‘We note the recent developments regarding Mr Merricks’ withdrawal as proposed replacement class representative. GTR continues to dispute the claim, which it is defending robustly in court.’
4 Readers' comments