Eversheds has been ordered by a High Court judge to pay out £660,000 in damages after it admitted giving negligent advice to a property client.

The national firm had acted for Keydon Estates, a small property investment company, on a string of transactions from 1995 to 2002.


The company sued over advice given on its purchase in May 2002 of the freehold reversion of Willow House, St Mellons Park, Cardiff, a commercial office building.


Keydon, advised by London firm Manches, put in a claim for damages of more than £1 million. Eversheds admitted negligence but argued in court that it should only be liable for £110,000, together with certain consequential losses such as the costs incurred in an unsuccessful arbitration and a subsequent abortive appeal.


In a statement, Eversheds said it had apologised to Keydon for the mistake, which it called 'an exceptional and unfortunate event'.


It added: 'The firm aims to act to the highest professional standards and to provide the best customer service at all times. On the very rare occasions an error is made, we strive to rectify the situation to a satisfactory conclusion.'