Property tycoon Robert Tchenguiz has replaced longstanding legal adviser Stephenson Harwood with Debevoise & Plimpton after his €2bn claim against an Abu Dhabi investment company was thrown out.
A Debevoise team, led by disputes partner Kevin Lloyd, took over future Tchenguiz mandates, including a key Commercial Court case later this year. Tchenguiz had only drafted in Stephenson Harwood in 2014 to replace Shearman & Sterling in his later-settled case against the Serious Fraud Office (SFO).
The latest switch follows a June dispute between Tchenguiz’s Luxembourg-based special purpose vehicle Edgeworth Capital and Aabar, an Abu Dhabi investment company. Edgeworth and Aabar had entered into a failed joint venture to buy a €3bn, 400-acre site outside of Madrid, home to the global headquarters of Spanish banking giant Santander.
Aabar, which was represented by Freshfields Bruckhaus Deringer, attempted to recover around €113m from Edgeworth as a result of the failed investment, but the Tchenguiz-owned company then sued Aabar for €2bn, alleging it was not entitled to make the demand.
Justice Popplewell threw out Tchenguiz’s claim and criticised his oral evidence in the judgment, saying: ‘He seemed to take little care in his language or the accuracy of his evidence.’ The judge said it could ‘only be categorised as lying’.
Stephenson Harwood had instructed One Essex Court’s Alain Choo Choy QC and Essex Court Chambers’ John Robb to handle the claim. Freshfields called on One Essex Court’s Sonia Tolaney QC, James MacDonald and Sophie Weber.
The Debevoise team will have little time to prepare as Tchenguiz gears up for another three-month Commercial Court trial on 1 October. He is pursuing two Grant Thornton partners and Icelandic lawyer Jóhannes Jóhannsson, alleging they misled the SFO into conducting dawn raids on his and his brother Vincent’s properties in 2012. The Tchenguiz brothers reached a £4.5m out-of-court settlement with the SFO in 2014.
The Grant Thornton partners will be represented by Simmons & Simmons, while Jóhannsson will be advised by Travers Smith.