Laura Sharman 17 March 2015

£5.2m legal claim against council is dropped

A multi-million legal claim against the Scottish Borders Council has been dropped.

The council was facing legal action after it voted not to proceed with an integrated waste management facility four years ago. D & P Management Enterprises had claimed they were owed ‘gain share’ payments exceeding £4.2m.

However, the claim has now been dropped, with the waste consultancy agreeing to pay £20,000 towards the council’s legal fees.

Chief executive of Scottish Borders Council, Tracey Logan, said: ‘The council had a duty to protect the public purse from this very large claim. The amount of council funds potentially exposed here was over £5.2m, plus both sides’ legal costs.

'It is well known that even where a court case is won, there are inevitably substantial irrecoverable costs. We are pleased that Mr Phelps has agreed not to proceed with this claim.’

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