Judgment reserved in McKillen battle for control of hotel group

A property developer is waiting to hear whether he has won the latest stage of a legal battle with two of the UK’s best-known businessmen over control of a £1bn (€1.16bn) company which owns three of London’s most famous hotels.

The Court of Appeal in London yesterday reserved a decision on the current round of Patrick McKillen’s battle with twins David and Frederick Barclay.

Judges have heard that Mr McKillen and the Barclay brothers were investors in Coroin — the company which owns and manages Claridge’s, the Connaught and the Berkeley hotels.

A High Court judge ruled against Mr McKillen in August. Mr Justice David Richards dismissed Mr McKillen’s claims that company affairs were conducted in a “manner unfairly prejudicial to his interests”.

The Barclay brothers had disputed the claims and said Mr McKillen’s allegations were designed to tarnish their reputations and embarrass them.

Mr Justice Richards also said Mr McKillen should pay all sides’ legal costs, which lawyers said would add up to about £20m.

Mr McKillen’s lawyers have asked the Court of Appeal to overturn parts of Mr Justice Richards’ ruling.

They have argued that the judge was wrong when reaching decisions relating to agreements and arrangements made.

Lawyers representing the Barclay brothers resisted Mr McKillen’s challenge.

Lady Justice Arden, Lord Justice Moore-Bick and Lord Justice Rimer yesterday reserved their ruling to a date to be fixed, after hearing legal argument at a hearing which began on Tuesday.

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