Prince Harry may face a significant financial burden as he may be required to cover the substantial costs resulting from his unsuccessful legal battle against the Daily Mail publisher.
A group of prominent individuals, including the Duke of Sussex, Sir Elton John, and Baroness Doreen Lawrence, filed a lawsuit against Associated Newspapers Limited (ANL) alleging illegal data collection practices. ANL vehemently refuted these allegations. Following an 11-week trial at the High Court in London, the claims were completely dismissed in a lengthy 436-page ruling earlier this month.
In a recent court session addressing costs, it was revealed that there exists a shortfall between the insurance coverage and ANL’s expenses, which exceed £34 million. Lawyers representing ANL argued that the group of well-known figures, which also features Sadie Frost, Elizabeth Hurley, David Furnish, and former MP Sir Simon Hughes, should bear ANL’s costs on an indemnity basis rather than a standard one, which would be more favorable to ANL in terms of the amount recoverable.
Antony White KC, representing the publisher, contended that the legal actions were initiated with an ulterior motive to pressure the Government into launching the second phase of the Leveson Inquiry, characterizing it as more of a “campaign” than typical litigation. He highlighted the extensive publicity surrounding the cases and criticized the broad scope and shifting nature of the allegations.
The legal counsel for the claimants, Nicholas Bacon KC, argued against awarding ANL costs on a stricter indemnity basis, emphasizing the potential financial impact on the group of seven individuals. He underscored the disparity between ANL’s incurred costs and the approved budget, pointing out the substantial legal expenditure by ANL and questioning the proportionality of the costs.
Bacon stressed the importance of the insurance cover obtained by the claimants and expressed concern that the current level of coverage might not be adequate if costs were awarded on an indemnity basis. He affirmed the integrity and good faith of the claimants throughout the proceedings.
The court proceedings before Mr Justice Nicklin are expected to conclude shortly, with a decision to be issued in writing at a later date.