SPORTS Direct yesterday dropped their legal case against Dave King, in which they claimed the Rangers chairman had breached a confidentiality agreement.
A judge at the High Court in London said after the move that the action had been “ridiculous”.
Lawyers for Sports Direct, owned by Ibrox shareholder Mike Ashley, said the firm would pay all legal bills run up during the case, estimated to total around £400,000. The action centred on a claim King breached a confidentiality undertaking relating to a commercial deal between Rangers and the sportswear chain, during an interview with Sky Sports in July last year. King disputed the claim.
Sports Direct’s lawyers told Mr Justice Peter Smith yesterday the company were discontinuing legal action. The judge gave his approval, adding it had been a “ridiculous piece of litigation”.
The case had been running for nine months and a trial was scheduled for next week. Mr Justice Smith had already cleared King of contempt of court, after allegations made by Ashley.
An attempt to have King jailed for contempt was thrown out in December. The judge tore a strip off Sports Direct at a preliminary hearing last month and said he wanted his disapproval of their approach recorded.
The firm initially claimed £200,000 damages, then reduced the figure to £50,000, then said they weren’t claiming any damages – but wanted the imposition of injunctions, he had added. Mr Justice Smith told the earlier hearing: “The whole way the claimants have been conducting themselves ... shows that they have been abusing processes of the court in relation to the damages claim.’’
A lawyer representing Rangers said club bosses were “pleased” with the outcome of the case. Ryan Mowat, of Kingsley Napley, said the claim had been “spurious”. He added: “Fortunately, the judge was alive to the game-playing of Sports Direct.”
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