Someone, somewhere has gone full Bannatyne
DAC Beachcroft's previous plan to sell off its sizeable claims group is off the cards, for now, RollOnFriday understands.
RollOnFriday revealed just a couple of months ago that Limerston Capital, a private equity fund, was in exclusive talks to purchase the Claims Solutions Group (CSG) from DACB.
Held as DAC Beachcroft Claims Ltd, CSG handles personal injury and specialist claims on behalf of insurers and corporate clients. It operates in 12 UK locations and the Republic of Ireland, and employs over 1,000 people – roughly a third of DACB’s workforce.
However, a source has told RollOnFriday that the firm's Managing Partner, David Pollitt, recently made an internal announcement that DACB is no longer trying to sell CSG.
The insider said the decision was made "after a backlash from salaried partners, other staff and clients." Although a source close to management denied that a backlash was the reason.
The future plans for CSG remain murky. A spokeswoman for the firm said: "Following a strategic review of our business, exploring all our options to enhance the long-term investment into our Claims Solutions Group (CSG), we have developed an exciting new business plan for CSG, which we will implement to ensure CSG remains the leader in its markets for the benefit of our clients and colleagues."
It remains to be seen whether the 'exciting plan' can heal a supposed rift between the two divisions of the firm. DACB staff have previously described their firm as “two firms in one”, with the LLP on one side and CSG on the other.
“There is a clear divide between the fat cats in the LLP and the poor personal injury lawyers in the Claims Solutions Group side of the business”, an insider previously told RollOnFriday.
Some staff have referred to a pecking order where “the personal injury side of the business is considered the lowest of the low within the firm”, and its staff are paid "like peasants whilst the LLP live in rarified air”.
But for now, it seems CSG staff will have to try and embrace being a substantial part of the DACB family.
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