PracticeConsultingBREAKING NEWS: Andersen Consulting loses rights to name

BREAKING NEWS: Andersen Consulting loses rights to name

Andersen Consulting has claimed 'total victory' in its arbitration case with Arthur Andersen, despite having to surrender its name from the end of the year.

According to Andersen Consulting, Dr Guillermo Gamba, the arbitrator appointed by the International Chamber of Commerce has ruled in its favour.

He concluded Arthur Andersen and Andersen Worldwide, which co-ordinated the sister firms, had breached its material obligations under the legal documents controlling the relationship of the parties.

He concluded all obligations that AC had to its sister firm are terminated from today and importantly the arbitrator also ruled that AA’s claim that AC owed them $14.5bn has been rejected.

But he also ruled that Andersen Consulting would have to surrender its name to Andersen Worldwide from the end of the year. Only last week Andersen Consulting described this eventuality as ‘Arthur Andersen fantasy’.

Joe Forehand, AC global managing partner and CEO, said: ‘This is a total win for AC. We won. It’s over. We have defeated AA’s preposterous claim that we owe them $14.5bn. We owe them nothing beyond our contractual transfer payments, which end today. Now it is time to move on independently, continuing to focus on our clients, our people and our ambitious reinvention agenda.’

Arthur Andersen has said it will issue a comment later this afternoon.

Links

Date set for Andersens’ divorce announcement

Exclusive: Daggers drawn in Andersens name battle
Andersen Consulting has blasted the chances of it losing its brand name as ‘Arthur Andersen fantasy’ – as both parties wait for the outcome of the arbitration to decide their futures.

EXCLUSIVE: Andersens’ divorce heats up
The Andersens’ divorce took another turn today with Andersen Consulting revealing it has 800 pieces of evidence which it believes show Arthur Andersen has breached a competition agreement.

Accountancy Age exclusive: Andersens civil war to be settled out of court
The bitter divorce battle between Arthur Andersen and Andersen Consulting could be settled out of court as early as next month, Accountancy Age has learned.

Forehand to hold court in Andersens divorce.The bitter divorce battle between Arthur Andersen and Andersen Consulting could be settled out of court as early as next month, Accountancy Age has learned.

Andersen CEO goes
A 27-year veteran of Andersen Consulting has been named as the firm’s new managing partner and CEO. Joe Forehand, who has been a partner for 17 years, succeeds George Shaheen who left in September to join the online grocer Webvan.

Andersen readies split
The two warring factions of Andersen Worldwide have appointed an arbitrator to oversee the firm’s divorce.

Arthur Andersen website

Andersen Consulting news release

Related Articles

5 tips for SMEs to protect cash flow

Accounting Software 5 tips for SMEs to protect cash flow

5m Alia Shoaib, Reporter
Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

Consulting Tyrie on Finance Bill 2017: ‘Making Tax Policy Better’

11m Stephanie Wix, Writer
Managing partner Q&A - the year ahead: Richard Toone, CVR Global

Accounting Firms Managing partner Q&A - the year ahead: Richard Toone, CVR Global

12m Kevin Reed, Writer
Deloitte 'self-imposes exile' on government contracts to defuse PM row

Accounting Firms Deloitte 'self-imposes exile' on government contracts to defuse PM row

12m Kevin Reed, Writer
Managing partner Q&A - the year ahead: Julie Adams, Menzies

Accounting Firms Managing partner Q&A - the year ahead: Julie Adams, Menzies

12m Kevin Reed, Writer
Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

Business Regulation Friday Afternoon Live: Deloitte's tech thing; PAC wants HMRC 'contingencies'; and Sports Direct

1y Kevin Reed, Writer
Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

Audit Friday Afternoon Live: HMRC complaints rise; Deloitte scoops big audits; and corporate reporting woes

1y Kevin Reed, Writer
New head of equity capital markets for KPMG

Accounting Firms New head of equity capital markets for KPMG

1y Stephanie Wix, Writer