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.
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