A member of the Saudi Arabian royal family is embroiled in a £1m legal battle with Kleinwort Benson Private Bank over his home in London.
Prince Faisal bin Turki al Abdullah al Saud says he was unable to sell his home in Holland Park because the bank failed to obtain a guarantee against subsidence.
The prince says he relied on his advisers when they recommended he should accept a tender for underpinning works by Dual Contractors in 2002. But a High Court writ says Dual failed to tell the Association of Specialist Underpinning Contractors about the project before work started, so an insurance guarantee was not provided. Dual went into administration two years later.
Two offers to buy the house for £7.5m were withdrawn when the prince was unable to produce guarantees for the work. In 2005, estate agents advised him to accept an offer of £6.75m for the property, saying it had been on the market for a year and the prince agreed.
The prince says Kleinwort Benson should have obtained insurance against the risk of subsidence as this affected its value. He also says they made no attempt to inspect guarantees for the underpinning work.
The prince is seeking a total of £1,246,785.01, which includes a £750,000 loss of the sale of the property, £15,000 for the cost of security guards for a year and legal fees of more than £20,000.
