Department Stores

Harrods close to finalising compensation for al Fayed victims

The draft terms suggest that some victims of the former Harrods owner could receive over £300k in compensation

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Harrods’ lawyers at MPL Legal are reportedly close to finalising compensation payments, that are potentially worth more than £300k, to settle sexual abuse claims brought against former owner Mohamed al Fayed, according to Sky News.

Following his death in 2023, al Fayed’s abuse of hundreds of young female workers at the Knightsbridge department store was uncovered. The billionaire businessman owned Harrods for 25 years, but sold it in 2010 to Qatar Holding for £1.5bn. 

It is understood that the law firm has been in touch with potential claimants and informed them that they could be eligible for general damages lump sums of up to £110k or £200k. However, this is dependent on their willingness to submit to a psychiatric assessment arranged by the company. 

A document, which was viewed by Sky News, suggests that al Fayed’s victims who choose a “non-medical pathway” would be eligible for “general damages limited to compensation for sexual assault of up to £110k”, with “aggravated damages [of] up to £15k”, and “wrongful testing fixed payment(s) up to £7,500”.

Claimants who agree to an assessment by a scheme consultant psychiatrist – the “medical pathway” – would be eligible for general damages of up to £200k, further payments equivalent to those potentially awarded to non-medical claimants, as well as treatment costs “past and future supported by the medical report” and a “work impact payment capped at £110k”.

The draft terms suggest that some victims of the former Harrods owner could receive over £300k in compensation.

A Harrods spokesperson told Retail Sector: “It would be premature for us to comment on the nature and details of a scheme that is currently under consultation.

“We are actively inviting the valuable input from Survivors and their legal representatives to establish the final scheme that aims to be survivor-first, trauma-informed, and fair in its approach to compensation. Further updates will be provided once the consultation period is complete.”

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