Earl Spencer faces paying tens of thousands of pounds after dropping a legal action against a lawyer he blamed for costing him £1million in a divorce hearing.
The brother of Princess Diana sued Sir Nicholas Mostyn and the legal team who represented him in his second divorce two years ago, claiming they mishandled his case.
But his action and a counter-claim against him by solicitors Fladgate have now been dismissed after all parties agreed to an undisclosed settlement.
Last year, Lord Spencer embarrassed Sir Nicholas by revealing in a writ that the lawyer - now himself a judge - had told him in a private email that he had named seven piglets after a judge involved in the divorce hearing, Lord Justice Munby.
The piglets’ names included “self-regarding”, “pompous”, “publicity-seeking” and “pillock”.
Lord Spencer claimed that his legal team did not warn him in time of a change in the law that meant the hearing to decide his ex-wife’s financial settlement could not be held in private.
To avoid the public gaze, he settled out of court with his wife Caroline - and paid her an extra £1million, which he had to borrow from his bank.
But procedural judge Master Bowles has now ordered that Lord Spencer’s case should be dismissed.
A legal expert said: “It appears Earl Spencer has not had any of his legal costs paid by the other side, so his own costs could run to tens of thousands of pounds.”
Sir Nicholas, 52, has specialised in high-profile divorce cases. He joined forces with Fiona Shackleton to act for Sir Paul McCartney in his divorce from Heather Mills.
In the Lord Spencer case, Sir Nicholas was assisted by barrister Elizabeth Clarke, with whom he later began a relationship. Lord Spencer, who lives at Althorp in Northamptonshire, sued Fladgate, Sir Nicholas and Ms Clarke for breach of contract and negligence between 2005 and 2009. In his 32-page writ, Earl Spencer complained that the Press had taken a hostile interest in him for many years, and said it was vitally important to him that the divorce proceedings should attract minimum publicity.
Sir Nicholas is now embroiled in divorce proceedings from his wife of 29 years over his relationship with Ms Clarke. Her husband, barrister Mark Saunders, was shot dead by police marksmen after a stand-off at his £2.2million London home in May 2008.
A spokesman for Lord Spencer said the terms of the settlement were confidential. - Daily Mail