Former Pogust Goodhead partners attempt takeover of £36bn BHP case

Former Pogust Goodhead partners have moved to take control of the £36 billion Mariana dam litigation against BHP, setting up a dispute over who represents hundreds of thousands of claimants in one of the largest cases in English legal history.

Bailey Glasser International (BGI), a new entity led by former Pogust Goodhead lawyers, said it has replaced the firm following a unanimous decision by a committee representing most of the claimants.

But Pogust Goodhead disputes that the committee has the authority to remove it from the wider claim and says it continues to represent hundreds of thousands of people affected by the 2015 Brazilian dam disaster.

Former Pogust Goodhead lawyers return

BGI is a trading name of Edward McCourt & Company, a UK regulated law firm whose partners include former Pogust Goodhead partner Jeremy Evans. Pogust Goodhead co-founder Tom Goodhead, who was ousted from the firm last year, was briefly a partner in the business, as The Times reported last year.

The firm declined to comment when asked by Non-Billable whether Goodhead remains involved with the business.

According to its website, BGI operates as a joint venture with US litigation firm Bailey & Glasser, with London disputes specialist Hausfeld supporting it in conducting the case.

Its Mariana team includes Evans, former Pogust Goodhead partner Faranak Ghajavand, who most recently worked at Gateley, and former Pogust Goodhead associate Callum Walters.

BGI said a client committee established under the agreement governing the litigation voted unanimously on 28 August to end the claimant group's relationship with Pogust Goodhead and appoint BGI.

It said the decision followed “confidential matters” identified by the committee concerning Pogust Goodhead's conduct of the case, which had been repeatedly raised with the firm.

Ghajavand, who serves as head of commercial disputes at BGI, said:

“Bailey Glasser International has taken over conduct of the Mariana litigation in England, working alongside Hausfeld & Co LLP in London.

"Our priority is continuity for the claimants, with the case proceeding without disruption. It will be led by a team with many years’ experience on the case and a deep familiarity with the issues.”

Pogust Goodhead disputes move

Pogust Goodhead disputes that the committee has the power to remove it from the wider litigation.

A firm spokesperson said: “The Client Committee has no authority to terminate Pogust Goodhead’s representation on behalf of the wider group of claimants.

“Pogust Goodhead continues to represent hundreds of thousands of Brazilians affected by the worst environmental disaster in the country’s history, and the litigation continues as normal.

“We remain committed to protecting our clients’ interests, avoiding unnecessary disruption and maintaining the current timetable for the trial, which is scheduled to begin in April 2027.”

A new twist

The latest development comes after a turbulent period for Pogust Goodhead and the Mariana case.

Last year, co-founder Tom Goodhead was ousted from the firm following a breakdown in relations with hedge fund backer Gramercy. Months later, Pogust Goodhead secured a major victory when the High Court found BHP liable for the disaster.

In June, the firm announced that Quinn Emanuel had been brought in to help with the damages phase, alongside up to $150 million of new funding from Gramercy.

It is unclear whether Quinn Emanuel remains involved following the attempted transfer of the case, or what the move means for Gramercy's funding arrangements and its existing investment in the litigation.

The next trial, which will determine causation and how much compensation is due, is scheduled to begin in April 2027 and run until March 2028.