Harrods’ lawyers are suggesting six-figure payouts as settlements for sexual abuse claims against the former owner, Mohamed al Fayed.
Sky News has learned that MPL Legal, coordinating a redress scheme for the retailer, has informed potential claimants that they could receive general damages ranging from £110,000 to £200,000, depending on their willingness to undergo a psychiatric assessment organized by the company.
A document reviewed by Sky News indicates that victims of Mr. al Fayed who opt for a “non-medical pathway” could receive “general damages limited to compensation for sexual assault of up to £110,000”, “aggravated damages up to £15,000”, and “wrongful testing fixed payment(s) up to £7,500”.
Claimants agreeing to an assessment by a scheme consultant psychiatrist, known as the “medical pathway,” would be eligible for general damages up to £200,000, additional payments similar to those for non-medical claimants, treatment costs supported by a medical report, and a work impact payment capped at £110,000.
The draft terms suggest that some victims could receive over £300,000 in compensation.
However, requiring a further psychiatric assessment may upset claimants who have already suffered psychological trauma due to abuse by Mr. al Fayed.
Individuals opting for the “medical pathway” will face a lengthy wait for their payouts.
According to the MPL document, it would take up to six months to produce a medical report, after which a claimant would have 21 days to submit questions. An offer of compensation would be made within 35 days, following which the claimant could accept the offer, appeal to an Independent Appeals Panel, or exit the scheme for an alternative form of redress.
The proposed terms are preliminary and subject to ongoing consultation, expected to conclude by the end of this month.
If finalized, the scheme could result in Harrods paying out tens of millions of pounds in compensation.
The total cost will be determined based on the number of claimants and their choices regarding compensation routes.
In response to Sky News inquiries, a Harrods spokesperson stated, “It would be premature for us to comment on the scheme’s nature and details, as it is currently under consultation.
“We are actively seeking input from survivors and their legal representatives to establish a survivor-first, trauma-informed, and fair compensation scheme.
“Further updates will be provided once the consultation period is complete.”
Final details are expected to be confirmed soon.
Read more: A timeline of al Fayed sex abuse claims
As mentioned in a document on an MPL Legal website for administering the redress scheme, “Harrods and MPL Legal are in a consultation period regarding the compensation scheme to gather feedback from interested parties, including legal firms, Counsel, and Dame Jasvinder [Sanghera], the Independent Survivor Advocate.”
“It is anticipated that the final compensation scheme will be published, and survivors can access application forms from 31 March 2025.”
Mr. al Fayed, who passed away in 2023, owned Harrods for 25 years before selling it in 2010.
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‘Many more’ likely abused by Fayed
His reign of terror at the Knightsbridge store is thought to have involved hundreds of predominantly young female victims, with former Fulham women’s players also alleging sexual abuse by the billionaire Egyptian.
Mr al Fayed also owned Fulham Football Club for a number of years.
The MPL Legal document seen by Sky News said the redress scheme would “provide options for survivors – an alternative route to the court process”, and that it would “hopefully avoid an adversarial approach which also risks retraumatising survivors”.
It added that the scheme would be “as inclusive as possible – we want the scheme to work for as many survivors as we can”.
Under the heading “Scheme principles”, MPL said it represented “an alternative to litigation, but a survivor can leave the scheme at any time and pursue the claim through the court system”.
It said it hoped that law firms engaging with the scheme “will ensure survivors receive 100% of the compensation”.
“The level of compensation available through the scheme has been designed to mirror the court’s approach,” it added.
Read more:
‘I had to barricade myself in bedroom during work trip’, accuser says
Ex-flight attendant says she was sacked for refusing to sleep with al Fayed
It also said there were “certain classifications of cases which may not be suitable for the scheme, for example if a survivor wishes to claim a full loss of earnings”.
Last October, lawyers acting for victims of Mr al Fayed said they had received more than 420 enquiries about potential claims, although it is unclear how many more have come forward in the six months since.
In a section headed “Eligibility”, MPL Legal said Harrods “retains discretion to review eligibility on a case by case basis”.
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Bianca Gascoigne said she was groomed and sexually assaulted by al Fayed when she worked at Harrods
The document’s date of creation was unclear as of Saturday, but a legal source mentioned it was produced recently.