London estate agent Winkworth has initiated High Court proceedings against its chair, Simon Agace, for allegedly breaching his contract. The AIM-listed company claims Agace breached provisions of his contract dating back to 5 November 2009, and duties as a director under the Companies Act.
The legal action follows an attempt by Agace's wife, Irene Ho Kim Lee, to remove all directors from the board, except her husband, at the company's annual meeting in May. She reportedly used her 34 per cent voting power in this attempt, which included their son and current chief executive, Dominic Agace.
Simon Agace, who was Winkworth's chief executive for 30 years until 2004, also reportedly demanded a board overhaul and threatened a shareholder meeting if his demands were not met. Winkworth has sought legal advice and applied for an interim injunction to block Agace from sharing confidential company information and using his family's voting power to change the leadership team.
Winkworth, founded in 1835 and specialising in high-end properties, stated it is "unable to comment further" while legal proceedings are ongoing. The company's shares fell by 1 per cent on Friday, from 185.00p to 177.50p.