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February 18, 2015updated 19 Aug 2016 4:00pm

UK Home Office wins £224m e-Borders legal battle

High court judge over-ruled the earlier tribunal which settled in favour of Raythen.

By CBR Staff Writer

The UK Home Office has won victory in its long-running legal battle against Raytheon Systems (RSL) over the e-Borders contract, after a high court judge set aside the earlier tribunal ruling, noting it was undermined by ‘serious irregularities’.

The High Court judge set aside a £200m settlement award earlier won by Raytheon over the e-Borders programme contract.

According to the judge, the tribunal was unsuccessful in considering facts about the responsibility for the setback and its impact on the awarded damages.

The Home Office said in a statement to BBC: "We are pleased with the judgment handed down today by the court."

"However, the legal process is ongoing and it would be inappropriate for us to comment further at this time."

The latest decision will put an end to eight years of delay and argument over the controversial £750m ‘eBorders’ programme, which was aimed at tracking passenger movements in and out of the UK.

The tech firm, which was awarded the nine-year contract in 2007, challenged the ruling and would even appeal to the Court of Appeal to get back money for the illegal cancellation of the contract.

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In response, an undisclosed Raytheon spokesman said: "It is a fundamental principle of international business that awards of arbitral tribunals are respected and enforced by national courts."

"We believe that the Arbitral Tribunal considered and decided all relevant issues before it.

"RSL is determined to pursue an appeal of this decision, to enforce the Tribunal’s award and to recover the sums due to RSL for wrongful termination of the e-Borders contract."

The e-Borders programme was launched by previous UK government, while the coalition terminated the deal in 2010.

Upon the contract being terminated, the UK government reportedly lost assurance in the firm’s potential to accomplish the programme after it was being executed behind schedule.

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