UBS and the

UK wealth management start-up, Vestra Wealth, which have been embroiled in a bruising legal row about the latter firm’s recruitment of dozens of UBS client managers, have agreed a settlement ahead of a High Court trial in October.

“Following an interim hearing which took place in the High Court pending full trial in October, we are pleased to say that a settlement has now been reached.  Due to the confidential nature of this agreement we are unable to comment any further,” a spokesman for Vestra said in a statement.

UBS issued the same statement and declined to comment further when contacted by WealthBriefing.

Earlier this month, Zurich-listed UBS won a High Court “springboard” injunction preventing five former employees and Vestra from approaching any UBS wealth management or stockbroking clients or asking any more UBS staff to join it. The ruling came after 52 UBS employees resigned from UBS to join Vestra.

Subsequently, two employees, David Guild, a London-based investment manager, and Keith Merrick, also an investment manager, have changed their minds and are staying at the Swiss banking and wealth management giant.

The legal clash has hinged around the issue of the restrictive clauses that were imposed on former UBS staff relating to their ability to work for other firms and solicit business. In the ruling in early August, Mr Justice Openshaw said he was "firmly of the view that the claimants have put forward a formidable case that there was an unlawful plan to poach staff and clients from UBS", and that "It is in my judgment an unlawful conspiracy dressed up as lawful competition".

The founder of Vestra, former UBS manager David Scott, has maintained that there was nothing untoward about his recruitment of UBS managers and has also argued that the ruling has not derailed the launch of his firm, which is based in

London’s City financial district.

Join the debate around the formation of Vestra wealth at www.wealth-connect.com