The High Court has approved a €550,000 settlement of a legal action by the liquidators of stockbroking firm Bloxham over alleged underinsuring of the firm.

The liquidators had claimed some €15 million damages in their proceedings against the firm's former insurance broker, Roberston Low.

The broker had strongly disputed any liability and had argued the firm understood the cover it had at all times and its consistent concern related to insurance had been the price of it.

The hearing opened last week but the sides agreed to attempt mediation on the suggestion of the President of the High Court, Mr Justice Nicholas Kearns. Although mediation did not result in agreement and the case resumed yesterday, the sides continued to engage and the judge was told yesterday they had agreed to a settlement.

Because the liquidators required court approval before they could settle the case, they asked the judge to approve the settlement of €550,000, plus costs.