The High Court yesterday threw out a petition from Express Newspapers alleging prejudicial behaviour by the Telegraph Group and claims against the directors of West Ferry for breach of fiduciary duty.
The battle began in April, when the two sides could not agree on a price for the 50% stake Desmond acquired in the lucrative printing operation when he bought the newspapers in November from United Business Media.
Desmond's case relied on the Telegraph, which had agreed to exercise an option to buy out the new owners of the plant, agreeing to pay the price set by his holding company Northern & Shell.
However, in his judgement, vice-chancellor Sir Andrew Morritt said that undue pressure had been placed on Dan Colson, Hollinger deputy chairman. He questioned the credibility of N&S joint group managing director Martin Ellice who, Morritt said, "gave me the clear impression of one determined at all costs to stick to a predetermined script".
Express Newspapers will now have to fork out for a six-figure legal bill awarded against it during the trial.