Clifford did not make any 'secret profit', judge rules

Publicist loses case on technicality but emerges with reputation intact from battle against former client who miscarried octuplets

Max Clifford, Britain's best- known publicist, emerged yesterday from his High Court battle against Mandy Allwood – who miscarried octuplets in 1996 – with his reputation intact.

Although Mr Clifford was ordered to pay his former client £15,200, the judge rejected her claim that he made a "secret profit" out of her story.

Ms Allwood, 35, had claimed £16,200, the bulk of which related to a £15,000 payment to Mr Clifford's company, Max Clifford Associates (MCA), from the News of the World. Mr Justice Park ruled that her claim succeeded to a total amount of £15,200. But Ms Allwood is unlikely to benefit financially from the ruling. The judge upheld a £4,970 counterclaim by Mr Clifford over unpaid commissions, and ordered each side to pay their own costs of the action.

Speaking after the case, Ms Allwood said she brought the legal action in memory of her eight dead babies. Accompanied by her partner, Paul Hudson, she said: "I have been caused considerable anguish by Mr Clifford's behaviour to me. I did this for our babies. As far as the costs are concerned, money is not everything. Right is right and wrong is no man's right."

In his judgment Mr Justice Park said: "In the evidence and the argument Mr Clifford was accused of all sorts of misconduct and impropriety in connection with the £15,000 – secretly taking money on the side and the like. I do not agree with these attacks on Mr Clifford's honestly and reputation. However, I do think that, for reasons of a more technical nature ... and which do not impact adversely on Mr Clifford's standing in his business, MCA is liable to account to Ms Allwood for the £15,000."

The judge said that when Ms Allwood was pregnant with octuplets in 1996, "it was potentially a big news story". He went on: "Mr Clifford, through his company MCA, was engaged to act as her publicity agent and adviser. The two of them have since fallen out and this case is one consequence of the falling out. Originally large sums were claimed by Ms Allwood, but by now, although there is a lot of ill-feeling behind the case, the actual sums are quite small."

Mr Clifford's evidence, the judge said, was that over the five months or so he acted for Ms Allwood his contracts earned for her £190,000 after all commissions. "I do not suppose for a moment that, without Mr Clifford, Ms Allwood and Mr Hudson would have earned anything like that figure," the judge said.

Commenting on the case, Ms Allwood said Mr Justice Park had recognised the "animosity" between Mr Clifford and herself. She added: "His animosity is surprising, bearing in mind the large sums of money he earned from me. I can only conclude that his animosity is due to the fact I stood up to him and brought him to court."

Mr Clifford said in a statement: "I just find it incredible that the judge could reach this outcome [on the £15,200] when by his own admission Mandy Allwood and Paul Hudson are prone to making wrongful assertions and are so obviously unreliable.

"It defies belief then that he could accept their version of events on this point when not only had I explained this to Paul and Mandy but I was also publicly defending the interests of the News of the World across the entire media."

Mr Clifford's case in the action was that he had fully informed the couple of his fee from the News of the World for public relations services. Mandy Allwood and her partner said that they were never told.