HP has dropped its attempt to remove Jeremy Sandelson from his role as manager of Mike Lynch’s estate, allowing him to remain in the position if the appeal process is approved.
Should the appeal be denied, Interpath Advisory will assume responsibility for the estate.
Earlier in the year HP sought to replace Sandelson with Interpath against the family's objections.
During a court hearing, HP argued that Sandelson’s close ties to the family created a fundamental conflict of interest and that Interpath would provide a more impartial administration.
HP also contended that any estate manager would need to examine the finances of Lynch’s widow to determine whether her assets could satisfy the £920 million damages award.
The award is almost twice the value of Lynch’s entire estate, meaning additional sources will be required to cover the full amount.
Sandelson has overseen the estate since Lynch’s death in August 2024.
Mike Lynch, founder of Autonomy, was found liable in 2022 over the company’s 2011 sale to HP for £8.3 billion after allegations of inflated valuation.
A High Court judge ordered the estate to pay £920 million, including damages, interest and costs, following a final claim of nearly $1.8 billion.
Although Lynch was cleared by a U.S. jury in June 2024, he died two weeks later when the yacht Bayesian sank off the Sicilian coast, taking his teenage daughter and five others with him.
Italian investigators determined the sinking resulted from crew error rather than a storm, citing improper actions, underestimation of weather and failure to activate safety devices.
The inquiry is exploring potential crimes, including negligent shipwreck and manslaughter for the captain and two crew members, and may implicate the yacht’s builder.
A separate safety investigation is underway by the UK Marine Accident Investigation Branch, while the builder has filed a £400 million claim against the widow, captain and crew.
The yacht sank two days after the death of Stephen Chamberlain, a co‑defendant in Lynch’s fraud case, who was killed in a car accident during an inquest.
Chamberlain’s father noted his son had taken up ultramarathons to cope with the pressures of the trial.
HPE was approached for comment, but no response was provided.
