Blackburn ordered to pay sacked boss
Indian-owned Blackburn Rovers were ordered to pay £2.25 million in compensation to former manager Henning Berg by a High Court judge on Monday.
Former Manchester United defender Berg was sacked in December by Venky's, the Indian poultry firm that owns Rovers, after just 57 days in charge of the Championship club following a run of one win in 10 matches.
Blackburn argued in court that managing director Derek Shaw acted without authority from Venky's in granting ex-Norway international Berg a three-year contract that entitled him to full payment of his agreement in the event of an early dismissal.
Venky's claimed their preference was for a 12-month notice period, but Judge Mark Pelling dismissed the notion that Shaw lacked the authority to finalise the terms of Berg's deal.
"In my judgement it is unarguable to suggest that the managing director of Blackburn does not have implied or usual authority to sign employment contracts on its behalf," he said.
"As I have said it is common ground that Mr Shaw had been actually authorised to negotiate and conclude an employment contract with Mr Berg."
Blackburn's barrister, Neil Berragan QC, asked for permission for the club to appeal the decision but Judge Pilling dismissed the request.
Berg's time at Blackburn was followed by a similarly brief tenure under Michael Appleton.
Gary Bowyer is now in temporary charge for the second time this season and Saturday's 1-1 draw against Crystal Palace effectively secured Rovers' Championship status following last season's exit from the Premier League.