Joy for Tory MP Huw Merriman as 'femme fatale' case is dropped by lawyer

Patronia Campbell, 49, had been looking for a £250,000 settlement. She originally tried to claim £500,000 and was accused at a London tribunal of seeking cash “from the beginning”. 

Ms Campbell alleged she was bullied by Mr Merriman, then a work colleague, after having a night of drunken sex in June 2011. 

She insisted she was unfairly discriminated against at Lehman Brothers International after refusing to have an affair with the 42-year-old.

Yesterday, on the hearing’s seventh day, she dramatically dropped claims of unfair dismissal, harassment and victimisation against Mr Merriman, Lehman Brothers International and managing director Tim Parsons. 

Her representative Jack Feeny made the unexpected announcement that all the allegations were being withdrawn shortly before Mr Merriman was due to give evidence. 

James Laddie QC, for the respondents, replied: “We are delighted the claimant has finally seen sense.

“We are not making any further applications, we have agreed not to pursue any claims for legal costs. 

“My clients are happy to be able to get on with the rest of their lives.” 

During earlier angry exchanges he accused Ms Campbell of playing the role of a femme fatale and going after a “big payout”. He said: “I put it to you that throughout this process you have been looking for cash from the beginning to the end?”

Mr Merriman, who was managing director at the time, denied sleeping with Ms Campbell. The MP for Bexhill and Battle admitted he spent the night in the same house but insisted “nothing sexual transpired”. 

He declined to comment after the hearing at the East London tribunal centre. But the father of three and his legal team toasted their success over a two-hour lunch at nearby Bar Salento after the tribunal collapsed. 

Ms Campbell, who was on £130,000 plus bonuses, declined to comment.