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Harrods is seeking to recover from Mohamed Al Fayed’s estate the compensation it pays to women who have alleged they were sexually abused by the late former owner of the luxury department store.
According to evidence reported by the Guardian, Harrods is seeking a full indemnity from Al Fayed’s estate for compensation payments it is required to make to survivors.
The development has prompted criticism from survivors and their legal representatives, who say the move appears difficult to reconcile with Harrods’ public acceptance of responsibility for the abuse.
Al Fayed, who died aged 94 in 2023, has been accused by numerous women of rape, sexual assault, sexual exploitation and human trafficking spanning several decades. The allegations have been investigated by police and are the subject of ongoing legal and compensation proceedings.
Lucy Traynor, a senior associate at KP Law, which represents the majority of known survivors, said Harrods had publicly accepted responsibility while simultaneously seeking to recover compensation payments from Al Fayed’s estate.
She argued that the allegations raised questions about the wider environment within Harrods during Al Fayed’s ownership, including what employees and management knew or should have known.
Survivors have also expressed concern that recovering compensation from the estate could reduce the assets available to meet claims brought directly against it.
Shanta Sundarason, who says she was sexually assaulted by Al Fayed while working at Harrods, described the reported plan as deeply disturbing.
Another former employee, identified as Catherine, who says she was sexually abused while working as Al Fayed’s personal assistant, also criticised the retailer’s position.
The comments are allegations and personal accounts made by the women and do not constitute independent findings against individuals beyond those established through legal proceedings.
Harrods said its priority was ensuring that all eligible survivors received compensation and that it continued to settle claims.
The retailer has previously accepted vicarious liability for sexual abuse allegedly perpetrated by Al Fayed and has publicly condemned his conduct. Harrods has also acknowledged that employees were failed during the period of his ownership.
The company established its own compensation scheme for survivors, which closed to new claims in March 2026.
Harrods’ latest accounts showed that it had paid £4.1 million from £57 million set aside for compensation in 2025, with settlements reached with 113 women at that point, according to the Guardian.
The financial implications could be substantial.
KP Law said earlier this month that compensation claims involving 275 survivors it represents could reach as much as £150 million. The firm represents more than half of the known claimants in the case.
The law firm has argued that the combined claims against Harrods and Al Fayed’s estate could exceed £200 million.
Harrods, however, maintains that it is continuing to support survivors and settle eligible claims.
The dispute also involves the administration of Al Fayed’s estate.
Harrods made a legal application last year seeking the appointment of independent executors to administer the estate, replacing family members. The retailer said the move was intended to protect assets and ensure compensation claims could be dealt with appropriately.
Harrods has said the estate has not publicly acknowledged the abuse allegations, apologised or settled claims.
A High Court hearing concerning the application is scheduled for November.
The value of Al Fayed’s estate and the extent to which it can ultimately meet compensation claims remain matters for the ongoing legal process.
The allegations against Al Fayed have prompted investigations and wider scrutiny of his former business operations.
Harrods launched an investigation into whether current staff had been directly or indirectly involved in the alleged abuse. The company later said an employee had left the business in connection with that investigation.
The Metropolitan Police is also investigating allegations relating to Al Fayed, while survivors and their representatives continue to seek answers about whether others may have facilitated or failed to prevent the alleged abuse.
The latest dispute over compensation highlights the continuing legal and financial consequences of allegations against the former Harrods owner, three years after his death.
Daily Dazzling Dawn will continue to follow developments in the compensation claims and the legal proceedings involving Al Fayed’s estate.
