Diana fund lawyers consult over letter

Lawyers at the Diana, Princess of Wales Memorial Fund, are studying a letter from Franklin Mint stating the company will limit any claim for damages to £10 million.

The American company, which produces Diana memorabilia, is pursuing legal action against the fund. The uncertain financial situation prompted trustees at the charity to freeze grant payments of £10 million to charities.

The fund issued a statement saying it was studying the correspondence "to see if it is a credible and effective document" before commenting further.

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