LAWYERS fighting for hundreds of North-East asbestos victims have won a partial victory in the High Court.

But the fight for compensation is not over and could still leave them emptyhanded.

The UK's largest law firm Thompsons Solicitors, which is acting for the asbestos victims, won a ruling that the Royal and Sun Alliance is liable for compensation claims against asbestos manufacturer Turner and Newall.

The company owned Newalls Insulation and Washington Chemicals, which employed about 1,500 people in the Tyne and Wear area.

Former employees, or the families of workers who have died, claim they suffered asbestos-related diseases as a result of their work.

Turner and Newall went into administration in 2001 and its American parent, Federal-Mogul, has filed for insolvency protection.

The Royal and Sun Alliance, the company's insurers from 1969 to 1977, and a Lloyd's syndicate that provided cover between 1977 and 1995 argued that a policy clause excluded them from responsibility, but the High Court ruled for the former employees.

Thompsons welcomed the ruling but said most victims would not benefit because the ruling applied to people exposed to asbestos after 1969. Most claims against Turner and Newall in Britain relate to exposure before 1969.

Ian McFall, head of Thompsons' national asbestos team, said: "This ruling is a relief for many of our clients who have been awaiting the outcome of this trial. But this is only the first hurdle they need to overcome.

"The Royal is still fighting this case to try to avoid paying anything to asbestos victims based on further legal arguments, which will be dealt with at a second trial."

He said victims could be denied any right to compensation if the court accepted the insurer's claim that Turner and Newall did not disclose relevant information when the insurance policies were written.

A spokesman for Royal and Sun Alliance said the firm took its responsibilities seriously and had a great deal of sympathy for the claimants.