Persimmon’s management has been spared the embarrassment of a court appearance after it settled its legal dispute with John Bennett, the former finance director of Westbury.

Bennett was seeking damages for breach of contract and unfair dismissal from the FTSE 100 housebuilder. It is understood that the former finance chief was claiming damages in the region of £900,000. The dispute was settled for an undisclosed sum.

The dispute arose after Persimmon bought Westbury for £643m last year and culled its management, including Bennett, who had been on the Westbury board since 1992.

As part of the takeover deal, Bennett agreed to work for Persimmon for six months. He claimed the two companies had breached the contract for money payable to him.