English company sues Irish firms for €114m

AN ENGLISH company is claiming €114 million damages against three firms over alleged breaches of agreements to clear contaminated…

AN ENGLISH company is claiming €114 million damages against three firms over alleged breaches of agreements to clear contaminated materials from the former Irish Steel plant site at Haulbowline island in Co Cork.

In separate proceedings, the State is being sued by Hammond Lane over its alleged failure to pay sums of more than €8 million arising from the clean-up.

At the High Court in Dublin yesterday, Mr Justice Peter Kelly entered the proceedings by Louis J O’Regan Ltd, with an address at Staffordshire, England, into the Commercial Court. He was told a further application will be made next week to transfer the action against the State to the court.

O’Regan Ltd has sued CTO Greenclean Environmental Solutions Ltd, with an address at Sarsfield Road, Wilton, Co Cork; Hammond Lane Metal Company Ltd, Pigeon House Road, Dublin; and Eastwood Ltd, Herbert Street, Dublin, for alleged breaches of a purported partnership agreement and written contracts of August 2007 between the sides for the clearance of the contaminated materials from the Haulbowline site.

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O’Regan Ltd has claimed in correspondence with solicitors for Hammond Lane the State failed to inform it of the nature and quality of toxic waste on the Haulbowline site and/or the hazardous way in which that waste was stored.

The application to transfer the case to the Commercial Court was brought by Hammond Lane, which argues there is no basis for the claim against it.

Prior to the O’Regan action, Hammond Lane initiated separate proceedings against the Minister for Environment, Heritage and Local Government over an alleged agreement under which the Minister appointed the company for the surface clean-up of the demolition and waste tip areas at the Haulbowline site, formerly owned by Irish Ispat Ltd.

Hammond Lane claims the Minister had in May 2008 ordered it to cease all works at the site and had served a notice of termination on the company days later.

Mary Carolan

Mary Carolan

Mary Carolan is the Legal Affairs Correspondent of the Irish Times