Contractor secures orders against subcontractor over alleged delay to work at pharma plant

High Court orders made in favour of Sepam Solutions Ltd

The High Court, Dublin

The High Court, Dublin

 

A building contracting company has secured various High Court orders against a subcontractor whose alleged actions it is claimed had delayed work on a new vaccine manufacturing facility.

The orders were made in favour of Sepam Solutions Limited, which has been contracted to supply equipment and services as part of the construction of a large biopharmaceutical facility in at the IDA Science and Technology Park at Mullagharlin, Dundalk, Co Louth.

The orders were secured against MDLR Ltd and Titin Ltd, which it is claimed had been engaged by Sepam as subcontractors on the project.

It is alleged that MDLR, which is registered in Mitchelstown, Co Cork and Titin which has a registered address Cahir, Co Tipperary are separate but related companies.

Sepam has been contracted to carry out plumbing, mechanical and electrical works on the plant.

Sepam, with a registered address at Clonmel in Tipperary, alleges that as a result of material breaches of the subcontract, it terminated agreements it entered into with the defendants.

However, Sepam claims that MDLR has retained and is refusing to return equipment, which is essential to the completion of the facility, supplied to it by the plaintiff.

Sepam also alleges that Titin is refusing to return monies Sepam paid as a six figure down payment to allow the subcontractors procure specialised materials and other equipment needed to complete the works.

Injunction

At the High Court on Friday Sepam represented by Bernard Dunleavy SC appearing with Neal Flynn Bl, secured various orders including an injunction requiring the defendants to deliver up equipment to the plaintiff, and to return the down payment.

Sepam claims that the defendant’s actions had already delayed the project by 12 to 16 weeks.

This was damaging Sepam’s business reputation and it is further concerned that any further delay put its contract in relation to works at the plant at risk of being terminated.

It further secured an order preventing the defendants from reducing their assets below a value of €500,000 or dealing with the down payment Sepam made to Titin in April.

The orders were granted by Mr Justice Senan Allen on Friday evening, who last week granted Sepam permission to serve short notice of the injunction application on the defendants.

When the matter returned before the court, there was no appearance by the defendant companies and no representation was made to the judge on their behalf.

In light of their non-appearance the judge said he was satisfied to grant the injunction orders sought.

The plant is being constructed on behalf of WuXi Vaccines Ireland Ltd and will employ some 200 people when operational.

It plans to develop vaccines to combat Dengue Fever, which effects millions of people globally, for multi-national pharma giant Merck, Sharp and Dohme.