Judge urges mediation in dispute over Galwayprivate medical clinic

Companies linked to businessman Larry Goodman and US-based Dr Joseph Sheehan are ‘at loggerheads’

A legal action involving companies linked to businessman Larry Goodman and US-based Dr Joseph Sheehan, who are "at loggerheads", has been brought over the management and direction of a Galway-based private medical clinic.

Blackrock Medical Partners (BMP) Ltd, controlled by Dr Sheehan, has brought proceedings against Marpole Ltd, the beneficial owner of Galway Clinic Doughiska, and Marpole's majority shareholder Parma Investments Ltd, an entity associated with Mr Goodman. Blackrock Medical Partners owns 25 per cent of Marpole.

Companies linked to Mr Goodman and Dr Sheehan have been in dispute for some time over shareholders agreements in respect of the clinic in Galway and Dublin's Blackrock Clinic.

The latest action, which relates to the Galway facility only, involves claims by BMP that Parma has orchestrated a campaign of oppressive and abusive behaviour towards BMP.

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Declaration of affairs

BMP seeks a declaration the affairs of Marpole Ltd and the powers of its directors are being exercised in a manner that is oppressive to BMP. BMP also seeks various orders including that Parma either buy BMP’s shares in Marpole or Parma sells its shareholding to BMP.

BMP said the action differs from other proceedings currently before the courts between the parties over alleged oppressive behaviour as it contemplates a buy out by one or other shareholder in Marpole rather than a continuation of the existing arrangement between the parties.

BMP says the cessation of their agreement is preferable to its continuation which, it says, could lead to even more proceedings between the parties. BMP also seeks an order consolidating this action with two existing cases.

The case was admitted to the fast track commercial court list by Mr Justice Brian McGovern on Monday who said the sides should consider having the dispute mediated. Noting the parties had been involved in a partnership, he said it would be better for all sides if they went to mediation.

In a sworn statement, Dr Sheehan said he was prepared to engage in further mediation efforts in an attempt to resolve all issues between the sides.

There was no objection to the case being admitted to the court’s list and it is due back before the court later this month.