Companies fail to identify case against Motorola

THREE IRISH companies suing Motorola for €100 million in damages over alleged breach of agreements concerning provision of broadband…

THREE IRISH companies suing Motorola for €100 million in damages over alleged breach of agreements concerning provision of broadband services in Ireland have so far failed to precisely identify their case against the telecommunications firm, the Commercial Court has ruled.

Mr Justice Peter Kelly yesterday upheld Motorola’s arguments it was not possible to ascertain, with the degree of certainty required, the precise case which the companies wished to make in their claim for large damages.

He would give the companies “a final opportunity” to make their case “in a form that can be readily understood”, the judge said.

The case has been brought by IBB Internet Services Ltd, Irish Broadband Internet Services Ltd (trading as Imagine Networks, and Imagine Communications Group Ltd (ICG), all with addresses at Barrow Street, Dublin, against Motorola Ltd, with registered offices at Basingstoke, Hampshire, England. The first two plaintiffs are wholly owned subsidiaries of ICG.

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The plaintiffs claimed they contracted with Motorola in 2009 for it to provide an end-to-end broadband network nationwide in Ireland, using WiMax technology. There were significant failures by the defendant in meeting its contactual obligations, resulting in substantial losses for the plaintiffs to date and into the future, it was claimed.

Lawyers for Motorola previously told the court it was contending it had abided by its contract. The court also heard Motorola was being taken over by Nokia Siemens Network.

A 50-page statement of claim was delivered in March 2011 claiming damages of more than €100 million which was followed by an amended statement of claim that was delivered in May 2011.

One might have hoped the amended claim would have clarified the position but Motorola contended matters were made more obscure, the judge said. There was “a good deal of force” in that criticism.

The judge said he would grant leave for delivery of a final re-amended statement of claim which must set out the case to be made and the facts being relied upon.

Mary Carolan

Mary Carolan

Mary Carolan is the Legal Affairs Correspondent of the Irish Times