Mooney & Anor -v- Kearns & Ors [2016] IEHC 31 (25 January 2016)

Mooney & Anor -v- Kearns & Ors [2016] IEHC 31 (25 January 2016)

The insurer's delay in repudiating indemnity, despite active investigation and indication of cover, directly caused the plaintiffs to incur substantial costs in preparing for trial. Reasonable and diligent inquiries should have revealed the grounds for repudiation much earlier. Therefore, the insurer is liable for...

Source-derived case information.

Citation
[2016] IEHC 31
Parties
Plaintiff: Michael Mooney; Plaintiff: Audrey Mooney; Plaintiff: John Bermingham; Defendant: Martin J. Kearns; Defendant: Thomas Gormally; Defendant: Noel McCarrick; Defendant: Samantha Schmidt; Defendant: Global Group Ireland Limited
Jurisdiction
Ireland
Judgment Date
25 January 2016
Procedural Posture
Motion to Come Off Record / Interlocutory Application
Outcome
Application granted with conditions
Legal Topics
Professional Indemnity, Solicitor Coming Off Record, Costs Liability, Repudiation of Insurance, Subrogation, Delay in Repudiation
Insurance Law Civil Procedure Professional Indemnity Solicitor Coming Off Record Costs Liability Repudiation of Insurance Subrogation Delay in Repudiation

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Parties

Michael Mooney

Plaintiff

Audrey Mooney

Plaintiff

John Bermingham

Plaintiff

Martin J. Kearns

Defendant

Thomas Gormally

Defendant

Noel McCarrick

Defendant

Samantha Schmidt

Defendant

Global Group Ireland Limited

Defendant

Procedural Posture

Motion to Come Off Record / Interlocutory Application

  1. 1 Whether solicitor can be compelled to act after insurer withdraws indemnity
  2. 2 Whether insurer is liable for costs due to delay in repudiation
  3. 3 Appropriate conditions for solicitor to come off record

Ratio Decidendi

The insurer's delay in repudiating indemnity, despite active investigation and indication of cover, directly caused the plaintiffs to incur substantial costs in preparing for trial. Reasonable and diligent inquiries should have revealed the grounds for repudiation much earlier. Therefore, the insurer is liable for plaintiffs' costs from 1 January 2012, the date by which repudiation should reasonably have occurred.

Court Disposition

Application granted with conditions

Orders

  • LK Shields permitted to come off record as solicitors for Martin J. Kearns.
  • Insurer liable to discharge plaintiffs' costs from 1 January 2012.