Courts / Ireland / Report
Bar on third party funding of litigation remains "law of the land", Esat licence case hears
Summary
In a High Court hearing on 19 November 2015, Ms Justice Aileen Donnelly considered whether Harbour Litigation Funding, an English company, could finance Persona Digital Telephony and Sigma Wireless Networks in a claim against Denis O'Brien, Michael Lowry and the Irish State. Harbour would receive a share of any proceeds if Persona succeeded. Persona alleged that O'Brien's Esat Digifone consortium secured a 1996 mobile‑phone licence by bribing then‑Minister Michael Lowry, a claim denied by Lowry. The case was brought against Lowry and the State, with O'Brien joined last year. The court was asked to decide if the funding arrangement contravened the ancient champerty law, retained in Irish statute since 2007. Michael Collins SC argued the law was obsolete, while John O'Donnell SC, on behalf of the State, maintained that the law remains valid, was deliberately preserved, and that any reinterpretation would breach separation of powers. O'Donnell also warned that Harbour's role could unduly influence settlement decisions.
Who, what, where, when and why
What: Report matter: Bar on third party funding of litigation remains "law of the land", Esat licence case hears. Procedural stage: hearing_or_decision
When:
- 2015-11-19 Publication
Why: He said: "In 2007 when the legislature was looking at the statutes it would retain or repeal it elected not to amend the laws relating to maintenance and champerty," adding: "Because the legislature did not change the law on maintenance and champerty it is not for the courts to develop a common law in respect of the statutes. CNI source report
Places mentioned
- High Court
Topics
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