The Supreme Court has dismissed appeals by Gerard Madden and a firm of solicitors against High Court judgments arising from a failed judicial review challenge to the Independent Radio and Television Commission (IRTC).
The court upheld findings that Mr Madden had agreed to indemnify Michael and Wendi Ferris Richardson against all costs associated with the proceedings, including costs awarded to other parties. It also upheld findings that Dermot G. O’Donovan and Partners were negligent and in breach of duty and contract to the Richardsons.
The judicial review was brought by the Richardsons and other applicants after the IRTC excluded them from a process to award a Limerick radio licence. The High Court found that Mr Richardson had made clear he could not contribute to litigation costs. It accepted evidence that Mr Madden then promised to “pick up the bill” and later confirmed he would cover all costs. The Supreme Court said there was ample evidence to support the finding that the indemnity covered costs orders as well as the applicants’ own legal fees.
The appeals concerned two related actions: the Richardsons’ contract claim against Mr Madden and their claim against the solicitors. The High Court had found that the solicitors failed to advise the Richardsons adequately about the risks of costs, failed to provide the written information required by section 68 of the Solicitors (Amendment) Act 1994, and failed to act on a letter asking that the Richardsons be removed from the proceedings. The Supreme Court held that the costs order against them completed the negligence claim; Mr Madden’s later failure to honour the indemnity was not the event that first created the claim.
The court also upheld the finding that the solicitors and Mr Madden were concurrent wrongdoers responsible for the same damage. It rejected the solicitors’ argument that their liability should be limited to costs incurred after the letter seeking withdrawal. The trial judge’s costs order, which treated the two actions separately for earlier costs and as one action from trial, was also left undisturbed.
The High Court had awarded each Richardson €59,500 in general damages and ordered joint and several indemnities for costs owed to the IRTC and the Minister, and costs connected with bankruptcy proceedings. The Supreme Court declined to reduce the general damages, finding them not excessive in light of the effects described in evidence. It dismissed both appeals.