The High Court has awarded Lagan Bitumen Limited €198,000 in repayment for a “big bag filling unit” that the company said did not meet the contract’s specifications. The defendant, Weeds West Global Solutions, S.A., was given 12 weeks from service of the order to collect the unit from the plaintiff’s property or the plaintiff may dispose of it.
Ms Justice Reynolds made the award on 18 January 2019 during an assessment of damages. Lagan Bitumen had already obtained judgment in default of appearance against the defendant on 30 July 2018. The assessment concerned the amount to be awarded; the judgment does not describe a contested trial of the contractual dispute.
The court allowed Lagan Bitumen to amend paragraph six of its statement of claim to rely on €198,000, rather than €220,300. The judgment says the footnote to the claim made clear that €198,000 was the intended sum, and that the amendment benefited the defendant.
The contract was for the defendant to sell, deliver, install and commission the filling unit for €220,300. The agreed payment schedule was 30 per cent in advance, 60 per cent before delivery and 10 per cent after start-up. The judgment records that Lagan Bitumen paid €198,000 after receiving delivery.
The plaintiff’s operations director gave evidence of extended communications about problems with the machine, particularly what the plaintiff described as a misdesigned heat exchange unit. The evidence was that the defendant did not provide operational follow-up after delivery, despite assurances the issues would be resolved. The court said it was satisfied that the defendant had been properly served with the relevant documents and notice of the hearing.
Justice Reynolds ordered repayment of €198,000. The plaintiff was not pursuing any further damages and had agreed to absorb all other losses associated with the unit. The judgment says the unit remained on the plaintiff’s property, had limited salvage value and created storage issues. The court also awarded costs to the plaintiff.