The Supreme Court dismissed an appeal by Bond Road Container Storage and Transport Limited and affirmed a High Court order requiring discovery in a lease forfeiture case brought by Dublin Port Company.
The dispute concerned two leases of premises on Bond Road in Dublin’s docklands. The leases were entered into on 26 March 1996 and 29 March 2000, for terms of 99 years from 1 July 1995 and 1 July 1999. In November 2000, the lessors served notices of re-entry alleging breaches including unauthorised alterations, changes of use, subdivision and subletting without consent.
After the lessees denied the allegations and sought relief against forfeiture in their defence and counterclaim, the lessors requested discovery of arrangements between the lessees and parties said to be carrying on business in areas covered by the leases. They said the material was needed because the lessees had denied that third parties occupied and possessed the premises contrary to the lease terms. The lessees did not respond to the request, and the lessors obtained a discovery order in the High Court.
On appeal, the lessees relied on two English decisions which had restricted discovery in actions seeking forfeiture of a lease. They argued that the same practice carried over into Irish procedure under section 22 of the Courts of Justice Act 1924 and could only be changed by legislation.
Delivering the judgment, Chief Justice Keane said the English decisions were not binding and there was no Irish or House of Lords authority establishing such a restriction in Ireland. He also noted that the earlier English reasoning had not taken account of statutory relief against forfeiture introduced by the Conveyancing Act 1881, weakening its persuasive force.
The court said the modern Irish approach to discovery did not support a special bar in forfeiture cases. Citing Allied Irish Banks Plc v Ernst and Whinney, it described discovery’s purpose as enabling the court to receive the full facts in dispute so that justice could be done on complete information. The judgment also noted that the English restriction had been abolished by statute in 1968 after a law reform recommendation.
The Supreme Court affirmed the High Court’s discovery order and dismissed the appeal. The judgment addressed the discovery application; it did not determine whether the alleged lease breaches occurred or whether the lessors were entitled to recover possession or damages.