Medical negligence law firm gets €7m from State

One legal firm specialising in medical negligence cases last year received just under €7 million in fees from the State Claims Agency.

The €6.98 million paid to Wicklow firm Augustus Cullen was part of €30 million paid to firms representing people taking negligence cases against the State last year.

The payments represented a 25 per cent increase on the €24 million paid to plaintiffs’ firms in 2013.

In a written Dáil reply to Michael McGrath (FF), Minister for Finance Michael Noonan said other solicitors firms that received in excess of €2 million from the agency in 2014 were Callan Tansey (€2.74 million) and Ernest Cantillon & Co (€2.3 million). MM Halley & Son received €1.12 million.

The amount paid to legal firms representing the agency increased from €12.2 million to €13.2, with Hayes Solicitors receiving €2.57 million and Mason Hayes & Curran Solicitors receiving €2.54 million. Three other firms each received in excess of €1 million – Doyle & Co, Arthur Cox and Comyn Kelleher Tobin.

Managing partner and head of medical negligence at Augustus Cullen, Michael Boylan, said the €6.98 million it received included barristers’ fees, medical expert fees along with other expert fees and 23 per cent VAT.

Mr Boylan, who has worked in the field for 30 years, laid the blame for the amounts paid to plaintiffs’ legal firms at the door of the claims agency.

“This is not a story of avaricious lawyers. If the SCA adopted different tactics and didn’t contest liability until the bitter end, just before the case is to go to court, it would halve the legal fees paid out. The SCA’s tactics of contesting cases all the way is why the costs are so high.”

A spokesman for the agency said: “Any claim that the actions of the SCA in managing clinical claims resulted in higher legal costs is clearly untrue and a misrepresentation of the factual position.”

He added: “The SCA resolves 97per cent of claims without the need for contested court action. We encourage the use of mediation wherever possible because this is a less adversarial and lower-cost way to resolve claims, but some solicitors remain implacably opposed to mediation.”

The spokesman said the average per-case cost of plaintiffs’ legal fees for clinical claims resolved last year fell 33 per cent compared to 2013. He said the average per-case cost of SCA legal fees for claims settled in 2014 fell by 32 per cent compared to 2013.