Toxic clean-up legal case settled

A LEGAL action over alleged breaches of agreements to clear contaminated materials from the former Irish Steel plant site at Haulbowline Island, Co Cork has been settled on undisclosed terms against two companies at the Commercial Court. Judgment for almost €600,000 was entered against another defendant.

Louis J O’Regan Ltd had brought proceedings last year seeking €114 million damages against three companies over alleged breaches of agreements and contracts related to the clean-up operation.

Its case was against CTO Greenclean Environmental Solutions Ltd, with an address at Sarsfield Road, Wilton, Co Cork; Hammond Lane Metal Company Ltd, Pigeon House Road, Dublin; and Eastwood Ltd, Herbert Street, Dublin.

Yesterday, on the sixth day of the action, Ms Justice Mary Finlay Geoghegan was told by Paul Burns SC, for the plaintiff, the case had been resolved against Hammond Lane and Eastwood Ltd and could be struck out against those parties.

Counsel said his side was also seeking a judgment order against CTO under various provisions of a sub-contract between the companies. CTO had previously put in a defence to the case but the company was not represented when the action came on for hearing.

In those circumstances, and having heard evidence on behalf of the plaintiff relating to its claim against CTO, Ms Justice Finlay Geoghegan said she was satisfied to enter judgment for a total sum of €596,802 against that defendant. That sum includes the plaintiff’s €115,000 share of money paid to CTO by the State related to the clean up. She also made orders striking out claims by CTO for indemnity and contribution against the other defendants.

The plaintiff had alleged breaches of a purported partnership agreement and written contracts of August 2007 reached between the sides for the clearance of the contaminated materials from the Haulbowline site. O’Regan Ltd claimed in correspondence with solicitors for Hammond Lane the State failed to tell it of the nature and quality of toxic waste on the site and/or the hazardous way in which it was stored.