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Supreme Court of Ireland Decisions |
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You are here: BAILII >> Databases >> Supreme Court of Ireland Decisions >> PCO Manufacturing Ltd. v. Irish Medicines Board [2001] IESC 46 (22 May 2001) URL: http://www.bailii.org/ie/cases/IESC/2001/46.html Cite as: [2001] IESC 46 |
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1. The
above named Respondent (the Board) was set up under the Irish Medicines Act,
1995. The functions of the Board include the exercise of the powers conferred
on the competent authority by Council Directive No. 65/65/EEC of the 26th
January, 1965, and Council Directive No. 81/851/EEC of 28th September, 1981.
It is the contention of the above named Appellant (PCO) that it is the duty of
the Board not merely to determine but to determine promptly applications to
obtain authorisations for the import, placing on the market or sale of
medicinal products in free circulation in another member state or states of the
European Union.
2. The
PCO from time to time made applications to the Board both for product
authorisations and for renewals of product authorisations. PCO expressed their
concern to the Board at what they contended was the delay in dealing with such
applications.
3. It
appears that in November, 1998, fifty-two applications by PCO were outstanding.
Thirty-two were applications for product authorisations and twenty were
applications for renewal of product authorisations. In those circumstances PCO
sought leave to apply for mandamus by way of an application for judicial review
directing the Board to determine forthwith the outstanding applications and,
further, a mandamus by way of application for judicial review directing the
Board to provide
“an
abridged and expedite procedure”
for the issue of product authorisations and renewals thereof. The statement
grounding the application for judicial review also sought a declaration that
the Board was in breach of the duties imposed upon it as Competent Authority.
The statement of grounds concluded with two paragraphs under the heading of
“Damages”
in which PCO complained that the actions or inactions of the Board had
prevented them selling medicinal products in the State which were in free
circulation in other member states. Leave was granted to the Appellants by
order of Geoghegan J made on the 30th November, 1998.
4. On
the 12th February, 1999, a statement of opposition was delivered by the Board.
The statement was verified by a detailed affidavit sworn by Dr Frank Hallinan,
the Chief Executive of the Board. That affidavit, and the numerous documents
exhibited therein, analysed the work of the Board and the manner in which it
purports to discharge its functions. A further affidavit was sworn by Mr
Patrick Wadding on behalf of PCO to which an affidavit in reply was sworn by Dr
Hallinan on the 29th October, 1999. By notice of motion dated the 14th day of
March, 2000, PCO sought, and, by order of the High Court dated the 20th March,
2000, obtained, leave to amend the statement grounding the application for
judicial review so as to include or expand the claim for damages. The amended
grounds and the affidavit of Mr Patrick Wadding grounding the application
asserted that PCO has suffered a loss of profit in a sum of £635,523 in
consequence of the delay of the Board in granting authorisation in respect of
sixteen products and failure to grant authorisation in respect of the remaining
four. Since the date of that application authorisation has been granted for
the remaining four and all of the outstanding applications for renewal have
been disposed of.
5. By
notice of motion dated the 24th day of March, 2000, PCO applied to the High
Court for an order pursuant to Order 39 Rule 9 of the Rules of the Superior
Courts directing that the application for judicial review insofar as it related
to relief by way of mandamus and declaration should be heard and determined
prior to the claim for damages.
6. By
a cross-motion dated the 29th day of March, 2000, the Board sought an order
directing a plenary hearing of the proceedings herein.
7. By
order of the High Court (Kelly J) made on the 4th day of April, 2000, it was
ordered that the proceedings herein should stand adjourned to plenary hearing
and that the amended statement of grounds as delivered should be treated as the
statement of claim and that amended notice of opposition should be treated as
the defence. The reasons for making that order and declining to provide for a
“split
trial”
are set out in the judgment of Mr Justice Kelly delivered on the same date.
From that judgment and order PCO appeals to this Court.
8. The
circumstances in which the Court should separate the issues of liability and
damages or any other issues involved in legal proceedings have been considered
in a number of cases in this and other jurisdictions. The principle applicable
was clearly identified in the judgment of the Court of Appeal of Northern
Ireland delivered by Carswell LJ (as he then was) in
Millar
(a minor) .v. Peeples & Ors
[1995] NI 6 (at page 9) when he said:-
9. The
application of those principles requires the analysis of the facts of the
particular case and the exercise by the Judge concerned of a judicial
discretion in relation to the application. In some cases, such as
McCabe
.v. Ireland & Ors
[1999] 4 IR 151, it is clear that a preliminary issue of law can be identified
and determined on an agreed state of facts in such a way as to offer the
probability that a substantial saving in costs and time can be achieved. In
the present case the substantive issue is whether the Board was guilty of delay
and whether, if that was the case, PCO contributed to it. The question of
mandamus does not as such arise as no applications are at present outstanding.
Whether delay occurred will require an examination of each of the applications
made to the Board and how those matters were processed from the date of the
application to the date on which they were disposed of. It seems inescapable
that this issue would require to be heard on oral evidence with the benefit of
discovery and perhaps other interlocutory procedures. If PCO succeed on the
first issue the assessment of damages would almost certainly involve recalling
at least some of the witnesses who had given evidence of the earlier issue. I
am by no means confident that splitting the issues would offer any significant
advantages to either party or reduce the demands on judicial time.
10. Mr
Justice Kelly having had the opportunity of considering the clear and
comprehensive documentation opened to him and the benefit of helpful argument
by Counsel declined to order separate hearings of the issue already identified.
In my view this was a proper exercise of his discretion with which this Court
should not lightly review. In the matter of the Companies Act 1963-1990 and
In
the Matter of Comet Food Machinery Company Limited
[1999] 1 IR 485 Keane J (as he then was) pointed out (at page 490):-
11. Indeed
it is notable that the Lord Chief Justice of Northern Ireland made a similar -
but not identical - observation in
Millar
.v. Peeples
(above at page 12) when he said:-
12. The
other issue raised by the notice of appeal was whether the learned trial Judge
had jurisdiction to direct that the matter should stand adjourned to plenary
hearing. It is true that this procedure is not expressly authorised by the
Rules of the Superior Courts. On the other hand it is beyond doubt that Mr
Justice Geoghegan in granting leave to institute proceedings could have
directed at that stage that the matter proceed by way of plenary summons rather
than notice of motion. In one sense it might be said that an order made on an
ex parte application is provisional upon or at any rate, subject to, the order
to be made when the Court has the opportunity of hearing the other party or
parties affected by it. I am fully satisfied that a Judge dealing with such an
application has an implicit or inherent power to make or amend an order as to
how the proceedings should be disposed of when he has had the opportunity of
hearing the parties and assessing more accurately the nature of the issues
involved. It is beyond doubt that the issues in the present case require oral
evidence to be given and that the witnesses be subject to cross-examination.
Having regard to the complexities of the issues it seems to me unlikely that
this could be achieved merely by cross-examining those witnesses by whom
affidavits are sworn. In fact Counsel for each of the parties in their
submissions before this Court agreed that a plenary hearing- if available at
law - would be the appropriate means of conducting the proceedings.
13. In
the circumstances I would dismiss the appeal and affirm the order of the
learned High Court Judge. I would recognise, however, that at a later stage in
the proceedings distinguished Counsel may, with the approval of the trial
Judge, agree a procedure which would facilitate the determination of the
principal issue and perhaps a representative sample of such other issues as may
be appropriate.