Life is full of dangers and judicial prose…

A Sideways Glance to the Court of Appeal decision in

 

Kandaurova

V

 Circle K Energy Group Ltd

 

Brilliant.

The opening to Noonan J’s Court of Appeal judgment this week in the case of Kandaurova v Cirkle K Energy Group Ltd. was brilliantly effective, reminiscent of the vivid staccato style often associated with Lord Denning in his pomp. To Denning, the writing of judgments was an art form.  And the beginning mattered:

I try to make my judgments live … I start my judgment, as it were, with a prologue – as the chorus does in one of Shakespeare’s plays – to introduce the story.

Professor James Raymond, former Professor of Rhetoric at the University of Alabama, maintained that the first page of a judgment is “prime real estate.” In a well-constructed judgment, “the front page says it all.”

 

Danger here

In Kandaurova, Noonan J opened as follows;

Life is full of dangers which may cause injury if not avoided.  Small children develop by encountering and learning to avoid things that can be fallen off, bumped into, tripped over or knocked down.  In the common law of occupiers’ liability, ordinary everyday dangers are described as “usual” and as such, do not attract liability

The reader is given a simple and direct introduction to the case. The direction of the wind is clear. People can be injured due to danger, but where it is a usual or common danger, there may not be a liability. In this case, a lady tripped on a kerb. It was not defective. The Court of Appeal held that she could not recover damages from the Occupier.

 

The Bluebell opening

There are other fine examples of opening paragraphs in Personal Injury cases. Denning’s ‘Bluebell opening’ is perhaps the most celebrated;

It happened on the 19th April, 1964. It was bluebell time in Kent, Mr. and Mrs. Hinz had been married some 10 years, and they had four children, all aged 9 and under. The youngest was one. Mrs. Minz was a remarkable woman. In addition to her own four, she was foster-mother to four other children. To add to it, she was two months pregnant with her fifth child.

On this day they drove out in a Bedford Dormobile van from Tonbridge to Canvey Island. They took all eight children with them. As they were coming back they turned into a lay by at Thurnham to have a picnic tea. The husband, Mr. Hinz, was at the back of the Dormobile making the tea. Mrs. Hinz had taken Stephanie, her third child, aged 3, across the road to pick bluebells on the opposite side. There came along a Jaguar car driven by Mr. Berry, out of control. A tyre had burst. The Jaguar rushed into this layby and crashed into Mr. Hinz and the children. Mr. Hinz was frightfully injured and died a little later. Nearly all the children were hurt. Blood was streaming from their heads. Mrs. Hinz, hearing the crash, turned round and saw this disaster. She ran across the road and did all she could. Her husband was beyond recall. But the children recovered.

 

Home Run

This blog has previously written of the Irish case of Kane v Kennedy and Budd J’s tremendously evocative :

The news of the death of Joe DiMaggio came while I was writing this judgment. His record streak in 1941, when he got a hit in fifty-six consecutive games, still stands. His grace at the plate and his defensive qualities at centre field, his leadership of the New York Yankees to victory in nine of the ten World Series in which he led them, and above all his gentlemanly conduct made him a legend in his own lifetime. I wonder what he would have made of the problems with which I have been confronted in resolving the conflicts of evidence presented by what followed the strike by Alice Dunne during the game of rounders played in the sports hall of a convent school in Glasnevin on the morning of Tuesday 21st May 1996.

 

Life and Death

One of the first Constitutional cases this reader encountered was the X Case (1992). This form Denham J:

This application for an injunction raises issues of the utmost seriousness affecting a girl of 14 years of age and her family. It concerns matters of life and death, and touches on the deepest aspects of human experience and the moral and legal norms of our Justice.

 

Short and Sweet

Lord Hoffmann’s opening to his judgment in the case Investors Compensation Scheme Ltd v West Bromwich Building Society could not have been in plainer language;

My Lords, I have had the advantage of reading in draft the speech prepared by my noble and learned friend, Lord Lloyd of Berwick. I agree with it, and for the reasons which he has given, I would allow the appeal.

 

Signal of Intent

Lord Wilberforce in Anns v Merton London Borough Council got straight to the point with:

In my opinion the time has come when we should say that the law ought to recognise our responsibility going beyond the present cases, a duty to behave conscientiously, responsibly and with humanity.

 

Lunar Law

For the property lawyers out there, what about I leave you with this from our Supreme Court and Higgins CJ in Vone Securities Ltd v. Cooke:

As stated by Mr. Justice Costello in his Judgment, at common law the ordinary primary meaning of month, when used in instruments such as leases, was and is lunar month. This meaning is taken to be intended by the parties to any such instrument unless that instrument read as a whole, or the surrounding contemporaneous circumstances, show that the other, or secondary meaning, of calendar month, was, in fact, intended. It will, no doubt, surprise many people to learn that a rule as archaic as this surely is and so far removed from the needs and uses of modern society should still be part of our law. Even in the days of Charles Dickens, the rule was probably sufficiently out of date to justify Mr. Bumble’s description of the law. Today, its continued existence as a rule of the common law is opposed to all common sense and indicates how much remains to be done by way of reform to bring the common law up to date.

You learn something new every day! Or should that be every 1/29th of a lunar month (Approx. Maths is not my thing)

Case Study – Excessive Credit Hire Rates halved in Ireland with Basic Hire Rate Reports.

Recent Success in Challenging Excessive Credit Hire Rates in Ireland

 

Last month, our firm reported recent success with a  successful outcome at Letterkenny Courthouse, where the Court agreed with our arguments that the rate charged by a Credit Hire Organisation was excessive. We’re pleased to share another win for our Irish insurers in contesting inflated credit hire charges.

 

Case Summary

 

The Claimant was involved in a road traffic accident with the Defendant, and liability was accepted by the Defendant’s insurer. After the accident, the Claimant entered into a credit hire agreement with an Accident Management Company (AMC), which provided a replacement vehicle on a credit hire basis. The Claimant’s original vehicle was written off, and payment was made by our instructing insurers for the pre-accident value (PAV) of the vehicle.

Once the PAV had been settled, the credit hire period ended, and the Claimant’s representatives submitted an invoice to our instructing insurer for payment. The total amount claimed for the hire of the replacement vehicle over 76 days was £26,343.46 (STG). The Credit Hire Organisation later offered to accept £20,000 (STG) to settle the matter, and avoid Circuit Court costs in Dublin.

 

Initial Assessment by Lacey Solicitors 

 

Our instructing insurers sought a preliminary opinion from Ruaidhrí Austin, Partner at Lacey Solicitors, given his dual qualifications and extensive experience in both Northern Ireland and the Republic of Ireland in handling credit hire claims. They specifically asked whether the reduced figure of £20,000 should be accepted and had two primary concerns:

  1. Mitigation of Losses: Could it be argued that the Claimant failed to mitigate their losses by not using their comprehensive insurance policy? Under  34(2)(b) of the Civil Liability Act 1961. Claimants in Ireland have a statutory duty to mitigate their losses. While this argument is common in credit hire cases, we advised that at this early stage of the proceedings, it would be best to focus on other arguments.
  2. Reasonableness of the Hire Rate: Was the daily rate charged for a replacement Range Rover reasonable? Given the specifics of the case, the hire period was appropriate, and the replacement vehicle was ‘like for like’. However, the insurer rightly questioned the reasonableness of the hire rate which seemed excessive.

 

Challenging the Credit Hire Rate

 

We outlined that the burden of proof lies in these cases lies with the Defendant to demonstrate that there was a more reasonable rate available.   Prima facie, the Plaintiff is entitled to the rate claimed.  It is for the Defendant to demonstrate a suitable alternative rate.  To support this, our office commissioned a Basic Hire Rate (BHR) report from ‘BHR Assist’ to challenge the excessive charges.

The BHR report revealed that a comparable replacement vehicle could have been hired from a car hire company located just 10 miles from the Claimant’s home for a total of £10,876.55, a significant difference from the £26,343.46 claimed.

 

Settlement and Conclusion

 

We advised that our instructing insurers should offer £12,500.00 (STG) in settlement, which included the £10,876.55 for hire, plus additional costs for storage and recovery. The insurers successfully negotiated a settlement at this amount, avoiding formal court proceedings and saving substantial legal costs in the process.

 

Key Takeaways

 

  • While credit hire claims are relatively rare in the Republic of Ireland, they are becoming more frequent.
  • Claims handlers should aim to quickly recognise cases where Credit Hire is ongoing and take steps to ensure that repairs are authorised or payments raised in a timely fashion to avoid any significant delays.
  • When the daily hire rate appears excessive, it’s essential to challenge the charges with Basic Hire Rate evidence, as long as the Claimant is not relying on impecuniosity.

 

At Lacey Solicitors, we specialise in navigating the complexities of insurance law across both jurisdictions. Our team of experienced professionals is dedicated to providing clear, effective legal advice and representation to our insurance clients. Whether you’re dealing with credit hire claims, liability disputes, or policy interpretation, we understand the intricacies of insurance law and work tirelessly to achieve cost effective outcomes quickly. With a reputation for excellence and a deep understanding of the industry, our firm is committed to delivering trusted, reliable legal solutions in the ever-evolving world of insurance in Ireland.