Judgment reserved in Denis O’Brien case

A High Court judge will decide if a company that lost out on a mobile phone licence in 1996 can sue Denis O’Brien, Michael Lowry and the Irish State using money from a British litigation funder.

Ms Justice Aileen Donnelly heard four days of submissions at the High Court this week as part of an application by Persona Digital Telephony and Sigma Wireless Networks.

Persona has asked to be allowed to take its legal claim using funds from British company Harbour Litigation Funding. Such arrangements are typical in Britain but are barred in Ireland under the law of champerty, which forbids unrelated third parties from funding a court claim in the hope of taking a share of the proceeds of a victory.

Persona claims that businessman Denis O’Brien’s Esat Digifone consortium won a competition for a mobile phone licence in 1996 by bribing the then minister for communications Michael Lowry — which is denied. Persona was the runner-up in the licence competition.

Speaking on the final day of submissions Paul O’Higgins SC, acting for Mr O’Brien, told the court that it would be wrong to make an order allowing a breach of the law of champerty.

He said the court is confined in what it can do as it is up to the Oireachtas to make new laws and that the law is clear.

He added that there is no justification to the claim made by Michael Collins SC on behalf of Persona that the Constitutional right of access to the courts overrides the champerty laws.

The judge did not give a timeframe for making her decision, saying: “Obviously I will have to reserve my judgment and I can’t say when that will be.”