The Commercial Court Process
The Commercial Court is a division of the High Court which was set up to deal with commercial disputes quickly and efficiently. Disputes in the Commercial Court are usually dealt with, within a number of months.
Types of Disputes
The Commercial Court has jurisdiction to deal with proceedings in respect of a claim or counterclaim for damages, where the value of the claim is not less than €1 million and relates to:
- a business document, business contract or business dispute;
- construction of a business document or business contract;
- the Arbitration Act 2010;
- the purchase or sale of commodities;
- the export or import of goods;
- the carriage of goods by land, sea, air or pipeline;
- the exploitation of oil or gas reserves or any other natural resource;
- insurance or re-insurance;
- the provision of services (not including medical, quasi-medical or dental services or any service provided under a contract of employment);
- the operation of markets or exchanges in stocks, shares or other financial or investment instruments, or in commodities;
- the construction of any vehicle, vessel or aircraft; or
- business agency.
Irrespective of their value, the Commercial Court has jurisdiction to deal with intellectual property cases and judicial review proceedings with commercial implications.
The Commercial Court also has discretion to deal with cases of commercial relevance which do not fall into any of the above categories.
Entry into the Commercial List
Commercial Court proceedings begin as normal High Court proceedings and applications for entry into the Commercial Court may be made at any time by either party prior to the delivery of final pleadings. The current Court Fee for a party seeking entry into the Commercial List is €5,000.
The Commercial Court judge hearing the application has a discretion as to whether to admit the case to the Commercial List. It is advisable to bring an application for entry into the Commercial List sooner rather than later as the court may decline entry as a result of delay.
Once a case has been entered into the Commercial List the Judge will make a number of initial directions as to the manner in which the trial will be run, for example relating to timing for exchange of pleadings and discovery. These timelines tend to be quite strict and failure to comply with same can result in costs sanctions / penalties.
The Commercial Court uses a case management system that aims to streamline the preparation for trial, deal with any pre-trial issues and ensure full pre-trial disclosure.
On the application of any of the parties or of their own motion, the Judge may, at any time, adjourn proceedings for up to 28 days to facilitate mediation, conciliation or arbitration.
Conclusion
The Commercial Court provides an efficient means of disposing of commercial disputes with the rules of the Commercial Court discouraging delay and unreasonable stances by parties.
Given the strict case management procedures operated by the Commercial Court, it is important that litigants considering applying for entry into the Commercial List are prepared for the demands this may place on them.
How we can help
If you have any queries or concerns, or would like to discuss the above in further detail, please feel free to contact Richard Lee, Partner, BHSM on 01 440 8300 / rlee@bhsm.ie.
This article is for general information purposes. Legal advice must be obtained for individual circumstances. Whilst every effort has been made to ensure the accuracy of this article, no liability is accepted by the author for any inaccuracies.