Listowel U.D.C., Nolan v Lynch v Ardmore Studios (Ir.) Ltd

• Jurisdiction: Ireland
• Judgment Date: 09 June 1966
• Date: 09 June 1966
• Docket Number: (1966. No. 138 P.)
• Court: High Court

(H.C.)

Lynch and Others

and

Ardmore Studios (Ireland) Ltd. and Another

Receiver appointed - Costs awarded against company in action prior to appointment - Second action subsequent to appointment -Costs awarded to company - Assignment of costs by successful parties in first action to unsuccessful parties in second action - Crystallisation of debenture holder's charge - Absence of mutuality - No right of set-off.

Prior to 1963, the first-named defendants, a company, carried on the business of providing various facilities for film-making. In 1963, the company became involved in a trade dispute with a trade union. By an action in the High Court the company sought to restrain certain members of the union from picketing its premises. On the 30th July, 1963, the action was dismissed with costs. On the 31st October, 1963, the Industrial Credit Company Ltd. appointed a receiver over the assets of the company pursuant to a mortgage debenture of the 31st October 1958. In June, 1964, when the company's studios had been hired by the receiver to a film-making concern, the company's premises were again picketed by members of the union. The receiver, in the name of the company, brought proceedings against the union members seeking to restrain the picketing and seeking a declaration that no lawful trade dispute existed. The company was successful in the second action and on the 5th October, 1964, the relief sought was granted and the defendants in the second action (the plaintiffs herein) were ordered to pay the costs. Costs were taxed on the 5th August, 1965. The defendants in the first action, were not the same as the defendants in the second action, but on 15th October, 1965, the defendants in the first action assigned the costs of that action, with all the benefit of the judgment therein, to the defendants in the second action (the plaintiffs herein). Notice of the assignment was given to the company by letter, dated the 27th October, 1965, and at the same time the plaintiffs purported to set off the two sets of costs and they tendered the difference, viz., £82 2s. 2d. The right to set off was denied and the decree obtained in the second action was lodged with the sheriff, the second-named defendant herein, who...