Towey v Ulster Bank Ltd

• Jurisdiction: Ireland
• Judge: Mr. Justice O'Hanlon
• Judgment Date: 01 January 1987
• Court: High Court
• Date: 01 January 1987

1986 WJSC-HC 1902

THE HIGH COURT

1981 No. 6902 P

TOWEY v. ULSTER BANK LTD

BETWEEN/

MICHAEL TOWEY

PLAINTIFF

AND

ULSTER BANK LIMITED

DEFENDANT

Synopsis:

DAMAGES

Assessment

Banker - Advice - Negligence - #252,255 allowed in respect of third party's failure to honour cheques in payment for cattle supplied by plaintiff - #51,167 allowed as price of cattle supplied by plaintiff to third party but for which no payment received - #10,000 allowed in respect of interest on plaintiff's overdraft which third party had agreed to discharge - #6,214 allowance in respect of cattle bought by plaintiff on behalf of third party - Plaintiff to be indemnified against payment of certain overdraft interest - Sequel to decision (22/3/86) of O'Hanlon J. (~See~ Negligence, banker) - (1981/6902 P - O'Hanlon J. - 29/7/86)

|Towey v. Ulster Bank Ltd.|

1 Judgment of Mr. Justice O'Hanlon delivered, the 29th day of July, 1986.

2 This judgment is supplemental to the judgment already delivere herein the 22nd March, 1986, and deals with the assessment of damages arising out of the finding of negligence already made against the Defendant in the earlier judgment.

3 That judgment indicated the basis upon which it appeared to me that damages should be measured. In general terms it was found that the award to be made in favour of the Plaintiff should be of such order as would indemnify him in respect of the bank overdraft which built up during his period of trading with Andrew J. Towey, until the business of the latter collapsed at the end of the year 1980.

4 More specifically, the Plaintiff presented his claim under five different headings, which I now propose to examine separately. In the first place he claimed to be recouped the amount of cheques paid to him by Andrew J. Towey, or his Company, for cattle supplied which were later dishonoured, and these totalled £252,255.65 in all. He claims that the Bank must bear the responsibility for his continuing to trade with Andrew J. Towey up to the point where these cheques were issued, and for his acceptance of these cheques in payment for cattle supplied. As I have already found that he has made out a case for such recoupment, the first part of the award in his favour will be that sum of £252,255.65p.

5 Secondly, he claims that in respect of the final consignments of cattle, delivered by him between 1st December, 1980, and the 15th December, 1980, no cheques were issued and no payment was made, and a sum of £51,167.23p remains due and owing to him under this heading. The same considerations apply to this part of the claim as to claim made...