Tromso Sparebank v Byrne

• Jurisdiction: Ireland
• Judge: McCarthy J.,
• Judgment Date: 15 December 1989
• Neutral Citation: [1989] IESC 2
• Docket Number: (46/88)
• Court: Supreme Court
• Date: 15 December 1989

TROMSO SPAREBANK v. BYRNE

TROMSO SPAREBANK

PLAINTIFF

AND

JAMES FRANCIS BYRNE, THOMAS A. FORDE, JOSEPH GRIMSON, NORTHERN BANK LIMITED, NORTHERN BANK (IRELAND) LIMITED AND MIDLAND BANK PLC.

DEFENDANTS

[1989] IESC 2

(46/88)

THE SUPREME COURT

Synopsis:

PRACTICE

Service

Summons - Service outside jurisdiction - Motion to set aside - Foreign bank - Plaintiff's action - Necessary or proper party - Distinct cause of action - Rules of the Superior Court, 1986, order 11, r. 1(h) - (46/88 - Supreme Court - 15/12/89)

|Tromso Sparebank v. Beirne|

PRACTICE

Parties

Joinder - Cause of action - Foreigner - Necessary or proper party - Distinct cause of action - Concurrent summons - Service out of jurisdiction - (46/88 - Supreme Court - 15/12/89)

|Tromso Sparebank v. Beirne|

WORDS AND PHRASES

"Necessary or proper party"

Service - Concurrent summons - Foreigner - Service outside jurisdiction - Distinct cause of action - (46/88 - Supreme Court - 15/12/89)

|Tromso Sparebank v. Beirne|

Citations:

RSC O.11 r1(h)

BRUSSELS CONVENTION 1968

CONVENTION ON THE ACCESSION TO THE 1968 CONVENTION OF IRELAND, DENMARK & THE UNITED KINGDOM 1978

JURISDICTION OF COURTS & ENFORCEMENT OF JUDGMENTS (EUROPEAN COMMUNITIES) ACT 1988

MASSEY V HAINES 1888 21 QB 330

BYRNE V TRIUMPH ENGINEERING 1982 IR 220

COONEY V WILSON 1913 2 IR 402

COLLINS V NORTH BRITISH & ANOR INSURANCE 1894 3 CH 228

GREHAN V MEDICAL INC 1986 IR 528

CONVENTION ON THE ACCESSION TO THE 1968 CONVENTION OF IRELAND, DENMARK & THE UNITED KINGDOM 1978

[NEM diss]McCarthy J.,

McCarthy J.,

1 The Plaintiff's claim in this action is for a sum of £8,848,707.00 being the total of amounts due on foot of two promissory notes, the first in the sum of U.S. $7,090,000.00 due on 18th July 1986 to the account of a Norwegian Company (Alvestad) and the second in the sum U.S. $4,755,000.00 due on the 4th September 1986 to the account of Alvestad. Both notes were endorsed for and on behalf of Northern Bank Limited by the Manager of the branch of that bank at Carrick-on-Shannon, Co. Leitrim. Alvestad endorsed the notes in favour of Tromso in return for full face value. Before paying these monies, Tromso through its correspondent bank in the United Kingdom, Hambro's Bank, sought confirmation of the Northern Bank manager's signature on the promissory notes and received a written statement by Norman Winslade, Manager of the Head Office Accounts Department of Midland Bank plc., (Midland) as follows:-

"If this is a true copy of the original I confirm that the signature E. Keaveney conforms to that held in our records."

2 On the 1st July 1986 Northern Bank Limited transferred to Northern Bank (Ireland) Limited all of its branch banking services within the State. Both at the time were wholly owned subsidiaries of Midland, but Midland has since sold the entire of that shareholding to National Australia Bank. Whatever liability it may have to Tromso remains despite such a disposition of Northern Bank (Ireland) Limited.

3 The principal original defendants as sued were the first, fourth and fifth defendants, being sued on foot of the promissory notes. The position of the second and third defendants is irrelevant to this appeal.

4 In the amended defence of the fourth and fifth named defendants (the Banks), the substantial defence appears to be the allegation that the promissory notes were forgeries, that after signature the notes were materially altered and that Eugene Keaveney, the Branch Manager, exceeded his authority. This defence was filed by the same firm of solicitors and signed by the same senior and junior counsel as have represented Midland on the hearing of this appeal.

5 In the Affidavit grounding the application for the Order the subject matter of the instant appeal, Mr....