Two directors of engineering firm JSME have won a Supreme Court appeal against a decision of the Planning Tribunal refusing them legal costs for their involvement with the tribunal.
In a unanimous decision, the five-judge court ruled that the tribunal had no power to find that Joseph Murphy Junior and Frank Reynolds had hindered and obstructed the tribunal and because of this were not entitled to costs.
The court also criticised the fact that material relevant to the credibility of key tribunal witness James Gogarty was not disclosed to the Murphys.
The appeal against a 2006 High Court decision was taken by Joseph Murphy Junior of Ashley House, Batterstown, Co Meath; Frank Reynolds of Drumree, Pelletstown, Co Meath and JMSE Ltd against the Flood/Mahon Planning Tribunal and the State.
Mr Murphy and Mr Reynolds are respectively the chairman and managing director of JMSE.
They faced a massive legal bill - possibly several million euro - after their involvement in over 160 days of the tribunal's hearings.
Delivering judgment, Mrs Justice Susan Denham said the tribunal had jurisdiction to determine a lack of co-operation with it but had no power to make findings of obstruction and hindrance, which is a criminal offence. Therefore, she said it did not have the power to make an order in relation to costs in the context and terms in which it did.
She added that the decision was in breach of fair procedures because the Murphy interest should have been given notice on an intended ruling on the issue of obstruction and hindrance in relation to costs.
Mr Justice Adrian Hardiman was also critical of the fact that material relevant to the credibility of key witness James Gogarty was withheld and had hampered Joseph Murphy Junior in his defence.
The judge said it was 'chilling' to reflect that the material may never have come to light if it was not for the legal challenge against the tribunal and a poorer person may not have been able to afford to seek vindication.
