The Commercial Court has heard that the Greencore Group, which sold a premises in Co Louth last year where two men later died, did not disclose at the time that the Health and Safety Authority had written to them three years previously, outlining safety measures that needed to be taken.
Two workers died at the Drummond Ltd premises, just months after it was sold.
35-year-old Paul Farrell, a father of three, and 19-year-old Terry Brennan from Tallanstown, Co Louth, died after collapsing at a Drummonds grain feed plant at Knockbridge in Co Louth on August 10 last year. It is believed both men may have been overcome as a result of a build up of gas in a grain pit.
Greencore is now being sued by Freshmills Holdings Ltd (FHL) who are alleging breach of warranties arising out of FHL's purchase of Drummonds Ltd in May 2009.
FHL bought Drummonds for €15.5m.
The court heard FHL is claiming that it learned after the death of the workers that the HSA had written to Drummonds in 2006 outlining certain measures it had to take to bring its facilities up to the required health, safety and fire standards. It also claims two electricians' reports were also provided to Drummonds in 2008.
FHL wants Greencore to pay the costs of any fines and penalties which may be imposed on it by the HSA arising out of the deaths of the two men. It is also seeking the cost of measures required to ensure all five Drummonds premises meet the required health, safety and other standards.
It is claiming damages for alleged misrepresentation, non-disclosure and/or breach of agreement in relation to a disclosure letter of May 19, 2009 and a share purchase agreement of the same date.
Damages and losses are sought under various other headings. The total claim is expected to be more than several million euro.
