High Court Judge Justice Garrett Simons has conveyed his disappointment with the manner in which data was presented to the court concerning a suit involving Pat McDonagh, director of Supermac’s, and two of his enterprises. The case relates to a disagreement with John and Mary Lyons, previous franchisees of Supermac’s.
The judge voiced that the original litigation, launched by the former proprietors of the Supermac’s franchise, should not have been thrown out by the Circuit Court. He pointed out that Funworld (Ireland) Ltd, a subsidiary of Supermac’s, evidently undertook unapproved developments before acquiring the necessary permissions for creating a rival restaurant to that of the Lyons family.
The judge made his feelings known when deferring the decision for cost applications in the lawsuit initiated by the Lyons against Mr McDonagh, Supermacs Ireland Ltd, and Funworld. These parties co-own and operate the Funworld bowling facility situated on Ennis Road in Limerick.
The Lyons used to own a Supermacs branch known as “The Hungry Lyons” right beside Funworld, which was under the same establishment housing both businesses. However, in 2019, this franchise deal ended due to what the Lyons argue was undue commercial pressure crafted by the defendants. They allege that thereafter, Mr McDonagh started a direct competition against them by managing a restaurant within the bowling alley.
According to the Lyons, this violated their tenure agreement which comprised a non-competition proviso, forbidding the landlord from reassigning or subletting any part of the building for a fast-food restaurant or deli. When a section of Funworld was transformed into a restaurant, the Lyons applied to the Circuit Court for an injunction, asserting the actions were unapproved. This application was dismissed, and the defendants then sought the city and county council of Limerick for approval to retain the alterations.
During this time, the Lyons appealed the Circuit Court verdict. Daniel Cronin SC, their counsel, disclosed to the judge that they were retracting their appeal in light of a letter from the planners granting the retention approval to Funworld – a piece of critical information that was not shared with his side by the defendants, despite them knowing about it for some time. Had it been shared, the appeal could have been withdrawn sooner, saving on time and court resources.
In consideration of the judge only having access to the letter last Monday, he advocates for a request of costs to be made or alternatively, he suggests that there shouldn’t be any instruction about costs, signifying each party would cover their own expenses.
Gerard Kiely SC, representing the defendant, inquired by the judge about the reason behind the withheld information regarding retention permission not shared with the Lyons. Kiely SC responded, suggesting he presumed the council had already forwarded a similar correspondence to Lyons, who were the objectors.
The judge retorted by stating that such details could have been brought forward to the court during last week’s hearing dates announcement. “An entire day’s hearing has been wasted, and you should have informed (the judge) about your affidavit intentions during the call over,” he lamented.
Upon being prompted of the requirement to seek permission to submit an affidavit in such late stages, Mr Kiely acknowledged and admitted the possibility of an error.
The judge further noted that the defendants had undeniably carried out unauthorised work while Lyons were seeking an injunction leading to a subsequent application for retention.
Challenging Kiely’s claim that the High Court’s appeal wouldn’t have succeeded based on this action, the judge stated that the Circuit Court had incorrectly dismissed the Lyon’s case.
Due to his dissatisfaction with the unorganised manner of its handling, the judge decided to reserve his judgment until the following week.
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