EXTRA DIVISION, INNER HOUSE, COURT OF SESSION
|
Lord Osborne
Lord Johnston
Sir David Edward
|
[2007] CSIH68
PD1393/06
OPINION OF THE COURT
delivered by LORD OSBORNE
in
RECLAIMING MOTION
in the cause
BILLY McGHEE
Pursuer;
against
DIAGEO plc
Defenders:
_______
|
Act: Smith, Q.C.; Digby Brown
(Pursuer)
Alt: Marney; HBM Sayers (Defenders)
14 June 2007
[1] The pursuer
in this action seeks damages for personal injuries sustained in an accident
which occurred on 15 October 2003 at Glen Ord Distillery at which the
defenders carry on business. He was then
employed as a service engineer, not with the defenders, but with Stilcan
Industrial Conveyors Limited, which provided maintenance services to the
defenders. The present action was
signetted on 26 July 2006; following its commencement, the pleadings were amended at the
instance of the defenders on 5 April 2007, apparently with a view to the
introduction of Stilcan as a third party, averments having been made against
them by the defenders. However, the
defenders have now decided that they do not wish to have Stilcan introduced
into the action as a third party. The result
of that procedure has been that the pleadings of the defenders, as they stand,
possess an element of obscurity.
[2] A proof of
four days duration has been fixed, which is due to commence on 26 June of this
year. On 8 June there came before the
Lord Ordinary a motion at the instance of the pursuer to allow a Minute of
Amendment (No. 21 of Process) to be received and for the discharge of the diet
of the proof. This motion was opposed
and was refused by the Lord Ordinary.
His reasons for making that decision are set out in an Opinion now
available to us, which he has prepared with commendable speed. Against that decision the pursuer has now
reclaimed to this court.
[3] Several
grounds of appeal have been stated. In
particular, it is claimed that the Lord Ordinary's exercise of his discretion was
flawed. It is said in ground 2:
"It is accepted that the matter
before the Lord Ordinary was essentially one of discretion. However, the pursuer maintains that the Lord
Ordinary left out of account certain factors, failed to give sufficient weight
to other factors and reached a result which was unreasonable and unjudicial."
In elaboration of that contention, in ground 4, it is said
that the Lord Ordinary failed to address the issue of respective prejudice to
the parties in relation to the Minute of Amendment. In that connection it is contended that the
pursuer may suffer significant loss that would be irrecoverable in the event of
the amendment being refused. On the
other hand, were it to be allowed, the only prejudice
to the defenders would be that they would face an increase in the damages
claimed and that the progress of the action would be delayed. It is contended that the Lord Ordinary did
not take the matter of respective prejudice into account and his decision is
criticised in certain other respects.
The point is made, on behalf of the pursuer in the grounds of appeal,
that any true prejudice to the defenders could be cured by an award of expenses
against the pursuer. While it is
recognised that the pursuer is an assisted person, it is pointed out that the
defenders have, in very recent days, admitted liability. Accordingly, the defenders would be entitled
to seek whatever expenses awarded in their favour that might arise from the
discharge of the proof and any other expenses that might be involved in the
amendment from any damages ultimately found due to the pursuer; the contention is
made that such awards of expenses would redress any prejudice that the
defenders might suffer.
[4] It should be
explained that the Minute of Amendment that is in issue here seeks to add
averments regarding a number of matters.
In particular it is proposed to aver that, in consequence of the
accident, the pursuer suffered from post-traumatic stress disorder and
depression and anxiety, but more especially averments are sought to be made
concerning the loss of the possibility of what might be a well-paid career in
professional football as a result of the injuries sustained. Hitherto, some brief averments have been made
about the pursuer's involvement with football.
In his existing pleadings, the pursuer has averred that football was a
pre-accident hobby which he cannot now pursue, but, in addition to that, it is
averred that, prior to the accident, the pursuer had played football
professionally. Accordingly, there is a
sense in which the averments now sought to be added concerning the pursuer's
football activities amount to an elaboration, but only an elaboration, of
averments already made.
[5] In
considering the Lord Ordinary's decision as expressed in his Opinion, we
consider that the proper approach to be taken is that explained by Lord
Hoffmann in Piglowska v Piglowski [1991] 1 WLR 1360 at page
1372. There he said:
"The exigencies of daily court room
life are such that reasons for judgment will always be capable of having been
better expressed. This is particularly
true of an unreserved judgment such as the judge gave in this case but also of
a reserved judgment based on notes, such as was given by the district
judge. These reasons should be read on
the assumption that, unless he has demonstrated the contrary, the judge knew
how he should perform his functions and which matters he should take into
account ... An appellate court should resist the temptation to subvert the
principle that they should not substitute their own discretion for that of the
judge by a narrow textual analysis which enables them to claim that he
misdirected himself."
So far as the proper approach of the appellate court to an
appeal relating to a proposed amendment is concerned we consider that it is to
be found explained in Thomson v The Corporation of the City of Glasgow
1962 SC (HL) 36, in the words of Lord Reid at page 66. There he said:
"I do not intend to examine the
grounds on which the Second Division exercised their discretion. I shall have to deal later with an argument
that they were bound to allow this amendment, their only discretion being with
regard to conditions to be attached to such allowance. But if they had a
discretion, as in my opinion they had, this House would not overrule the
discretion of a lower Court merely because we might think that we would have
exercised it differently. I do not
attempt to define the circumstances in which this House might take that
course. We might do so if some
irrelevant factor had been taken into account, or some important relevant
factor left out of account, or if the decision was unreasonable, and we would
no doubt do so if the decision could be said to be
unjudicial."
Approaching the matter before us in that way, we have reached
the conclusion that the Lord Ordinary's exercise of his discretion in this
instance was flawed, in respect that he did not take into account an important
relevant factor. That is the issue of the
balancing of the prejudice to the parties in the event of the amendment being
allowed, or refused, as the case might be.
We have carefully considered the terms of the Lord Ordinary's Opinion,
but we do not find consideration given to that important matter. The consequence of having reached that
conclusion is that the matter of amendment is now at large for us and for the
exercise of our discretion.
[6] Turning then
to the matter of prejudice and the other relevant circumstances. In the event of the refusal of the pursuer's
Minute of Amendment, there is little doubt that the pursuer would lose the opportunity
of making a claim related to the loss of the possibility of his involvement in
professional football as a career, which might have been available to him in
the event of his not having been injured in the way that he was. That may be a matter of very considerable
importance to the pursuer and could amount to a material element of his claim
for damages. If the amendment were to be
allowed that problem for the pursuer would, of course, disappear and the
question of possible prejudice to the defenders would require to be
considered. Plainly, if the amendment
were to be allowed, the defenders would be exposed to a potentially larger
claim for damages than they were previously.
However, we do not think that that can be seen as prejudice in this
context. It is merely a means whereby
the real issue in controversy between the parties is focused. However, they would also be subjected to
additional expense in connection with the discharge of the proof, which was
accepted by both parties would be inevitable if the Minute were allowed to be
received. Also, additional expense would
be incurred in relation to any necessary investigation of the matters raised in
the Minute. In our view, however, the
disadvantage to the defenders in that respect may be remedied by the making of
an appropriate award of expenses in their favour in respect of the discharge of
the proof and, ultimately, if appropriate, in relation to the making of the
amendment itself. That approach to the
matter in our view is entirely consistent with what was said once again in the
case of Thomson v The Corporation of the City of Glasgow
by judges in the Second Division and in particular the Lord Justice Clerk at
page 52 and by Lord Patrick, at page 55, who recognised that the prejudice
caused by amendment to a party might, in certain circumstances, be cured by the
mulcting of the amender in expenses. As
we have already indicated, while the pursuer here is an assisted person,
because of the admission of liability, it is very likely that an award of
expenses made in favour of the defenders will be able to be set-off against any
liability that they may ultimately have towards him. These considerations and all the other
considerations which have been discussed in relation to this proposed amendment
persuade us that we should exercise our discretion to allow the Minute of
Amendment to be received and that is what we shall do. It is inevitable, having come to that view,
that the diet of proof will be discharged.
So we shall allow the reclaiming motion, allow the Minute of Amendment
to be received and answered within an appropriate period, discharge the diet of
proof and at this stage we shall make an award of expenses occasioned by the
discharge of the proof in favour of the defenders against the pursuer, as an
assisted person.