Q. I run a small business in Limerick and sometimes have to get certain items made to order from outside Ireland. I made good relationships with various partners over the years, but last year I had to order an item from a new supplier outside Ireland. The price was quite high, and unfortunately the item when delivered was not what I required. I did not pay for the item as it is entirely useless to me. I engaged in a protracted correspondence with the supplier (sometimes quite heated). I am worried now that they will try and sue me in their home country and I will have to travel abroad.
Dear Reader,
The first thing you should consider is whether or not you signed any contract or similar document. If you did, that may well set out what is to transpire in the event of non-payment, and would confirm in what jurisdiction they are entitled to sue. It may also set out their returns policy, if any, although if the item was made to order then it is likely no right of return applies.
If there is no contract, or if it is silent as to where either party can sue, what steps the other party can take depends on where they are based. If they are based in certain EU (Iceland, Norway, or Switzerland) the process is relatively straightforward and they can apply under various different mechanisms – including a streamlined system if the debt is under €5,000.
If they live outside those specific countries, whether they can sue in their own country would depend on the rules of that country. Generally speaking, your agreement would be deemed to be ‘concluded’ in their country and therefore – generally – they would be entitled to sue you in that country. However, different countries have different rules in this regard. If you do receive any notice of any court proceedings in that country, you should immediately instruct a solicitor based there.
It would possibly be too much for the supplier to instruct an Irish solicitor to sue you through the Irish system. The case would then fall to be decided by the Irish courts, who would look at all the circumstances of the matter, any contract or agreement between you, any specifications or agreements, and the contents of any correspondence. If it is clear that the fault lies with the supplier, then you can try and convince an Irish court to dismiss the case.
Given the defendant would be based outside Ireland, your solicitor should also consider asking the court to make the supplier put up a sum of money to satisfy legal costs in the event that they are unsuccessful. This is known as ‘security for costs’.
There is no need for you to take any further action at present – it may be the case that the supplier is simply frustrated (through no fault of yours) and has no intention of incurring expense of suing you for the supply of shoddy goods.
