TUOHY v. IRELAND
Doc ref: 26270/95 • ECHR ID: 001-3331
Document date: October 16, 1996
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AS TO THE ADMISSIBILITY OF
Application No. 26270/95
by James TUOHY
against Ireland
The European Commission of Human Rights (First Chamber) sitting
in private on 16 October 1996, the following members being present:
Mr. M.P. PELLONPÄÄ, Acting President
Mrs. J. LIDDY
MM. E. BUSUTTIL
A. WEITZEL
B. MARXER
G.B. REFFI
B. CONFORTI
N. BRATZA
G. RESS
A. PERENIC
C. BÎRSAN
K. HERNDL
M. VILA AMIGÓ
Mrs. M.F. BUQUICCHIO, Secretary to the Chamber
Having regard to Article 25 of the Convention for the Protection
of Human Rights and Fundamental Freedoms;
Having regard to the application introduced on 20 December 1994
by James TUOHY against Ireland and registered on 24 January 1995 under
file No. 26270/95 ;
Having regard to the report provided for in Rule 47 of the Rules
of Procedure of the Commission;
Having deliberated;
Decides as follows:
THE FACTS
The applicant is an Irish national, was born in 1937 and is
resident in County Cork, Ireland.
A. The particular circumstances of the case
The facts of the case, as submitted by the applicant, may be
summarised as follows.
In December 1978 the applicant and his wife purchased a house
(the first residence). The applicant believed, from the legal advice
he received, that he was purchasing a leasehold interest relatively
easily convertible into a freehold interest. On 1 October 1982 the
applicant's lawyer sent the title deeds of the property to the
applicant. In March 1983 (a date later accepted by the High Court) the
applicant read the title deeds. He noticed for the first time that his
title in the first residence was "a lease" and that there were some
additional obligations attaching to the property of which he had not
been made aware. While the applicant was upset, he still believed that
his title was as he had been advised by his solicitor.
On 4 January 1985, in answer to his solicitor's demands (dated
29 May and 30 November 1994) for payment of fees as regards the
conveyance, the applicant wrote in the following terms to his
solicitor:
"When my wife and I asked you what the £42.50 related to, you
told us quite definitely that it was the ground rent on
property>. When we asked you if we could buy it out, you said we
could and you mentioned a figure of £2500.00. You can imagine our
dismay and horror when we discovered that the £42.50 was in
respect of a lease. In view of the above I would strongly suggest
that you revise your fees."
When the applicant's solicitor in his response did not deal with
the matters raised by the applicant, the applicant wrote again raising
the same matters and again noted his "amazement and horror" in
discovering that the title was a leasehold. In light of the
"incompetent and negligent handling of the business entrusted" to his
solicitor the applicant again suggested a significant revision of the
fees charged.
In the meantime, the applicant had been building a new family
home (a second residence) which would be financed in part by his equity
in the first residence. After an offer to buy the first residence had
fallen through, the applicant's new solicitor advised him in or around
July 1985 of the true nature of his title in the property. The
applicant claims (and it was accepted later by the High Court) that
this was the first time that he became aware of the true nature of the
title in the first residence and of its substantially reduced value.
On 10 April 1987 the applicant commenced negligence proceedings
against, inter alia, his previous solicitor. The defence raised
section 11 of the Statute of Limitations 1957 ("the 1957 Act") arguing
that the proceedings were out of time. It was also argued in defence
that the delay in issuing the proceedings was, even if not statute
barred, inordinate and inexcusable. The High Court ordered that the
timeliness of the proceedings be tried as a preliminary issue. The
applicant then added a submission that if his claim was statute barred
then the relevant sections of the 1957 Act were unconstitutional.
On 9 April 1991 the High Court held that the matter was statute
barred by section 11 of the 1957 Act. Further to a submission by the
Attorney General, it was decided by the High Court that the applicant's
locus standi to raise the constitutional issue must be established. In
order to do this, the High Court heard submissions as to the facts of
the case and as to whether, apart from the time-limit issue, the
applicant had a cause of action and as to whether the delay in issuing
the proceedings was, in any event, inordinate and inexcusable.
The High Court gave its judgment on these issues on
3 September 1992. As to the facts, the High Court found that the
applicant had first read the title deeds in March 1993 and that despite
the terms of his letters dated 4 January and 20 May 1985, he did not
understand the significance of the difference between the title he
believed he purchased and that which he actually purchased until in or
around July 1985 when he was advised by his new solicitor. It was also
accepted that the six year time-limit ran out as and from
19 September 1984 (at the earliest) or 18 December 1984 (at the latest)
and that the applicant was accordingly aware for at least eighteen
months (if not for 21 months) that the title to the relevant property
was not what he believed he had purchased. He was, in the High Court's
view, in an analogous position to that of persons who had suffered
personal injury but who were not aware that the injury was significant,
which latter persons benefitted from a date of discoverability rule by
virtue of the Statute of Limitations (Amendment) Act 1991 ("the 1991
Act").
The High Court accepted that the applicant had locus standi to
bring the constitutional issue since it found that, apart from the
time-limit issue, the applicant's former solicitor had been negligent
as regards the advice given in relation to the sale of the property and
that the applicant would be entitled to damages. The High Court went
on to find that there had not been inordinate and inexcusable delay on
the part of the applicant in issuing the proceedings as alleged and
concluded that section 11 of the 1957 Act was not unconstitutional.
The applicant appealed to the Supreme Court, which court also
accepted that the applicant, whilst aware of facts within the six year
time-limit which led him to the conclusion that the solicitor had been
negligent, was unaware until after the expiry of the time-limit that
he had suffered any significant loss which would warrant the issuance
of proceedings. It was also accepted that the applicant could not, by
steps which he might have been reasonably expected to take, have become
aware of the true position and his true loss before the summer of 1985.
However, the Supreme Court recognised the purposes of the time-
limit as being the protection of defendants against stale claims
together with the promotion as far as possible of expeditious trials
(with evidence which has the accuracy of recent recollection) and of
a certain finality in potential claims. The necessity as far as is
practicable to ensure that such time-limits do not unreasonably or
unjustly impose hardship on potential litigants was the countervailing
interest. Having made its evaluation, the Supreme Court found that the
time-limit was objectively viewed as a substantial period, the
legislation could be seen to be supported by just and reasonable
reasons and it was not unconstitutional.
B. Relevant domestic law and practice
Pursuant to Article 40 (3) of the Irish Constitution, the State
guarantees in its laws to respect, and, as far as practicable, by its
laws to defend and vindicate the personal rights of the citizen. The
State shall, in particular, by its laws protect as best it may from
unjust attack and, in the case of injustice done, vindicate the life,
person, good name and property rights of every citizen.
Pursuant to Article 43 of that Constitution, the State
acknowledges that man has the natural right, antecedent to positive
law, to the private ownership of external goods and the State,
accordingly, guarantees to pass no law attempting to abolish the right
of private ownership or the general right to transfer, bequeath and
inherit property. Pursuant to that Article the State also recognises
that the exercise of the afore-mentioned rights ought, in civil
society, to be regulated by the principles of social justice and the
State, accordingly, may as occasion requires delimit by law the
exercise of the said rights with a view to reconciling their exercise
with the exigencies of the common good.
Section 11(1)(b) of the Statute of Limitations Act 1957 lays down
a six year time-limit, running from the date on which the cause of
action accrued, for actions in negligence. A specific fixed time-limit
of three years was also laid down for actions in, inter alia,
negligence for personal injury. Pursuant to Part III of the 1957 Act,
the time-limit applicable to a plaintiff under a disability (which
includes a minor or a person of unsound mind) begins to run from the
end of the disability. Where a cause of action is based on the fraud
of the defendant or where the right of action is concealed by the
defendant, the time-limit does not begin to run until the plaintiff has
discovered the fraud or could, with reasonable diligence, have
discovered the fraud.
The Statute of Limitations (Amendment) Act 1991 ("the 1991 Act")
came into effect in 1991 and applied to all causes of action accruing
either before or after its passing and to proceedings pending at its
passing. Pursuant to section 3 of the 1991 Act the time-limit for
personal injuries' actions can commence from the date when the
potential plaintiff became aware of a significant injury attributable
to, inter alia, the negligence of an identifiable defendant.
COMPLAINTS
The applicant complains under Article 6 of the Convention that,
even though the domestic courts recognised that he had a good cause of
action against his former solicitor, he is barred from pursuing this
action by a fixed time-limit. The applicant also raises Article 14 in
conjunction with Article 6 of the Convention arguing that Irish law
discriminates against him in view of the flexible time-limits
applicable to persons with personal injury actions, those under a
disability, minors and those suing for fraud. The applicant also
complains under Article 1 of Protocol 1 that his property rights were
unjustifiably interfered with by the operation of the time-limit. The
fact that a fixed time-limit applies to negligence resulting in
financial loss and an interference with property rights and that a more
flexible period applies when the negligence results in personal injury
constitutes a difference in treatment contrary to Article 14 of the
Convention taken in conjunction with Article 1 of Protocol 1.
THE LAW
1. In the first place, the applicant complains under Article 6
para. 1 (Art. 6-1) of the Convention that he was barred from issuing
negligence proceedings when he had no conceivable way of ascertaining,
from his own limited knowledge of a technical area of the law, that his
solicitor had given negligent advice. He points out that the effect of
this was that he is excluded from having any access to court when it
has been recognised that his cause of action was good. Article 6
para. 1 (Art. 6-1) of the Convention provides in its first sentence:
"In the determination of his civil rights and obligations ...,
everyone is entitled to a fair and public hearing within a
reasonable time by an independent and impartial tribunal
established by law."
The Commission considers that the matter at issue is one of
access to court for the determination of the applicant's civil rights
within the meaning of Article 6 para. 1 (Art. 6-1) of the Convention
and recalls that Article 6 para. 1 (Art. 6-1) secures to everyone the
right to have any claim relating to his or her civil rights brought
before a court or tribunal (see, for example, Eur. Court HR, Golder v.
the United Kingdom judgment of 21 February 1975, Series A no. 18, p.
18, para. 36).
However, such a right of access to court is not absolute and may
be regulated by States which have a certain margin of appreciation.
Limitations on this right must not be applied in such a way as to
impair the very essence of the right, must pursue a legitimate aim and
there must be a reasonable relationship of proportionality between the
means employed and the aim sought to be achieved (see Eur. Court HR,
Ashingdane v. the United Kingdom judgment of 28 May 1985, Series A
no. 93, pp. 24-25, paras. 55-57)
Furthermore, the Commission has previously accepted, in the
interests of the good administration of justice, that the imposition
of time-limits (including time-limits that cannot be waived) within
which prospective proceedings must be introduced can constitute an
acceptable restriction on the right of access to court. It has been
accepted that time-limits imposed with the purpose of preventing stale
claims and the possible injustice to defendants faced with evidential
difficulties in contesting allegations relating to distant events and
of promoting legal certainty have a legitimate aim (Stubbings and
Others v. the United Kingdom, Comm. Report 22.2.95).
In the present case, the Commission does not consider that the
very essence of the applicant's right was impaired since an action in
negligence was open to him for six years after the purchase of the
first residence. As regards the legitimacy of the aims, the applicant
submits that the question of stale claims and prejudice to the defence
as regards evidential matters were not relevant in his case since the
High Court found there would be no prejudice to the defence in
proceeding with the action and since the High Court, in establishing
the locus standi of the applicant to bring a constitutional action,
established the facts from evidence submitted, concluded that the
applicant's solicitor had been negligent and assessed damages.
While the Commission notes the findings of the High Court reached
in order to establish locus standi, the Commission also recalls that
in fact the High Court found that there had not been inordinate and
inexcusable delay on the part of the plaintiff in issuing the
proceedings which finding does not amount to, as the applicant argues,
a finding as to a lack of prejudice to the defence. It is also noted
by the Commission that the legitimate consideration of legal certainty
remains pertinent to the present application.
As regards the proportionality of the time-limit, the Commission
notes the applicant's submission as to his complete inability to
discern a cause of action within the time-limit because of the
technical area of the law involved, that it only became clear to him
that he had a substantive cause of action when he happened to obtain
advice from another solicitor when he was selling the property and that
he was therefore unreasonably excluded from access to court. However,
the Commission's case-law has established that the need for legal
certainty may justify the imposition of time-limits which cannot be
waived even when new facts arise after the expiry of the relevant time-
limit (No. 9707/82, Dec. 6.10.82, D.R. 31 p. 223). The Commission also
refers to the six-month time-limit set down by Article 26 (Art. 26) of
the Convention and to its own strict approach in this respect (see, for
example, No. 10416/83, K v. Ireland, Dec. 17.5.84, D.R. 38 p. 158).
The Commission also notes that the relevant time-limit was six
years. In addition and even following the finding of the domestic
courts that the applicant did not realise until in or around July 1985
that he had a substantial action against his former solicitor, the
Commission considers the strong terms of the applicant's letters of
January and May 1985 persuasive. While written outside the relevant
time-limit, these letters demonstrate the applicant's dismay, horror
and amazement having read the title deeds which he did in March 1983.
Having so reacted and in order to assure himself of the nature of his
title, the applicant had at least eighteen months before the time-limit
ran out to obtain another opinion on the nature and value of his title
in his property. In any event, the applicant could have simply filed
a plenary summons in the High Court in order to stop the time running
if he required more than an eighteen month period to clarify his
position.
In such circumstances, the Commission considers that this
complaint is manifestly ill-founded within the meaning of Article 27
para. 2 (Art. 27-2) of the Convention.
2. The applicant also raises Article 14 in conjunction with
Article 6 (Art. 14+6) of the Convention arguing that the provisions of
section 11 of the 1957 Act discriminate against him because certain
other categories of litigant (those with personal injury actions, those
under a disability (including minors) and those suing for fraud have
the benefit of more flexibility in this respect namely, a date of
discoverablity rule. He relies on the above-cited Commission's report
in the Stubbings application. Article 14 (Art. 14) of the Convention
provides:
"The enjoyment of the rights and freedoms set forth in this
Convention shall be secured without discrimination on any ground
such as sex, race, colour, language, religion, political or other
opinion, national or social origin, association with a national
minority, property, birth or other status."
The Commission recalls that Article 14 (Art. 14) of the
Convention safeguards individuals placed in analogous situations from
any discrimination in the enjoyment of the rights and freedoms set out
in the Convention and Protocols. Whether a difference in treatment
constitutes such discrimination depends on whether or not that
difference pursues a legitimate aim and on whether there is a
reasonable relationship of proportionality between the means employed
and the aim sought to be realised. In making this assessment
Contracting States enjoy a margin of appreciation which will vary
according to the circumstances of the case (see, for example, Eur.
Court HR, Lithgow and Others v. the United Kingdom judgment of
8 July 1986, Series A no. 102, pp. 66-67, para. 177).
The Commission does not accept that the applicant is in an
analogous position to potential plaintiffs who have not issued their
proceedings due to mental incapacity, their status as minors or to
plaintiffs whose cause of action is fraud or whose cause of action has
been concealed by the defendant. Such plaintiffs are in a more
vulnerable position to that of the applicant in that such plaintiffs
are either incapable in law (minors or of unsound mind) or could not
have taken proceedings due to alleged fraudulent activity on the part
of the defendant. Accordingly, the Commission also considers that the
relative positions of the applicant and these categories of plaintiff
are not comparable to the positions of the categories of plaintiff at
issue in the above-cited Stubbings application. In the latter
application the victims of negligently and intentionally inflicted
personal injury (both of whom lacked the requisite knowledge required
to bring an action) were found to be in analogous positions.
As to the applicant's position (as a victim of negligently
inflicted financial loss) in comparison to victims of negligently
inflicted personal injury and even assuming that the applicant finds
himself in an analogous position, the Commission notes that the Irish
State has consistently distinguished, through both the 1957 and 1991
Acts, the positions of individuals who have suffered personal and
financial injury. The former are allowed a three year time-limit and,
pursuant to the 1991 Act, a date of discoverability option whereas the
latter are allowed a fixed period of six years. Accordingly and in
light of the State's margin of appreciation in this area, the
Commission considers that this difference in treatment pursues a
legitimate aim and that the means employed are proportional.
The Commission therefore considers that this complaint is
manifestly ill-founded within the meaning of Article 27 para. 2
(Art. 27-2) of the Convention.
3. The applicant also complains under Article 1 of Protocol 1
(P1-1) that his property rights were unjustifiably interfered with as
a result of the applicable fixed limitation period and under Article
14 of the Convention in conjunction with Article 1 of Protocol 1
(Art. 14+P1-1) due to the different time-limits applicable to persons
with personal injury actions, those under a disability (including
minors) and those suing for fraud or whose cause of action had been
concealed.
The Commission recalls that, in circumstances where the matter
at issue concerns private rights, there is no interference with the
right to the peaceful enjoyment of possessions when, pursuant to pre-
existing legislation, a judge orders one party to a contract to pay
compensation to another party (No. 10000/82, Dec. 4.7.83, D.R. 33
p. 247).
In the present case, the Commission notes that the legislative
interference alleged was with the applicant's negligence claim against
his solicitor with a view to the applicant recouping compensation as
regards the reduced value of the applicant's first residence. In view
of the High Court's acknowledgment that the applicant would have had,
but for the time bar, a cause of action against his solicitor and an
entitlement to damages, the Commission would accept that the matter
relates to the applicant's possessions. However, it is the Commission's
opinion that the application by the domestic courts of a time-limit
fixed by pre-existing legislation to proceedings concerning the private
rights of the applicant does not constitute an interference with the
his right to the peaceful enjoyment of his possessions within the
meaning of Article 1 of Protocol 1 (P1-1) (mutatis mutandis, No.
10000/82. loc. cit.). As regards his complaint under Article 14 of the
Convention in conjunction with Article 1 of Protocol 1 (Art. 14+P1-1),
the Commission does not consider, for the reasons outlined at 2. above,
that this complaint gives rise to a violation of the Convention.
Accordingly, the Commission considers that these complaints are
manifestly ill-founded within the meaning of Article 27 para. 2
(Art. 27-2) of the Convention.
For these reasons, the Commission, unanimously,
DECLARES THE APPLICATION INADMISSIBLE.
M.F. BUQUICCHIO M.P. PELLONPÄÄ
Secretary Acting President
to the First Chamber of the First Chamber