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Waste recycling firm sues insurer for €2 million over alleged refusal of fire claim

Fire occurred at Oxigen premises on Coe’s Road in Dundalk in June 2022

In an affidavit seeking entry of the case to the Commercial Court, Brian Moylan, head of planning and compliance with Oxigen, said the company had complied with all provisions under the policy to pursue its claim.

Mon Mar 11 2024 - 20:10

Waste recycling company Oxigen is suing an insurer for some €2 million for allegedly declining to meet a claim over a fire at its premises in Dundalk, Co Louth.

The fire occurred at the Oxigen Environmental Unlimited Company premises on Coe’s Road on June 14th, 2022, which the company says caused significant loss and damage.

Three days later, the company lodged a claim under a policy it took out in 2020 to cover April 2022 to April 2023.

The insurer, Helvetia Global Solutions Ltd, with a registered office in Vaduz, Liechtenstein, as well as an address in Ireland care of Kennedys Solicitors, Sir John Rogerson’s Quay, Dublin, failed, refused or neglected to honour its obligations under the policy, Oxigen says.

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As a result, Oxigen has brought High Court proceedings against Helvetia which were entered into the fast-track commercial list on Monday on consent between the parties by Mr Justice Denis McDonald. The application for entry was brought by Martin Canny BL, with Martin Hayden SC, for Oxigen.

In an affidavit seeking entry of the case to the Commercial Court, Brian Moylan, head of planning and compliance with Oxigen, said the company had complied with all provisions under the policy to pursue its claim.

Helvetia wrote in December 2022 that it could not confirm an indemnity, but remained willing to consider any further information from Oxigen, he said.

Despite Oxigen furnishing detailed factual and expert evidence in support of the claim, Mr Moylan said the defendant has, in breach of contract, failed to confirm an indemnity or to deal with the claim promptly or adequately or properly.

Oxigen got an expert report on the fire carried out, but Helvetia’s solicitors said in July 2023 that this report had not addressed its issues as the defendant. Oxigen’s solicitors said there were numerous deficiencies in an expert report which the defendant itself had carried out, Mr Moylan said.

Oxigen had also invited the defendant to attend a mediation conference but it did not agree to do so, he said.

Oxigen says its losses are about €1.89 million, which along with loan interest on borrowings of some €175,000 brings the total claimed to just over €2 million.

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