The President of the High Court, Justice Joseph Finnegan, will rule on April 5th on whether Irish courts have jurisdiction to decide if the Medical Defence Union (MDU) can refuse to provide insurance cover for consultants.
The MDU has refused to indemnify more than 50 Irish-based consultants facing malpractice suits who were paying premiums at the time the alleged malpractice occurred. The insurer claims the State Clinical Indemnity Scheme (CIS), the Government introduced in February 2004, should meet the cost of any historic liabilities which have yet to come to court.
The MDU is now deciding on a case-by-case basis whether it will provide indemnity. According to the Irish Hospital Consultants Association, it has refused cover to 53 consultants facing medico-legal claims to date.
However, the Department of Health says the insurer's historic liabilities, estimated at up to €400 million, remain the MDU's responsibility. Mr Justice Finnegan's ruling will be a test case in the row between the State and the MDU.
The case has its origins a malpractice suit against consultant obstetrician Raymond Howard and the South Eastern Health Board who were sued by a young girl born with cerebral palsy in 1997. At time the MDU declined to provide cover to Howard. Nicole Hassett was awarded €3.75 million and costs in a High Court action. The Chief State's Solicitor's Office, on behalf of Howard, is seeking to force the MDU to indemnify Howard in a bid to cover the settlement.
MDU has argued that the Irish courts do not have jurisdiction to decide such an issue under Article 22 of EC regulations 44/2001 and that any such case must be heard in English courts.
Regardless of the ruling it is likely to be appealed to the Supreme Court.
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