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Scottish Court of Session Decisions


You are here: BAILII >> Databases >> Scottish Court of Session Decisions >> McGhee v Diageo Plc [2007] ScotCS CSIH_68 (14 June 2007)
URL: http://www.bailii.org/scot/cases/ScotCS/2007/CSIH_68.html
Cite as: [2007] CSIH 68, [2007] ScotCS CSIH_68

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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.


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