The Supreme Court has set aside a transaction in which a Swedish couple paid £38,000 for a horse which they subsequently discovered had been sold for £25,000. Mr Justice Barron said the couple, who bought the horse for their daughter, believed the extent of their agent's interest was a 10 per cent commission on the price paid to the vendor of the horse.
The court upheld a High Court ruling in favour of Stefan and Pamela Persson, of Djursholm, Sweden.
Mr Alaine Storme, of Waterside Stud, Tara, Co Meath, and the company of which he is a director, Pro-Am and Co Ltd, had appealed the High Court finding that the couple were entitled to a cancellation of their £38,000 contract with Pro-Am.
In 1993, the Perssons engaged Mr Storme and his company to buy a showjumping horse for their daughter Charlotte (15).
Delivering the Supreme Court decision, Mr Justice Barron said the girl's coach, Mr Sylvie Soderstrand, who had been a distinguished international showjumper, advised the Perssons to buy an Irish animal.
Mr Soderstrand had said he had bought 50 or 60 horses through Mr Storme. If a suitable horse were found, there would be a commission of 10 per cent payable both to Mr Storme and himself. Mr Persson had agreed to a horse being found on that basis.
Mrs Persson, her daughter and Mr Soderstrand came to Ireland and inspected Shalom Simpson, at the stables of Mr Mervyn Clarke.
After their return, Mr Persson was aware he was being asked to pay £38,000, to include the agreed commissions, to buy Shalom Simpson.
The horse was found to be suffering from acute synovitis which rendered it unfit for showjumping by the girl. In correspondence it became apparent Mr Persson had not bought the horse directly from Mr Clarke but from Pro-Am, who had bought it from Mr Clarke.
Mr Justice Barron said the real issue was whether or not Mr Soderstrand was aware of the basis on which the horse was bought by Mr Storme from Mr Clarke for £25,000 and then sold to the Perssons.