THE IRISH Mail On Sundaytold the Sunday Tribunereceiver there would be estimated legal costs of €700,000 if his action over the publication of an alleged fake copy of the Tribunewent ahead, the Commercial Court was told yesterday.
This was "clearly intended" to intimidate receiver Jim Luby and was part of the "extremely confrontational" approach adopted by the Mailover the publication, John Gordon SC, for Mr Luby, said.
In a letter sent to Mr Luby after the disputed publication, the Mailreferred to an estimated costs bill of €700,000, plus VAT, for any proposed action over the "passing off" of the Tribune, counsel said.
The court should, he argued, take this "frankly breathtaking" approach into account when deciding whether to grant the Mailan order requiring Mr Luby to provide security for the legal costs of his proceedings against Associated Newspapers (Ireland) Ltd, publishers of the Mail, over the alleged passing off incident last month.
The receiver has complained, just five days after Mr Luby was appointed, the Mailpublished some 26,000 issues featuring a "wraparound" Tribune-style cover. He claims this was intended to confuse Tribunereaders into buying the Mailand damaged the Tribune's goodwill.
Ms Justice Mary Finlay Geoghegan said she would give her decision on the security for costs matter this Friday.
The receiver has argued the alleged passing off had made it difficult for him to sell the Tribunetitle while the Mailhas contended there was no evidence of any damage, loss or prejudice from the publication. The Mailalso disputed claims it has no defence to the receiver's claims.