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GAZETTE

JULY 1989

void for want of registration must,

from a practical point of view,

depend on the facts of each case,

i.e. the nature of the goods supplied

or the wording of the supply

contract.

In spite of this, it is the Courts

which are left to find some sort of

equitable solution which will treat

all suppliers on credit, equally. It is

the Courts which are left to answer

the concerns of suppliers of con-

sumables or services that the

estate of an insolvent customer

should be maximised.

Since the early 1980's when the

Courts settled on a consistent legal

interpretation of the law governing

Reservation of Title, suppliers who

go to Court relying on their reserva-

tion of title clauses seem to

approach the bench, cap in hand,

to say that while we accept title to

resin may disappear once it is

caught up in the manufacturing

process, would it be possible that

title to leather might not similarly

disappear when used in the pro-

duction of hand bags

10

or that title

to diesel engines might still be

effective even when they are

connected to other machinery

11

.

These questions could go on

ad

infinitum,

each case being put into

its own pigeon hole. However,

although no universal rule is

apparent, case law seems to

indicate a vague distrust towards

and dislike of reservation of title

clauses on the part of judges, who

recognise that "this area of the law

is . . . a maze if not a minefield."

12

and that "there is no logical reason

why this class of creditor (suppliers

of unconsumed goods) should be

favoured as against other creditors

such as the suppliers of consum-

ables and services'..

13

Reforms

In 1979 the Commission of the

European Communities issued a

proposal for a Council Directive on

the legal consequences of Reserva-

tion of Title.

14

The aim of this draft Directive

however, is not primarily to bring

about reform but rather to

harmonise the laws of the Member

States. With this in mind the

proposal looks at Reservation of

Title from the point of view of

suppliers. Its effect if implemented

in this Jurisdiction would be firstly

to copper fasten the existing law of

Reservation of Title, warts and all

and secondly to strengthen the

position of suppliers with regard to

various restitutionary remedies

which would be made available to

them.

The draft Directive however is

silent on the shortcomings in the

law of Reservation of Title and I

would submit that if adopted and

implemented in this jurisdiction the

Directive would serve only to hinder

any movement towards reform

which the Legislature may wish to

pursue. It is therefore perhaps

fortunate that after eight years the

proposal still remains in draft form.

In 1982 the Cork Committee

issued its report on the Law and

Practice of Insolvency.

15

Having

interviewed many of those in the

front line of this area, the Com-

mittee went on to discuss the sub-

missions made to glean a number

of recommendations.

A large number of suggested

reforms are based on the need for

ce r t a i n ty w i t h o ut wh i ch the

amount of interminable and

expensive litigation in this area will

unavoidably rise. The Committee

WHERE THERE'S A WILL

THIS IS THE WAY...

When a client makes a will in favour of the

Society, it would be appreciated if the bequest

were stated in the following words:

"/ devise and bequeath the sum of

Pounds

to the Irish Cancer Society Limited to be applied by it

for any of the charitable objects of the Society, as it,

the Society, at its absolute discretion, may decide."

All monies received by the Society are expended

within the Republic of Ireland.

"Conquer Cancer Campaign" is a Registered

Business Name and is used by the Society for some

fund raising purposes. The "Cancer

Research Advancement Board"

I D

I I

allocates all Research Grants

I l x l . 3 1

I

on behalf of

A X

T

Q

the Society.

> V ^ L

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SOCIETY

5 Northumberland Road

Dublin 4

Ireland

Tel: 681855

THE LOST CHILDREN

OF AUTISM

LIKE THE PIPER OF HAML IN AUT I SM CAME

AND TOOK MY CHILD'S SENSES AWAY

BUT TO WH E R E? I DON 'T K NOW

I DON 'T K NOW WH E RE TO GO

I DON'T KNOW WH AT TO DO OR TO SAY

BUT I WI LL FIND MY CHILD

T HOUGH IT MAY T AKE A WH I LE

THEN THE HEART ACHE WI LL COME TO AN END

BUT T H ROUGH THE TR I ALS AND THE T EARS

AND THE PAIN AND THE FEARS

IT WOU LD HELP ME WI TH

YOU AS A FRIEND.

LET YOUR WILL BE A LEGACY OF HOPE

FOR THE LOST CHILDREN OF AUTISM

DONATIONS OR LEGACIES TO

Irish Society for

- Autistic Children

14, LOWER O'CONNELL STREET,

DUBLIN 1. Tel: (01)744684

2 16