A 3-judge divisional High Court is to be convened in the autumn to hear a challenge by TD Joan Collins against the government payment of promissory notes.

While the deadline for the final €25 million payment passes on June 17th, State lawyers say the case will raise issues of law of huge importance.

The People Before Profit TD is challenging this month's promissory note payment for EBS.

She claims it is unconstitutional and unlawful because the government appropriated public monies without putting the matter to a Dail vote.

Her lawyers sought a hearing before the money was handed over but High Court President Nicholas Kearns will instead put together a 3-judge divisional court to hear the case in October.

That decision means he has acknowledged the importance of the case which addresses issues about how the State provides for its funding.

The challenge is not only against the promissory notes - it also encompasses a challenge to a provision in IBRC Act from this year.