Courts / Limerick / Report

Businessman failed to raise defence to €2.2m summary judgement, court rules

Date
2019-03-21

Stage
Hearing Or Decision

Primary locality
Limerick

Summary

In a High Court ruling on 21 March 2019, Mr Justice Michael Twomey dismissed the defence of Hirar Properties Limited and its owner, John Philip Ryan, in a case brought by Allied Irish Bank Plc (AIB). AIB sought summary judgement for €2.8 million against the company and €2.25 million against Ryan, claiming the company failed to repay loans secured by the property known as the Globe on Cecil Street, Limerick. Ryan had acquired Hirar in 2008 after AIB expressed concerns that previous owners could not service the loans. The defendants argued that the case should proceed to a full hearing, citing alleged breaches of a collateral agreement that would have enabled a Business Expansion Scheme investment to develop the Globe into a hostel. The court found no credible evidence of such an agreement, concluding that the defendants had no fair or reasonable defence and that no documentary proof of a collateral arrangement existed.