Courts / Dublin / Report

Dispute over alleged €11m debt write-off comes before High Court

Date
2015-03-09

Stage
Hearing Or Decision

Primary locality
Dublin

County
Dublin

Summary

Helen Conlan, administrator of the estate of the late Mrs Patricia Cosgrave, brought a case in the Commercial Court seeking to enforce an alleged agreement with Allied Irish Bank (AIB) that would have written off €11.2m of debt after the first three loan facilities were repaid. Mrs Cosgrave, who died in November 2014 at age 78, had secured four credit facilities from AIB totalling almost €70m. The first three facilities were €43.8m, €14.729m and €160,000; the fourth was €11.25m. Conlan claims that in May 2014 the parties reached an agreement that, if the first three facilities were paid in full before the due date, AIB would forgive the fourth facility. She argues that after her mother's death AIB refused to allow early repayment of the first three facilities and is demanding full repayment of all four.