Courts / Dublin / Report

Duddy group not entitled to injunctions over sale of Dublin hotel

Summary

The High Court refused to grant Duddy Hospitality Ireland Holdings Limited, along with Brendan Duddy and Lawrence Duddy, injunctions restraining receivers from selling the IBIS Red Cow Hotel in Clondalkin, Dublin. Mr Justice Rory Mulcahy also declined orders preventing the UK-based Propiteer Group from appointing or removing directors of firms associated with the hotel. The judge determined that while the plaintiffs raised a serious issue, damages would be an adequate remedy, and the risk of injustice was not sufficient to warrant interim relief. The dispute centers on an alleged breach of 2020 settlement agreements regarding the division of jointly owned assets, including the hotel. The Duddy group claims the defendants, including Propiteer Ireland Holdings Limited, DADAC Ltd, Propiteer Ltd, Colin Sandy, and David Marshall, obstructed their acquisition of the hotel and wrongfully appointed insolvency practitioners Ken Fennell and Andrew O'Leary. The defendants deny all allegations of wrongdoing, breach, or obstruction, asserting that the settlement was superseded by a call option agreement due to the plaintiffs' failure to secure refinancing. The judge noted that both sides made allegations of misappropriation of funds, which were denied, and declined to draw conclusions on 'clean hands' or delay at this stage. The matter was adjourned and will return before the court later this month for an early hearing.

Who, what, where, when and why

What: Report matter: Duddy group not entitled to injunctions over sale of Dublin hotel. Procedural stage: hearing_or_decision

When:

• 2024-04-09 Publication

Why: The judge said that while he was satisfied that the Duddy Group had raised a serious issue to be tried, he was not granting the injunctions because damages would be an adequate remedy if the plaintiffs are successful in the full action. CNI source report

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Stage Hearing Or Decision

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Read the original CNI report