The High Court has ruled that Ulster Bank is entitled to relief over lands in County Roscommon after finding that the bank had established an equitable mortgage registered as a lien. The judgment says the court was satisfied that the bank was entitled to the relief claimed, but does not set out the final terms of any well charging or sale order.
The bank sought a well charging order and sale of lands jointly owned by Peter Reaney and Teresa Reaney, in respect of loans owed by Peter Reaney and a guarantee given by Teresa Reaney. The court had already entered judgment against Peter Reaney for €1,056,698.48 in February 2017. It found that this remained due, with further interest waived by the bank.
The court also considered Teresa Reaney’s liability under a guarantee for €751,000. Her 2013 affidavit said she had not signed an agreement offering the development lands as security for borrowing in 2008. The judgment says she did not deny signing the guarantee exhibited by the bank, or dispute liability under its terms. The court recorded that she had not disputed her indebtedness under the guarantee.
The security relied on by the bank arose from a 2005 undertaking by solicitors to hold title documents for the lands in trust for the bank. A lien was registered against the relevant folio in October 2009. The judge found that the bank had provided the necessary proof that the equitable mortgage was duly registered and recorded. The court also rejected Peter Reaney’s arguments that the registration was invalid, that the wrong folio had been produced, and that the proceedings lacked jurisdiction.
The proceedings began in the Circuit Court in 2013 and were later transferred to the High Court, where they were heard alongside related proceedings. After the court delivered judgment on the bank’s loan claim in 2017, the remaining issues concerning the well charging and sale application were heard on affidavit evidence and submissions in January 2018. The judgment, delivered by Mr Justice McDermott on 29 January 2018, concludes that the bank is entitled to the relief claimed; it does not detail the form or implementation of a sale.