The High Court has adjourned a possession application concerning two mortgaged properties, in Clondalkin and Galway, to a plenary hearing to resolve disputed factual and legal issues. The court did not decide whether the lender is entitled to possession.
In a judgment delivered on 29 July 2024, Mr Justice Rory Mulcahy said Brian Donohoe had not made payments on the loan since July 2010. The €543,450 loan was advanced in 2007 and secured against the properties. The current application was brought by Start Mortgages Designated Activity Company under section 62(7) of the Registration of Title Act 1964.
The judge said a central issue for the full hearing is whether a repayment demand was required under the mortgage and, if so, whether the lender can prove that a demand letter dated 7 January 2014 was sent. Mr Donohoe said he did not receive it. The judge found the evidence that it had been sent was not adequate to resolve the dispute at this stage.
Other issues to be examined include whether Mr Donohoe acted as a consumer when taking out the loan, whether an interest-rate term was unfair, and whether Start Mortgages succeeded to the underlying debt. The judge said the dispute over the lender’s interest in the debt could be most fairly determined with cross-examination at a plenary hearing.
The judgment also addressed complaints about the earlier securitisation of the loan. Justice Mulcahy found those complaints did not disclose an arguable defence, saying the documents showed that the first lender retained the right to set interest rates and make demands, and that the securitisation was reversed in 2014. He rejected the claim that alleged misconduct by the first lender’s witnesses warranted dismissing the case.
The court directed that the proceedings be listed on 9 October 2024 for directions on the further hearing. It did not determine the outstanding disputes or make a possession order.