The Court of Appeal has dismissed Shannen and Tara McCann’s appeal against orders striking out their claims against Simon Wagner in a dispute over land at Buncrana Road, Derry. The court upheld the High Court’s decision to remove all reliefs against Wagner from the plenary summons and statement of claim.
The appeal concerned an early-stage strike-out application, not a trial of the underlying dispute over the McCanns’ claimed interest in the land. The court assessed the pleaded case at its highest, while also considering documents and affidavits from related proceedings under its inherent jurisdiction. It concluded that the McCanns had not shown a credible basis for a claim against Wagner.
The McCanns allege that they provided £1.2 million to Coilin McManus towards the acquisition costs and that he held part of his interest in the Derry lands or related proceeds on trust for them. A 2018 agreement stated that McManus held half of his interest in the FDRR companies on trust for the sisters. The court accepted the alleged trust for the purposes of the strike-out application; it did not determine the wider dispute over the trust’s validity or the McCanns’ entitlement.
The McCanns argued that Wagner knew, or should have known, of the trust and became liable after a 2020 settlement with McManus ended McManus’s further participation in the project in return for payment. The Court of Appeal said the material showed the McCanns’ involvement had been kept from Wagner, and that the correspondence relied on to show notice was sent to the FDRR companies’ secretary, not to Wagner. It found no evidence beyond conjecture to support the allegation that the settlement was designed to defeat the trust.
The court also said Irish law recognises no tort of inducing a breach of trust, and that the pleadings did not adequately identify trust property received by Wagner. The proceeds the sisters sought from an earlier sale were held in a joint deposit account, and Wagner disclaimed any entitlement to them. Claims concerning the unsold land were being pursued in Northern Ireland against the FDRR companies, which were not parties to this case.
The Court of Appeal confirmed the High Court orders under both the court rules and its inherent jurisdiction and dismissed the appeal. Its provisional view was that Wagner should receive the appeal costs, subject to any alternative submissions from the appellants within 14 days.