John Meagher loses Supreme Court appeal over €7m Danske judgment

Commercial landlord John Meagher has lost a court bid to have set aside a judgment for some €7 million obtained by Danske Bank against him just over a year ago.

The Supreme Court today rejected claims by Mr Meagher that he was unaware of the proceedings before summary judgment was entered by Mr Justice Peter Kelly against him in his absence at the Commercial Court in February 2013.

Refusing to set aside that judgment in the High Court, Mr Justice Michael Peart said he didn't believe Mr Meagher's claim he was unaware a summons server had left the legal documents at the home of a relative at Ashbourne, Co Meath, an address also used by Mr Meagher in business correspondence.

Mr Meagher appealed Mr Justice Peart’s refusal to the Supreme Court. Today, delivering the judgment of the three judges of that court, Ms Justice Mary Laffoy dismissed the appeal.

Unknown location
She said evidence had clearly established the bank was unable to serve the proceedings personally on Mr Meagher due to his being at an unknown location in Sri Lanka during the first half of 2013.

In those circumstances, the bank obtained an order allowing it serve the proceedings at the Ashbourne address, she noted. In granting that order, Mr Justice Peter Kelly was undoubtedly correct in concluding service of the documents at that address would result in Mr Meagher being put on notice of the judgment application, Ms Justice Laffoy said.

There was even more evidence before Mr Justice Peart to indicate it was reasonable for that judge to conclude Mr Meagher had notice of the proceedings, she said.

Arrangement
Mr Justice Peart was told of an arrangement between Mr Meagher and a relative, under which he would be told there were documents for him in Ashbourne and would have an opportunity to respond to those. There was no basis on which the Supreme Court could decide that Mr Justice Peart's conclusion was incorrect, she said.

In those circumstances, the Supreme Court must reject the argument the summary judgment order was an irregular judgment because of alleged irregularity in service. It followed the judgment was regularly obtained.

Since it obtained the €7 million judgment against Mr Meagher over unpaid loans secured on properties at Charlemont Street in Dublin, Danske has been trying to secure payment from Mr Meagher. Its cross-examination of him about his assets and liabilities stands adjourned pending further consideration of issues raised.