Firm sues former partners over unfinished Clarion Quay development

A legal action over alleged failure to properly complete the Clarion Quay development in Dublin’s docklands is to be fast-tracked in the Commercial Court.

Clarion Quay Development Management Company – which, along with building firm Pierse Contracting, in liquidation, and five businessmen, constituted the Campshire Partnership – wants the other members of the partnership to complete works on the development.

The five businessmen are John McCormack of Nutley Lane, Donnybrook, Dublin; Brian McCormack Belgrave Square, Monkstown, Co Dublin; Niall McCormack, Shrewsbury Road, Ballsbridge, Dublin; Alan McCormack, Fitzwilliam Square, Dublin and Patrick Kelly of Morehampton Road, Donnybrook, Dublin.

The court heard the partnership and the Dublin Dockland Development Authority, which was dissolved in 2016 with all of its rights and liabilities transferred to Dublin City Council, were the developers of the Clarion Quay property of 184 residential and nine retail units.

Common areas

The plaintiff had in 2001 purchased the common areas from the developers as well as various interests in the property, which was substantially constructed in 2002.

A dispute has broken out between the parties. The plaintiff claims Dublin City Council, along with the other members of the partnership, have breached their obligations as developers by failing to ensure the development was properly completed.

The company claims it will cost €14 million to remedy alleged defects in the building, including fire safety compliance.

It is also alleged works need to be carried out on the property’s roofs, brickwork, timber cladding, balconies, direct heating system, apartment ventilation systems, common mechanical systems, and water in the basement.

The plaintiff seeks several orders and declarations from the defendants, including an order directing the Council to specifically perform the 2001 sale agreement.

Alleged defects

It claims the defendants are obliged to indemnify the management company in respect of all costs, expenses and claims arising from the alleged defects in the design, construction or certification of the Clarion Quay development.

The plaintiff further seeks an order for damages including, if appropriate, aggravated and exemplary damages.

The claims are denied and the defendants say the action is misconceived.

The case was admitted on Monday to the fast-track Commercial Court by Mr Justice Robert Haughton.

The case, along with a number of related actions, will be mentioned before the court later this month.