THE SUPREME Court has overturned a decision that National Irish Bank is entitled to summary judgment for €37 million against Durkan New Homes, a couple and another company over failure to repay loans given for a large housing development at Cabinteely, Co Dublin. The case will now to the High Court for a full plenary hearing.
The three-judge Supreme Court yesterday ruled that Durkan and the other defendants had made out an arguable defence to the NIB claim entitling them, “as a matter of justice”, to a full plenary hearing
Issues raised in the case relating to the construction of loan documents and whether the extent of bank hours had any application were not simple and clear, Ms Justice Susan Denham said.
NIB had sought summary judgment against Durkan New Homes, with offices at Ranelagh, Dublin, Don and Marian Casey, of Woodbrook, Beech Park, Cabinteely, and Tullycross Developments Ltd (TDL) under two related loan agreements of March 2006.
The defendants had intended to use the loans to assemble a large site at Beech Park, Cabinteely, where it was hoped to build hundreds of houses.
The bank claimed the effect of cross-guarantees meant all four defendants had a liability for the €37 million but the defendants argued that because they had paid interest by the loans’ repayment date of September 2008, the bank’s claim was limited to securities on certain properties.
