A private construction company owned by businessman Sean Dunne's wife, Gayle Killilea, has settled its legal action over an alleged failure to pay it €2.5m for remedial works to two flooded Dublin hotels.
Mavior, an unlimited company of which Ms Killilea is the sole beneficial shareholder, told the High Court that banking syndicate Zrko Ltd owed it €2.5m – which Mavior spent repairing the Tower and Ballsbridge Inn Hotels following the October 2011 floods.
Mavior claimed breach of contract by Zrko Ltd – set up by Ulster Bank, ACC and Icelandic bank Kaupthing, to represent their legal and beneficial interest in the hotels.
Mavior also claimed it was unlawfully excluded by Zrko from the hotels in March 2012 and was entitled to what it had expended on works up to that date.
Zrko had denied there was any contract and Mavior therefore had no entitlement to sue for alleged breach.
Senior counsel for Mavior, Jim O'Callaghan, said that even if it was decided there was no contract it did not mean his client did not have a claim because it was accepted works were carried out on behalf of the defendant.
On October 24, 2011, 3.5 inches of rain fell in Dublin, flooding the hotels, and Mavior was on site the next day beginning the repairs.
The total amount of works on the hotels certified by a quantity surveyor employed by Zrko was more than €3m – but Zrko paid out just €1.89m to Mavior, counsel said.
Following talks yesterday, Mr O'Callaghan said the matter was resolved.
The only orders required were that a lodgment in court previously made by Zrko could be paid out in part satisfaction of Mavior's claim.