THE Dublin Docklands Development Authority (DDDA) has withdrawn a preliminary application to compel developer Bernard McNamara's company Donatex Ltd to provide security for the costs of their action over the Irish Glass Bottle site.
An application for security of costs was listed for hearing today but Mr Justice Peter Kelly was told yesterday the DDDA was not proceeding with it. The sides will now continue with preparations for the full action to be heard later this year on a date yet to be fixed.
Last month, judgment for €62.5m and €98m was entered respectively against Mr McNamara and Donatex over the failure by Donatex to repay loans given to it by private investors for the €412m acquisition of the glass bottle site in Dublin's Ringsend.
The court was told neither Mr McNamara nor Donatex could pay the sums sought.
In their action against the DDDA, Mr McNamara and Donatex claim the DDDA was never entitled to enter in November 2006 into an agreement involving Mr McNamara and developer Derek Quinlan for development of the glass bottle site.
This was based on a 2008 High Court, which found that the DDDA acted outside its powers in how it fast-tracked permission for a docklands development at North Wall Quay