Bank of Ireland is to take legal action against security firm Brinks Allied after the company ceased its cash-in-transit deliveries for the bank.
The bank confirmed that cash supplies at 89 of its ATMs have been disrupted because of the row.
A spokesperson for the bank said that last week Brinks Allied had written to it seeking to alter the terms of its contract to transport cash on behalf of the bank.
It is understood that the changes would have transferred liability for losses of cash in robberies from the security firm to the bank.
Negotiations between Brinks Allied and Bank of Ireland broke down, and the security firm has now ceased transporting cash in the Dublin area.
The dispute has disrupted cash supplies at 59 ATMs in Dublin, 20 in Cork and ten in Waterford.
It has also disrupted some services for Irish Life and Permanent, which relied on the same cash delivery service.
In some of its branches this afternoon, withdrawals were limited to €1,000, and some ATMs were only dispensing €10.
AIB has also confirmed that Brinks Allied has withdrawn from cash-in-transit business with it.
However, a spokesperson said that disruption was minimal, because it does relatively little business with Brinks Allied, and had contingency arrangements in place.
