Property developer Liam Carroll has been given a reprieve in the High Court against an attempt by Irish Nationwide Building Society to sue him personally for €60 million over loans made to his company Aifca Ltd.
Mr Justice Peter Kelly ruled that Mr Carroll had demonstrated that he had an arguable case against Irish Nationwide's application, and he sent the case forward for a full hearing next November.
In September 2006, Mr Carroll gave a personal guarantee to Irish Nationwide of liabilities of one of his companies, Aifca Ltd, up to €60 million.
One of the conditions of the guarantee was a life insurance policy, which was not provided.
Mr Carroll argues that that Irish Nationwide effectively waived the requirement for a life insurance policy, and that because all the other securities required were put in place, he is under no obligation to Irish Nationwide.
The building society argues it did not waive the requirement for a life insurance policy, so Mr Carroll's personal guarantee is valid.
Mr Justice Kelly said Mr Carroll had demonstrated a fair and reasonable probability of having a real and bona fide defence - which was not to say that his defence would succeed.
