Couple seek €10.4m damages over collapse of land deal

AN ELDERLY farmer and his wife are claiming more than €10.4 million damages from a firm of solicitors arising from the collapse of a deal for the sale of lands in 2007.

Albert Purcell (82) and his wife Florence (78), Kilodiernan House, Puckane, Nenagh, Co Tipperary, have sued Raymond O’Meara, practising as O’Meara Company, Nenagh, over alleged negligence, breach of contract and breach of duty. In addition to financial losses due to the alleged negligence, Mr Purcell said he and his wife continue to suffer significant stress. Their financial difficulties were exacerbating this, he added.

Declan McGrath, for the defendant firm, objected yesterday to the proceedings being transferred to the Commercial Court on grounds that the delay in bringing them did not justify the plaintiffs being allowed to avail of the fast-track procedure.

Denis McDonald, for the couple, said they had advanced a detailed explanation for the delay and he urged the court to take into account their age and the fact they were reluctant litigants, having been sued themselves arising from the same land deal. Mr Justice Peter Kelly said he would exercise his discretion in favour of transfer.

The couple allege negligence by the defendant in relation to a contract for the sale by the Purcells of lands at Tyone, Nenagh, for €11.7 million to Nenagh Construction Company Ltd. It is claimed the lands are now valued at some €975,000, while a property on the lands is valued at €250,000.

It is claimed the defendant firm acted for both sides to the transaction. Mr Purcell alleges negligence, including alleged failure by Raymond O’Meara to advise Mr Purcell of the effects of certain actions, particularly the alleged return of a deposit cheque to another solicitor in the firm. It is alleged this ultimately led to the transaction being rescinded.

Nenagh Construction had brought proceedings against the Purcells seeking a declaration that the contract for sale had been discharged by agreement of the sides. Those proceedings were settled in April 2009 on terms which, the couple allege, were “extremely unfavourable” to them.

The couple are claiming €10.4 million damages over the collapse of that sale, and their €252,936 costs of the Commercial Court action initiated against them by Nenagh Construction.

In an affidavit, Mr Purcell said he had agreed to purchase for €2.9 million lands at Belleen, Nenagh, in anticipation of the completion of the Tyone sale, the collapse of which left the Purcells with substantial interest charges.