Behan & Anor -v- Behans Land Restoration Ltd & Anor [2012] IEHC 607 (06 June 2012)

Behan & Anor -v- Behans Land Restoration Ltd & Anor [2012] IEHC 607 (06 June 2012)

There was no common mistake as to an existing fact at the time of the lease; disappointment due to subsequent economic downturn does not provide a legal basis to set aside the contract. The defendants failed to disclose even an arguable defence to the claim for arrears up to 17 December 2010.

Citation
[2012] IEHC 607
Parties
Plaintiff: Noeleen Behan; Plaintiff: Michael Henretty; Defendant: Behans Land Restoration Limited; Defendant: John Behan
Jurisdiction
Ireland
Judgment Date
06 June 2012
Procedural Posture
Summary Judgment Application / Judgment on Application for Summary Judgment
Outcome
Summary judgment granted in part
Legal Topics
Summary Judgment, Guarantee of Rent, Common Mistake, Rent Arrears, Lease Agreements
Contract Law Landlord and Tenant Law Summary Judgment Guarantee of Rent Common Mistake Rent Arrears Lease Agreements

Case Brief

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Parties

Noeleen Behan

Plaintiff

Michael Henretty

Plaintiff

Behans Land Restoration Limited

Defendant

John Behan

Defendant

Procedural Posture

Summary Judgment Application / Judgment on Application for Summary Judgment

Legal Issues

  1. 1 Whether the defendants have a credible defence to a claim for arrears of rent under a lease and guarantee
  2. 2 Whether a common mistake as to future economic circumstances can void or set aside the lease agreement
  3. 3 Whether a valid demand was made on the guarantor for the full amount claimed

Ratio Decidendi

There was no common mistake as to an existing fact at the time of the lease; disappointment due to subsequent economic downturn does not provide a legal basis to set aside the contract. The defendants failed to disclose even an arguable defence to the claim for arrears up to 17 December 2010.

Court Disposition

Summary judgment granted in part

Orders

  • Summary judgment for the plaintiffs for €604,556.50 in arrears of rent up to 17 December 2010
  • Balance of claim (post-17 December 2010) to go to plenary hearing