Ben Gilroy Takes Back The Junction Bar from Receiver

Ben Gilroy and the owner of The Junction Bar in Glounthaune, Co Cork, decided it was time to take back the bar from the receivers who had moved in. In this TV3 report the owner politely informed the manager (in other words, the receiver) that he has been dismissed. The owner of course has the right to do this as the receiver acts as agent for both the owner of the premises, and the bank in question. As the owner or The Junction Bar did not contract the receiver to act as agent for them, the owner has no obligation for the receiver to do so.

Aside from this fact, the receiver has an equitable duty of care to both the bank, and the owner of The Junction Bar, and as they have not performed on this duty of care, the owner has opted to dismiss them. The topic is covered in more details in the video concerning Mr. Gerry Burns. In a true equitable duty of care, the receiver would need to see the tri-party agreement used to create the loan in question. It is a fair assessment to suggest that a receiver who would ask for such things from the bank (which they may not have) would not be called in as a receiver on behalf of the bank in the future. Due to this implied incentive not to ask, receivers tend not to perform as well on their duty of care to the owner of the property, as they might do for the bank that called them in the first place, rather than renegotiating the loan to see that it gets paid without need for litigation.

As ever Ben has advised the owner of The Junction Bar to give the banks nothing until they document and prove the obligation. Given the banks tendency towards securitization, they may find that challenge difficult if not impossible. Due to this, the bank may regret not just renegotiating the loan, and getting their money back more slowly and certainly surely.

TV3 Interview Ben Gilroy

TNS Radio who discuss the interview with Ben GilroyToday’s interview is something of a cross between an audio and a video article. Vin at TNS Radio and Ben Gilroy talk their way through a recent interview with Ben on TV3. Vin plays and pauses the video as he and Ben discuss what is going on throughout.

The interview in question is in regards to the taking back of a bar outside of Cork from the receivers who had entered the bar, gave the owner a few hundred euro, and for all intents and purposes simply told her to “get out”. As per usual, no tri-party agreement was furnished to or by the receiver, and the court order under which the receivers were operating was not signed by a high court judge. The incident with Mr. Gerry Burns goes into these issues in more detail.

Vin and Ben Gilroy discuss the TV3 Interview:

Ben points out that between the two parties involved in the transaction (the bank and the customer), the only party who has broken any laws would be the banks. They broke serious liquidity laws which carry punishments of five years. How many bankers have you heard of being removed from their businesses or dwellings as a result of these crimes? Under the constitution, “The Dwelling Of Every Citizen Is Inviolable And Shall Not Be Forcibly Entered Save In Accordance With Law”. As the bankers are the only ones who have broken the law, they are the only ones for whom their dwelling may be entered.

Source: TNS Radio.