THE COMPANY which developed the Grand Canal Theatre in Dublin has secured a judgment of €750,000 against businessman Harry Crosbie after the High Court was informed he had failed to comply with an agreement to resolve a legal dispute over the venue.
Earlier this year Ramford Ltd, a company controlled by developer Joseph O’Reilly, sued Mr Crosbie, who owns the lease of the theatre at Grand Canal Square, over an alleged €3 million debt arising from an agreement between them to develop the 2,000-seat theatre.
Last June the Commercial Court, the business division of the High Court, was told the matter had been settled. However at the Commercial Court yesterday, Mr Justice Peter Kelly was informed by lawyers for Ramford that Mr Crosbie was in breach of the terms of the settlement by failing to pay the firm €750,000 by August 31st.
The court heard the firm had not received any of the €750,000, and was now seeking judgment against Mr Crosbie for that amount.
Mr Justice Kelly said Mr Crosbie had “committed to” but had “not honoured” the agreement into which he entered. Nobody had forced Mr Crosbie to agree to pay the money by the end of August.
Mr Justice Kelly also dismissed an application on Mr Crosbie’s behalf to have the matter adjourned. His lawyers sought further time so that he could pay some of what was owed immediately, while the rest would be paid a later.
Mr Justice Kelly said he was not prepared to further adjourn. He said Mr Crosbie had already obtained additional time from the start of September.
In it’s action Ramford had claimed Mr Crosbie had to adhere to the express terms of the contract agreed in June 2007. Ramford claimed it was to design and construct the theatre and ensure various works were designed, carried out and completed.
Mr Crosbie, the company alleged, had undertaken to provide a contract sum of €10 million on the completion date and to discharge additional amounts paid by Ramford for the purchase and installation of fixtures, fittings and equipment (FFE).
If the direct and vouched costs of the FFE exceeded €6.5 million, Ramford claimed there was an agreement Mr Crosbie would pay the additional amount within 10 working days from receipt of the relevant invoices provided the FFE were installed in accordance with the agreement.
Ramford claimed it spent some €9.4 million on FFE by July 2009 when a dispute arose between as to liability for some €2.9 million of that. Ramford rejected claims there was any concluded variation of that contract. Ramford sought to have the matter dealt with by an independent professional, as provided for, but Mr Crosbie maintained the matters in dispute were not appropriate for determination by the independent professional.
