Businessman Jerry Beades has lost his claim that a bank was not entitled to repossess two commercial properties from him after he defaulted on a €1.15 million mortgage.
Mr Beades had claimed he was entitled to rely on a letter from IIB Homeloans which stated the mortgage for the properties would be of interest-only type for its entire 20-year term and which had lower repayments than an interest-and-capital type.
IIB said the actual mortgage agreement letter signed by Mr Beades was for an interest-only period for the first three years before it became a capital-and-interest loan.
The offer letter Mr Beades relied on was merely part of negotiations in advance of the loan being given and only the actual signed agreement applied, the bank said.
Mr Beades appealed a High Court order granting IIB possession of the two tenanted properties at Richmond Avenue, Fairview, and Little Mary Street, both Dublin, in which he sought to rely on the defence of mistake by the bank arising out of two different letters of loan offer.
He said the version of the letter he relied on did not include a special condition stating reversion to interest-and-capital repayments after three years and consequently he was not in default.
Yesterday, the Supreme Court dismissed his appeal.