Court rejects claim over £1m property deal debt
Published 22/05/2013 | 00:00
A man and woman who sold a disused seaside hotel for £4m have failed in a High Court challenge over the £1m balance they are still owed.
A judge ruled the sum due to William and Linda McClure can't take priority over the buyer's debts to the bank who funded the deal.
In February 2007, the McClures agreed to sell the former Montague Arms Hotel in Portstewart to CRF Developments Ltd.
Negotiations had been carried out with Colin Richard Fletcher who was later disqualified from acting as a company director, the court heard.
CRF Developments went into administration after the deal was agreed. By the time administrators were called in the firm had debts of around £12m, due, mostly, to the Ulster Bank.