By Caroline Browne, Partner
GE Capital Woodchester Home Loans Ltd v. John Reade and Dympna Reade  IEHC 363 (High Court, Laffoy J, 22 August 2012)
This case involved a claim by GE Capital Woodchester Home Loans for possession of a premises pursuant to Section 62 of the Registration of Title Act, 1964. Section 62 is concerned with the creation and effect of charges over registered land. The case was dismissed by the High Court on the grounds that the claimant had failed to establish that it had properly demanded repayment of the principal sum in accordance with the provisions of the mortgage.
The Defendants, John Reade and Dympna Reade, received a mortgage from GE Capital Woodchester Home Loans in 2006 for the sum of € 230,000. They fell behind in their mortgage repayments and received letters of demand from GE Capital Woodchester Home Loans. However, Judge Laffoy held that the letters of demand issued prior to the issuing of proceedings called in the arrears of the mortgage and did not demand repayment of the entire balance outstanding on the mortgage account. The claim for possession against both defendants was therefore dismissed.
This case highlights the importance of drafting demand letters correctly.