All parties to pay their costs in McKillen case

All the parties involved in developer Paddy McKillen’s action aimed at preventing the sale of his IBRC loans to the Barclay brothers will pay their own legal costs after a High Court ruling.

Because Mr McKillen succeeded in acquiring the loans himself with the backing of private investment firm Colony Capital, the case did not proceed to the High Court, but it is believed considerable legal costs were incurred.

Mr McKilen and the Barclay side had both agreed they would pay their costs in the matter but State-owned IBRC argued Mr McKillen should pay the costs of its involvement.

Cian Ferriter, counsel for IBRC, argued it had been “caught in the crossfire of two warring parties”.

Mr Justice Paul Gilligan said there was no reason to depart from the ordinary rule that no order is made in cases which have become moot, which means each side pays their own fees.