Dispute over operating fees for private passenger aircraft

Aircraft management firm suing businessmen over €1.9m it claims it is owed

Aircraft management firm, Acass Ireland Ltd, of Airport House, Shannon Free Zone, Co Clare, is suing Amborella Ltd, Fitzwilliam Square, Dublin, whose beneficial owners are businessmen Tommy Kelly and Barry English, who both used the aircraft from time to time.

Two companies are in dispute over operating fees for a private passenger jet, the Commercial Court heard.

Aircraft management firm, Acass Ireland Ltd, of Airport House, Shannon Free Zone, Co Clare, is suing Amborella Ltd, Fitzwilliam Square, Dublin, whose beneficial owners are businessmen Tommy Kelly and Barry English, who both used the aircraft from time to time.

On Monday, Acass' proceedings against Amborella was admitted to the fast track Commercial Court on consent between the parties by Mr Justice Mark Sanfey.

Ailill O'Reilly SC, for Acass, also said the parties had agreed to go to mediation over the matter. He said it was a commercial dispute in relation to the aircraft management agreement between the parties. Acass claims it is owed €1.19m.

Counsel said there was also a putative counterclaim by Amborella for €2.2m.

Edward Farrelly SC, for the defendant, said his side put the maximum value of the Acass claim at some €709,000, but he was not objecting to the matter being admitted to the fast track commercial list as this claim and the counterclaim should be dealt with as soon as possible.

Mr Justice Sanfey said it was an appropriate matter for entry to the list and was told if mediation was not successful it can return to the court in March.

In its statement of claim, Acass says Amborella is the owner of the aircraft. The shareholdings in Amborella are ultimately held in two equal portions by companies of Mr Kelly and Mr English, it is claimed.

Mr Kelly's company is Sparrowford Ltd, which is in turn owned by Ticketridge Ltd, of which he owns 92.86% of the shares. Mr English's company is Penman Holdings Ltd, formerly known as Penman Construction Ltd.

In October 2022, Acass says it entered an agreement with Amborella on the management of the aircraft. It was agreed Acass would operate the aircraft on an exclusive basis with the intention that when it was not in use by Mr Kelly and Mr English it could be used to provide charters for third-party customers of Acass.

Following a review of the operation in December 2023, certain cost-cutting measures were agreed for 2024. That year, Acass says, the aircraft required various items of both scheduled and unscheduled maintenance.

In September 2024, the defendant queried various aspects of some €527,000 sought by Acass and made a part payment of €100,000, it is claimed.

The defendant, it says, exercised its notice of termination under the agreement and sought the transfer of the aircraft to a Hamburg-based company.

Acass says it cooperated with this request and then sought payment of sums it says were due and totalling some €933,000 last November. It claims the amount owed now is €1.19m and is seeking judgment in that amount from the court.