Man claims entitlement to 10% of Shane Long’s transfer fee

A dispute arising out of Irish international soccer player Shane Long’s transfer from Reading FC to West Bromwich Albion has come before the High Court.

The action has been brought by Alan O’Mahony, who says he acquired the interest in Shane Long’s earlier transfer deal which saw the forward move from Cork City FC to Reading in 2005.

This, he says, entitles him to 10% of the reported £5.1m (€7.2m) move to West Brom in 2011.

Mr O’Mahony claims he did not receive the benefit of his interest in the contract because Carl Dillon, the liquidator of Cork City Investments FC Ltd, the then holding company of Cork City, allegedly sold the benefit of Shane Long’s contract to Reading prior to the player move to WBA.

The disputes involves a clause in the 2005 transfer that brought Mr Long from Cork to Reading for €40,000.

As part of the deal, a clause was agreed between the clubs that Cork City would receive 10% of any initial transfer fee should the player move on from Reading.

In 2008, Cork City went into examinership and Tom Coughlan acquired the club.

It is claimed as part of the financial arrangements entered that arose out of Mr Coughlan’s takeover, the benefit of Mr Long’s contract was subsequently assigned to Mr Coughlan and another party, Aoife Traynor.

Mr O’Mahony, of Woodstown Gardens, Knocklyon, Dublin, says in October 2010, Mr Coughlan and Ms Traynor assigned the benefit of the Shane Long contract to him for €50,000.

In February 2010, Cork City Investments FC Ltd was wound up and Mr Dillon, a chartered accountant, was appointed liquidator.

Mr O’Mahony claims in May 2010, Mr Dillon allegedly wrongfully sold the benefit of the contract to Reading for £47,000. This transaction discharged Reading from any further obligation under the contract and it is claimed, deprived the assignees at the time, Mr Coughlan and Ms Traynor, and subsequently Mr O’Mahony, of the benefits of the contract.

In his action against Mr Dillon, Mr O’Mahony seeks damages for alleged negligence, breach of duty and breach of contract. He also seeks declarations he is entitled to the benefit of the Long contract, and that the sale of the contract by Mr Dillon to Reading is void.

Mr Dillon, it is claimed, did not make proper enquiries into the ownership of the contract and was not entitled to dispose of the interest to Reading. The agreement between the liquidator and Reading was wrongfully entered into, it is also claimed.

The claims are denied.

Shane Long, who currently plays for Southampton, is not a party to the action.

A pre-trial motion in the action came before Mr Justice Paul Gilligan at the High Court yesterday.

The judge agreed to adjourn the matter to allow the sides exchange documents in the case.