At least 100 orders by banks for possession of homes could now be struck out following a landmark ruling that places a question mark over the repossession system since 2009.
A High Court ruling handed down by Ms Justice Elizabeth Dunne this week means that a lending institution cannot apply for an order for possession of a home in circumstances where a mortgage was created before 1st December 2009, but the demand for full payment was not made until after that date.
The High Court case centred on whether the repeal of aspects of the Registration of Title Act, 1964 by the Land and Conveyancing Law Reform Act, 2009 effectively meant that repossession applications from December 2009 were no longer covered by legislation.
Ms Justice Elizabeth Dunne said the repeal of section 62(7) of the Registration of Title Act, 1964 created a "lacuna" and it is not for the court to supply that which is not contained in the 2009 Act.
While the decision creates an uncertainty over the entire repossession system since December 2009, lenders may still seek repayment of the monies due on a mortgage by obtaining a judgment order against an individual and then converting this into a judgment mortgage.
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