Court to rule next week on application to prevent EBS terminating agency agreement
A High Court judge hopes to rule next week on a financial services company's application for an injunction preventing EBS terminating an agency agreement to operate branches of the building society.
The injunction has been sought by Betty Martin Financial Services Ltd, which claims its agency agreement to operate EBS branches in Athlone Longford and Lucan was terminated over a refusal to engage in the alleged mis-selling of financial products.
It has brought proceedings over EBS's decision to terminate their agreement, which the Court heard will result in another financial services entity taking over the operation of the EBS branches later this month.
BMFS seeks an injunction preventing EBS DAC from terminating the agency agreement, known as a Tied agreement, between the parties that the plaintiff to operate the three branches.
BMFS wants the injunction to be put in place until the full hearing of the dispute has been determined.
At the conclusion of a three-day hearing, Mr Justice John Jordan said he was conscious that the proposed date of the termination of the agreement is fast approaching.
While there were many issues in the case to consider the Judge said he would give his decision some day next week.
BMFS, represented by Declan McGrath SC and Keith Farry Bl, claims the purported termination is invalid, was done for no good reason, and will result in the collapse of the firm's business.
BMFS claims that it was pressurised into mis-selling financial products to EBS customers.
However, it refused to undertake commercial activities that were unprofessional, unethical and against Central Bank Rules and guidelines, which it says resulted in EBS's decision to terminate the agency agreement.
EBS, represented in court by Ciaran Lewis SC and Mark Dunne Bl, denies all of BMFS's claims, says it entitled to terminate the agreement, and opposes BMFS's application for an injunction.
It claims the complaints of alleged mis-selling was only made by BMFS after EBS decided in 2017 to terminate the agreement with the firm.
EBS claims that claims of mis-selling were investigated and no evidence was found to support the claims.
EBS also claims that BMFS's case is flawed due to the delay in bringing the proceedings.
