Renowned entertainer Michael Flatley has resolved a significant financial dispute by repaying a €6.9 million loan, thereby concluding a legal contention involving his esteemed Castlehyde mansion in County Cork. This development marks the end of a receivership initiated due to alleged loan defaults, safeguarding Flatley’s ownership of the historic property.​

Background of the Loan Agreement

In 2023, Blackbird Film Productions Ltd, a company associated with Flatley, secured a €5.6 million loan from Novellus Finance Ltd. The loan terms stipulated monthly repayments of €67,000 over a two-year period. Flatley personally guaranteed the loan, using Castlehyde mansion as collateral. Novellus Finance Ltd claimed that Blackbird Film Productions Ltd defaulted on the loan repayments, leading to the appointment of a receiver over the property in December 2024. Flatley disputed these default allegations, asserting that the loan was on the verge of being redeemed.​

Legal Proceedings and Deadlines

The dispute escalated to the High Court, where both parties presented their positions. Flatley’s legal team informed the court of his intent to repay the loan promptly. Mr. Justice Mark Sanfey granted Flatley until 12:30 p.m. on Tuesday, March 11, 2025, to complete the repayment, emphasizing that failure to do so would result in adverse judicial actions.​

Repayment and Resolution

On Monday evening, March 10, 2025, at approximately 7:50 p.m., Flatley transferred the full repayment amount of €6.9 million to the account of the solicitors representing Novellus Finance Ltd. This timely payment led to the cessation of the receivership over Castlehyde mansion, reaffirming Flatley’s ownership of the property.​

Outstanding Legal Costs

While the principal loan amount has been settled, a contention remains regarding additional legal costs incurred during the dispute. These costs encompass fees associated with court appearances and extensive communications between the involved parties. Kelley Smith SC, representing Novellus Finance Ltd, highlighted that the repayment did not cover these supplementary expenses. The court has yet to determine the responsibility for these legal costs, with potential further proceedings anticipated to resolve this issue.​

Implications for Castlehyde Mansion

Castlehyde mansion, a property of historical significance, has been under Flatley’s ownership since 1999. The resolution of this financial dispute ensures the preservation of Flatley’s association with the mansion, allowing him to continue his restoration and maintenance endeavors. The settlement also prevents potential disruptions that could have arisen from a prolonged receivership or forced sale.​

Conclusion

Michael Flatley’s repayment of the €6.9 million loan concludes a notable legal dispute concerning his Castlehyde mansion. While the principal matter has been resolved, discussions regarding ancillary legal costs remain ongoing. This case underscores the complexities inherent in financial agreements involving personal guarantees and significant assets, highlighting the importance of meticulous financial management and clear contractual terms.

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