High Court Decision – Definition Of A Consumer

Introduction

On 15th December 2015, the Irish High Court (the "Court") handed down an important decision in the case of KBC Bank Ireland Plc v Osborne [2015] IEHC 795 in relation to the definition of a consumer in the context of the provision of a loan facility. This judgment provides useful clarity on the law in this area.

Background

The case related to an application by the KBC for summary judgment against the borrower for non-payment of loans that were granted by the bank in 2002 and 2004 to refinance existing debt and to allow for the development of a business park in Co. Wexford. In seeking to resist the application, the borrower argued that he was a consumer for the purposes of the Consumer Credit Act, 1995 (as amended) (the "Act") and that KBC had not complied with the relevant terms of the Act.