Priority Of Judgment Mortgages

The status of a judgment mortgage as against an executed charge that was registered later in time in the Property Registration Authority has been clarified by Keane J. in Larianov Foundation v Leo Prendergast and Sons (Engineering) Ltd (Unreported, High Court, 24 March 2017) [2017] IEHC 192.

This judgment answers the question raised by many secured lenders in relation to the priority of their security and provides helpful confirmation for secured creditors as to the priority of a charge over a judgment mortgage.

The case examined whether a charge executed though not registered is valid and whether it holds priority over a judgment mortgage that was registered against those folios prior to the first charge being registered.