THE DECISION by Mr Justice Eamon de Valera late last Friday night to agree to allow consideration of another petition for court protection for seven companies in Liam Carroll’s Zoe development group creates a unique situation.

Not only have the companies secured another opportunity to argue again for the protection of the High Court, a provisional liquidator remains in place over two of Mr Carroll’s companies and a receiver over another four firms.

Legal sources said the companies were in “unchartered territory” given that six of them had unsuccessfully sought protection from the High Court last month and the Supreme Court last week.

Both courts found that the companies had failed to provide evidence showing projections for the property market to support their survival plan.

The six companies which had sought protection in the original application were joined by a seventh, Royceton, in the fresh 11th-hour application last Friday.

Given that ACCBank appointed a receiver to four of the seven companies the previous Wednesday, they had three days – until 5pm on Friday last – to submit the new petition to the court’s central office.

Missing that deadline, the companies then sought the judge’s permission to accept the petition shortly before 9.30 that evening.

Counsel for the companies argued that they should be allowed to apply for protection again as they had “a considerably enhanced body of evidence” and if the petition was not accepted, they would be forever “shut out” and unable to appoint an examiner.

The evidence included valuation reports from estate agents CBRE and Hooke MacDonald showing projections on property sales and development over three years to back up the survival plan.

Previously the group had only showed aggregate values for their properties and what they would be worth after three years if existing sites were developed and there was an orderly sale of properties.

The companies said they also had a new and “more extensive” independent accountant’s report to back up their plan and letters from lenders showing how future development would be funded.

This was all evidence that should have been produced previously, the judge said, adding that he had “serious reservations” about the case being run again.

The companies said they could have produced the valuation reports in the previous petition and had failed to do so, but could not have secured the letters of support from the group’s lenders.

The judge granted the companies a last-minute reprieve putting the matter back until today.

Mr Justice John Hedigan will be asked to decide on whether the court should hear another petition for court protection.

ACC is expected to argue the same case it made on Friday – the companies had made their case for protection and failed, and that the matter had already been judged.

If the court agrees that the petition should be heard, the case will be put back to a later date.

In those circumstances, directions may be given on the position of the receiver and liquidator.

The full hearing on the appointment of the official liquidator to two of Mr Carroll’s companies will be heard on September 9th.

Having failed to secure protection from two courts already, the companies face an uphill battle to secure a period of examinership and enough breathing space to ensure their long-term survival.