A High Court judge has urged mediation of an “extraordinarily bitter” dispute affecting the Dublin Cinema Group (DCG), operator of the Savoy and Screen cinemas in the city.

Mr Justice Peter Kelly made the remark yesterday when transferring to the Commercial Court two sets of proceedings relating to the group which, he noted, is effectively 50/50 owned by two families, the Wards and Andersons.

This was an extraordinarily bitter dispute and he believed that instead of battling it out in court, the sides should instead enter mediation, the judge said. While he could not compel them to do so, the festering of such a bitter commercial dispute in the courts was of no benefit to anyone.

Paul Ward, Mount Merrion Avenue, Dublin, has brought a derivative action – an action by a shareholder on behalf of a company – against Paul Anderson, Shrewsbury Road, Dublin, and Omniplex Holdings.

Mr Anderson and members of his family, including his son Mark, own Omniplex Holdings, with registered offices at Fitzwilliam Square. Mr Anderson is also chairman of the DCG board while Paul Ward is the company secretary.

Mr Ward, who secured the necessary leave to bring the derivative action from the High Court last month, alleges Mr Anderson was approached in 2009 with an opportunity to open a multiplex cinema in St Stephen’s Green Shopping Centre and had, through Omniplex Holdings, entered into an agreement to operate such a cinema.

In doing so, Mr Ward alleges Mr Anderson had breached his fiduciary duties to DCG, was acting contrary to the best interests of the group and had created a conflict of interest between his interests and those of the group.

It is alleged Mr Anderson had used confidential information of DCG to assess the business opportunity of the St Stephen’s Green cinema.

The operation of a multiplex cinema at the centre would damage the Savoy and Screen cinemas, Mr Ward claims.

In the second action, Paul Anderson has petitioned for an order winding up DCG.