North Carolina man's 30-year castle project nearly lost in romance scam legal battle

By Vawn Himmelsbach Published: July 25, 2026 at 3:15 AM PDT | 5 min read

For Robert Mihaly, his home really is his castle. The self-taught sculptor has spent the past three decades hand-building a whimsical castle on a mountaintop in North Carolina.

But after a whirlwind romance, he became entangled in a two-year legal feud over Castle Mont Rouge — and the outcome has been costly for both parties, local station CBS 17 reports.

A Business Venture Turned Sour

Mihaly met Julie Seel on Match.com in 2023. They dated for only a few months before jumping into a joint business venture to turn the castle into an event venue. Soon afterward, they moved in together, according to The News & Observer.

Mihaly alleges that Seel targeted him in a romance scam to gain control of his property. Seel, in turn, alleges that Mihaly targeted her for her wealth to help fund the castle's construction.

Seel sought a court-ordered lien against the property to recover the money she had invested in the venture. If the lien had been granted, Mihaly may have been forced to sell Castle Mont Rouge.

However, after two days of testimony — and before the case reached the jury — Durham County Superior Court Judge Josephine Kerr Davis dismissed both parties' claims.

Still, after a two-year scorched-earth legal battle, both Mihaly and Seel have suffered serious financial and reputational damage.

How It Unfolded

According to The News & Observer, the day after their first meeting at a pub, Mihaly took Seel to the castle. She then offered to lend him money — with a handshake and a promise of reasonable interest — to finish the decades-long project and turn it into an event venue.

The speed of the relationship and the informality of their business arrangement should have raised immediate red flags for both parties.

They signed what they called a "basic castle understanding," under which Mihaly would transfer the property to a jointly owned company and hold 51% ownership. Seel lent the company $250,000, with the property serving as collateral.

Then the romance ended, and a court battle began.

Mihaly claims he was the victim of a "romance scam enterprise," in which Seel quickly forms a relationship and persuades her target to invest in a business venture. Court filings show that Seel has been involved in litigation seeking assets from three other men over the past five years.

Seel accused Mihaly of fraud, negligent misrepresentation, and unfair and deceptive trade practices after she spent more than $233,000 on tools, materials, and labor. Despite their "basic castle understanding," Mihaly never gave her an ownership stake.

Lessons for Going Into Business with Friends or Family

We may never know whether Mihaly was targeted in a romance scam or whether Seel was targeted for her money. But the battle over Castle Mont Rouge offers important takeaways for anyone starting a joint business venture with a friend, family member, or romantic partner — particularly someone met on a dating app.

• Formalize agreements early. Handshake deals and informal "understandings" are not enough for high-stakes financial investments.
• Move slowly. Rushing into a business arrangement with a new partner can obscure risks.
• Document everything. Clear, written contracts protect all parties if the relationship sours.