PRAGMA HOLDINGS LTD & ANOR V GREAT SOUTH 507 LTD & ANOR HC AK CIV 2005-404-1931

PRAGMA HOLDINGS LTD & ANOR V GREAT SOUTH 507 LTD & ANOR HC AK CIV 2005-404-1931

The application to strike out the second amended statement of claim was refused because each cause of action disclosed a potentially tenable claim and the resolution of key factual and causation issues (including whether the Kwikimart lease was breached, lawfully terminated and timing of any termination) was...

Source-derived case information.

Citation
openlaw-25e60212_0a7a_47c5_b226_f501ff45579d.pdf
Parties
First Plaintiff: PRAGMA HOLDINGS LIMITED; Second Plaintiff: PRAGMA INVESTMENTS LIMITED; First Defendant: GREAT SOUTH 507 LIMITED; Second Defendant: BRIAN ANDREW MEAD
Court
High Court
Jurisdiction
New Zealand
Judgment Date
30 August 2006
Procedural Posture
Civil Strike Out Application (contract/property/fair Trading) / Interlocutory Strike Out Hearing
Outcome
Application to strike out refused; joinder ordered; interlocutory directions given
Legal Topics
Strike Out, Constructive Trust, Privity of Contract (contracts (privity) Act 1982 S4), Misrepresentation, Damages and Remoteness, Joinder
Contract Property Trusts/equity Fair Trading Act Civil Procedure Strike Out Constructive Trust Privity of Contract (contracts (privity) Act 1982 S4) +3 more

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Parties

PRAGMA HOLDINGS LIMITED

First Plaintiff

PRAGMA INVESTMENTS LIMITED

Second Plaintiff

GREAT SOUTH 507 LIMITED

First Defendant

BRIAN ANDREW MEAD

Second Defendant

Procedural Posture

Civil Strike Out Application (contract/property/fair Trading) / Interlocutory Strike Out Hearing

Legal Issues

  1. 1 Whether the second amended statement of claim discloses a reasonable cause of action
  2. 2 Whether the first plaintiff can sue as constructive trustee for the second plaintiff
  3. 3 Whether s4 Contracts (Privity) Act 1982 permits enforcement by a non‑party in respect of an inducing misrepresentation

Ratio Decidendi

The application to strike out the second amended statement of claim was refused because each cause of action disclosed a potentially tenable claim and the resolution of key factual and causation issues (including whether the Kwikimart lease was breached, lawfully terminated and timing of any termination) was inappropriate on a summary strike out application; accordingly the pleadings must proceed to trial with clarified boundaries.

Court Disposition

Application to strike out refused; joinder ordered; interlocutory directions given

Orders

  • The application to strike out the plaintiffs' statement of defence is refused.
  • Pursuant to r 97, the first plaintiff, Pragma Holdings Limited, is joined as a plaintiff to this proceeding.