SOUTHERN RECON LIMITED v SIRYJ [2014] NZHC 1193

SOUTHERN RECON LIMITED v SIRYJ [2014] NZHC 1193

Creditor was entitled to bring the adjudication application given the debtor had not made agreed payments or provided financial information; the Court exercises discretion under s 41 and Part 14 to award costs, the proceeding is Category 2 warranting 2B scale, and the creditor is awarded costs and disbursements totalling $4,184, payable either via inclusion in the supervised estate under s 356(4)(a) or otherwise when the Summary Instalment Order supervision ends.

Citation
[2014] NZHC 1193
Parties
Judgment Creditor: Southern Recon Limited; Judgment Debtor: Stephan Jaroslaw Siryj
Court
High Court
Jurisdiction
New Zealand
Judgment Date
30 May 2014
Procedural Posture
Insolvency / Proposed Bankruptcy Under Insolvency Act 2006 / Costs Application Following Dismissal of Adjudication Order and After Summary Instalment Order Made
Outcome
Costs awarded to the judgment creditor
Legal Topics
Summary Instalment Order, Bankruptcy Notice, Costs Jurisdiction and Assessment, Adjournment and Supervision of Estate
Insolvency Law Bankruptcy Civil Procedure Costs Summary Instalment Order Bankruptcy Notice Costs Jurisdiction and Assessment Adjournment and Supervision of Estate

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Parties

Southern Recon Limited

Judgment Creditor

Stephan Jaroslaw Siryj

Judgment Debtor

Procedural Posture

Insolvency / Proposed Bankruptcy Under Insolvency Act 2006 / Costs Application Following Dismissal of Adjudication Order and After Summary Instalment Order Made

Legal Issues

  1. 1 Whether creditor is entitled to costs of an adjudication application dismissed because debtor obtained a Summary Instalment Order
  2. 2 Scope of the Court's discretion to award costs under s 41 Insolvency Act 2006 and Part 14 High Court Rules
  3. 3 Appropriate category and scale of costs (1A v 2B)

Ratio Decidendi

Creditor was entitled to bring the adjudication application given the debtor had not made agreed payments or provided financial information; the Court exercises discretion under s 41 and Part 14 to award costs, the proceeding is Category 2 warranting 2B scale, and the creditor is awarded costs and disbursements totalling $4,184, payable either via inclusion in the supervised estate under s 356(4)(a) or otherwise when the Summary Instalment Order supervision ends.

Court Disposition

Costs awarded to the judgment creditor

Orders

  • Judgment debtor to pay to the judgment creditor costs and disbursements of this proceeding in a total sum of NZD 4,184
  • If the judgment creditor elects not to have this judgment debt included in the administration of the judgment debtor's estate pursuant to s 356(4)(a) Insolvency Act 2006 or is otherwise unable to recover this judgment debt through the supervision of the judgment debtor's estate under the current Summary Instalment...