HODGKINSON AND BARNET [2023] NZHC 753

HODGKINSON AND BARNET [2023] NZHC 753

The court granted leave to commence without notice and authorised email (where available) and postal service (where no email) of statutory notices and permitted the first and subsequent creditors' meetings to be held by audio or audio-visual means because those measures were necessary to meet statutory timeframes for the first meeting, were proportionate given creditor contact constraints and overseas distribution, and aligned with the overall objectives of the voluntary administration regime and prior authority.

Citation
[2023] NZHC 753
Parties
Applicant (voluntary Administrator): Damien Mark Hodgkinson; Applicant (voluntary Administrator): Katherine Elizabeth Barnet; Company (debtor, in Voluntary Administration): New Ezibuy Limited; Company (debtor, in Voluntary Administration): Ezibuy Custodian Limited; Company (debtor, in Voluntary Administration): Ezibuy Holdings Limited; Company (debtor, in Voluntary Administration): Ezibuy Limited; Company (debtor, in Voluntary Administration): Ezibuy Operations Limited; Company (debtor, in Voluntary Administration): Last Stop Shop Limited; Company (debtor, in Voluntary Administration): Sara Apparel Limited
Court
High Court
Jurisdiction
New Zealand
Judgment Date
5 April 2023
Procedural Posture
Application Under the Companies Act 1993 for Procedural Orders in Voluntary Administration / Interim Orders Prior to First Creditors' Meeting (application on the Papers)
Outcome
Application granted; orders made under ss239ADO and 239ADR of the Companies Act 1993
Legal Topics
Voluntary Administration, Creditor Meetings, Service of Notices, Electronic Service and Virtual Meetings, Leave to Commence Without Notice
Insolvency Company Law Civil Procedure Voluntary Administration Creditor Meetings Service of Notices Electronic Service and Virtual Meetings Leave to Commence Without Notice

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Parties

Damien Mark Hodgkinson

Applicant (voluntary Administrator)

Katherine Elizabeth Barnet

Applicant (voluntary Administrator)

New Ezibuy Limited

Company (debtor, in Voluntary Administration)

Ezibuy Custodian Limited

Company (debtor, in Voluntary Administration)

Ezibuy Holdings Limited

Company (debtor, in Voluntary Administration)

Ezibuy Limited

Company (debtor, in Voluntary Administration)

Ezibuy Operations Limited

Company (debtor, in Voluntary Administration)

Last Stop Shop Limited

Company (debtor, in Voluntary Administration)

Sara Apparel Limited

Company (debtor, in Voluntary Administration)

Procedural Posture

Application Under the Companies Act 1993 for Procedural Orders in Voluntary Administration / Interim Orders Prior to First Creditors' Meeting (application on the Papers)

Legal Issues

  1. 1 Whether leave should be granted to commence proceedings without notice under s239ADO
  2. 2 Whether notices required under the Companies Act may be given by email where addresses exist and by post otherwise
  3. 3 Whether the first and subsequent creditors' meetings may be held by audio or audio-visual means

Ratio Decidendi

The court granted leave to commence without notice and authorised email (where available) and postal service (where no email) of statutory notices and permitted the first and subsequent creditors' meetings to be held by audio or audio-visual means because those measures were necessary to meet statutory timeframes for the first meeting, were proportionate given creditor contact constraints and overseas distribution, and aligned with the overall objectives of the voluntary administration regime and prior authority.

Court Disposition

Application granted; orders made under ss239ADO and 239ADR of the Companies Act 1993

Orders

  • Leave to commence these proceedings without notice is granted
  • Applicants may send notices to creditors required under Part 15A of the Act by email where an email address has been provided to any of the companies in the Ezibuy Group, and by post to the postal address provided where no email address exists