THE COMMISSIONER OF INLAND REVENUE V CENTURY CITY DEVELOPMENTS LIMITED HC WN CIV-2010-485-2089
Because the debts forming the foundation for the liquidation application were paid in full, the Court granted leave to the plaintiffs to withdraw the proceeding and awarded costs to the Commissioner of Inland Revenue against the defendant on a category 2B basis with disbursements fixed by the Registrar.
Source-derived case information.
- Citation
- openlaw-fe2bf025_b1e8_4e93_9ee5_80e9f7174b48.pdf
- Parties
- Plaintiff: Commissioner of Inland Revenue; Added Plaintiff: Accident Compensation Corporation; Defendant: Century City Developments Limited
- Court
- High Court
- Jurisdiction
- New Zealand
- Judgment Date
- 19 April 2011
- Procedural Posture
- Companies Act 1993 Liquidation Application / Seventh Call; Plaintiffs Seek Leave to Withdraw Proceedings After Debts Paid; Costs to Be Determined
- Outcome
- Leave granted to the plaintiffs to withdraw the liquidation proceeding; costs awarded to the Commissioner of Inland Revenue against the defendant on a category 2B basis with disbursements fixed by the Registrar; parties may file memoranda on costs and the Judge will decide the issue if no hearing is requested.
- Legal Topics
- Application for Liquidation, Withdrawal of Proceedings, Costs Assessment, Payment of Debts
Source-derived case record
Summary, issues, holding and outcome
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Parties
Commissioner of Inland Revenue
Plaintiff
Accident Compensation Corporation
Added Plaintiff
Century City Developments Limited
Defendant
Procedural Posture
Companies Act 1993 Liquidation Application / Seventh Call; Plaintiffs Seek Leave to Withdraw Proceedings After Debts Paid; Costs to Be Determined
Legal Issues
- 1 Whether the company should be placed into liquidation
- 2 Whether plaintiffs may withdraw the liquidation application after debts are paid
- 3 Whether the Commissioner is entitled to costs despite withdrawal of proceedings
Ratio Decidendi
Because the debts forming the foundation for the liquidation application were paid in full, the Court granted leave to the plaintiffs to withdraw the proceeding and awarded costs to the Commissioner of Inland Revenue against the defendant on a category 2B basis with disbursements fixed by the Registrar.
Court Disposition
Leave granted to the plaintiffs to withdraw the liquidation proceeding; costs awarded to the Commissioner of Inland Revenue against the defendant on a category 2B basis with disbursements fixed by the Registrar; parties may file memoranda on costs and the Judge will decide the issue if no hearing is requested.
Orders
- Leave granted to the plaintiffs to withdraw the proceeding against the defendant
- Costs awarded to the Commissioner of Inland Revenue against the defendant on a category 2B basis
Full Case Text
Judgment text and source record
1 paragraphs
THE COMMISSIONER OF INLAND REVENUE V CENTURY CITY DEVELOPMENTS LIMITED HC WN CIV-2010-485-2089 19 April 2011IN THE HIGH COURT OF NEW ZEALANDWELLINGTON REGISTRYCIV-2010-485-2089IN THE MATTER OF the Companies Act 1993BETWEEN THE COMMISSIONER OF INLANDREVENUEPlaintiffAND ACCIDENT COMPENSATIONCORPORATIONAdded PlaintiffAND CENTURY CITY DEVELOPMENTSLIMITEDDefendantHearing: 19 April 2011(Heard at Wellington)Counsel: Y. Meng - Solicitor for PlaintiffD.S. Lester - Solicitor for Added PlaintiffJ. Toebes - Solicitor for DefendantJudgment: 19 April 2011ORAL JUDGMENT OF ASSOCIATE JUDGE D.I. GENDALLSolicitors: Inland Revenue Department, PO Box 1462, WellingtonJ.T. Law, Solicitors, PO Box 25443, WellingtonMaude & Miller, Solicitors, PO Box 50555, Porirua City[1] Before the Court is an application by the plaintiffs to place the defendant company into liquidation.[2] This is the seventh call of this matter.[3] Mr Meng, counsel for the Commissioner of Inland Revenue confirmed today finally that the debt sought from the defendant had been paid in full and he sought leave to withdraw the proceeding.[4] Ms Lester, counsel for Accident Compensation Corporation confirmed also that the debt owing to the Corporation had been paid in full and she also sought leave to withdraw the proceeding. The debt owing to the Accident Compensation Corporation which was paid included costs so no costs were sought by ACC.[5] Mr Meng for the Commissioner, however, sought costs with respect to this proceeding and these were not opposed by the defendant.[6] Given that the total debts which formed the foundation for the present application have now been settled in full, the need for the current application accordingly falls away.[7] That said an order is now made granting leave to the plaintiffs to withdraw this proceeding against the defendant.[8] Costs, however, are awarded to the plaintiff, Commissioner of Inland Revenue only against the defendant on a category 2B basis together with disbursements as fixed by the Registrar.[9] Counsel may file memoranda sequentially on this issue of costs which are to be referred to me and in the absence of either party indicating they wish to be heard on the matter I will decide the question of costs based upon the material before the Court.'Associate Judge D.I. Gendall'