DAYLE TIMBER LIMITED v WITHERS [2016] NZHC 1977

DAYLE TIMBER LIMITED v WITHERS [2016] NZHC 1977

The Court accepted the Official Assignee's surplus calculation as accurate and reasonable, found a weekly surplus sufficient to support a contribution of $165 per week, and ordered the bankrupt to pay that sum with fortnightly payments of $330 to commence 26 August 2016, enforceable by deduction from salary under s106, to continue until discharge and recovery of costs and arrears.

Citation
[2016] NZHC 1977
Parties
Judgment Creditor: Dayle Timber Limited; Judgment Debtor: Stephen Withers
Court
High Court
Jurisdiction
New Zealand
Judgment Date
19 August 2016
Procedural Posture
Bankruptcy Contribution Application Under Insolvency Act 2006 / Oral Judgment Following Hearing
Outcome
Order made that the bankrupt pay $165 per week (fortnightly $330) to the Official Assignee as a contribution to his debts, with employer ordered to deduct and pay same; order to continue until discharge and recovery of costs and arrears; costs awarded to Official Assignee on a 2B basis with disbursements to be fixed.
Legal Topics
Contribution Order, Salary Deduction, Preferential Claim, Costs
Insolvency Bankruptcy Civil Procedure Contribution Order Salary Deduction Preferential Claim Costs

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Parties

Dayle Timber Limited

Judgment Creditor

Stephen Withers

Judgment Debtor

Procedural Posture

Bankruptcy Contribution Application Under Insolvency Act 2006 / Oral Judgment Following Hearing

Legal Issues

  1. 1 Whether the court should order the bankrupt to pay a contribution under s147(4) of the Insolvency Act 2006
  2. 2 Whether the court may require the employer to make deductions under s106 of the Insolvency Act 2006
  3. 3 Proper calculation of surplus income available for contribution

Ratio Decidendi

The Court accepted the Official Assignee's surplus calculation as accurate and reasonable, found a weekly surplus sufficient to support a contribution of $165 per week, and ordered the bankrupt to pay that sum with fortnightly payments of $330 to commence 26 August 2016, enforceable by deduction from salary under s106, to continue until discharge and recovery of costs and arrears.

Court Disposition

Order made that the bankrupt pay $165 per week (fortnightly $330) to the Official Assignee as a contribution to his debts, with employer ordered to deduct and pay same; order to continue until discharge and recovery of costs and arrears; costs awarded to Official Assignee on a 2B basis with disbursements to be fixed.

Orders

  • Bankrupt to pay $165 per week by way of contribution to debts
  • Payments to be made fortnightly of $330 with the first payment due 26 August 2016 and thereafter fortnightly