NORTHWEST DEVELOPMENTS LIMITED v ZHANG & ORS [2018] NZHC 3169

NORTHWEST DEVELOPMENTS LIMITED v ZHANG & ORS [2018] NZHC 3169

Rule 15.23 applies by analogy to withdrawn interlocutory applications; Northwest's ancillary application was reasonable and resulted in success when third-party consents rendered the orders unnecessary; the Jung interests' stance was unreasonable given Brewer J's finding they breached the 5 Owners Agreement and their failure to promptly give effect to the judgment; without prejudice letters were not Calderbank offers. Therefore the Jung interests must pay Northwest's costs on a 2B basis as specified.

Citation
[2018] NZHC 3169
Parties
Plaintiff: Northwest Developments Limited; Defendant: Cheng Zhang; Defendant: Jin Kuk Jung; Defendant: Pill Soon So
Court
High Court
Jurisdiction
New Zealand
Judgment Date
4 December 2018
Procedural Posture
Civil Interlocutory Applications and Costs Following Summary Judgment / Post Withdrawal Costs Hearing/order
Outcome
Judgment for Northwest Developments Limited on costs: Jung interests ordered to pay Northwest costs on a 2B basis and disbursements
Legal Topics
Summary Judgment, Withdrawal of Interlocutory Applications, Stay of Execution, Easements and Vesting, Land Transfer Caveat (s 145 A), Calderbank Offers, Reasonableness in Costs Assessment

Case Brief

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Parties

Northwest Developments Limited

Plaintiff

Cheng Zhang

Defendant

Jin Kuk Jung

Defendant

Pill Soon So

Defendant

Procedural Posture

Civil Interlocutory Applications and Costs Following Summary Judgment / Post Withdrawal Costs Hearing/order

  1. 1 Whether Rule 15.23 of the High Court Rules applies by analogy to withdrawn interlocutory applications and permits costs orders
  2. 2 Whether the defendants (Jung interests) should pay the plaintiff's costs after withdrawal of interlocutory applications
  3. 3 Whether the Jung interests' conduct and stance were reasonable such that costs on a higher scale or solicitor-client costs should be awarded

Ratio Decidendi

Rule 15.23 applies by analogy to withdrawn interlocutory applications; Northwest's ancillary application was reasonable and resulted in success when third-party consents rendered the orders unnecessary; the Jung interests' stance was unreasonable given Brewer J's finding they breached the 5 Owners Agreement and their failure to promptly give effect to the judgment; without prejudice letters were not Calderbank offers. Therefore the Jung interests must pay Northwest's costs on a 2B basis as specified.

Court Disposition

Judgment for Northwest Developments Limited on costs: Jung interests ordered to pay Northwest costs on a 2B basis and disbursements

Orders

  • The Jung interests are to pay Northwest's costs on a 2B basis for: (a) the Jung interests' application for a stay of Brewer J's judgment of 13 July 2018; (b) Northwest's application for ancillary orders; and (c) preparation for and costs of the hearing of this costs application
  • Costs as set out in the schedule of costs and disbursements attached to the plaintiff's memorandum dated 3 September 2018: $4,460 plus disbursements of $530.43 payable by the Jung interests