KAREN BETTY MASON AND JEFFREY PHILIP MELTZER AS LIQUIDATORS OF GLOBAL PRINT STRATEGIES LMIITED (IN LIQUIDATION) V CONWAY LEWIS HC AK CIV 2003-404-936

KAREN BETTY MASON AND JEFFREY PHILIP MELTZER AS LIQUIDATORS OF GLOBAL PRINT STRATEGIES LMIITED (IN LIQUIDATION) V CONWAY LEWIS HC AK CIV 2003-404-936

The court granted the liquidators a final charging order over the defendants' Rocon shares (subject to Rocon constitution pre-emptive rights) and awarded scale 2B costs for the liability hearing ($30,918.50 plus $6,875.88 disbursements) and scale 2B costs for the quantum hearing ($32,640) but refused an uplifted costs award because the Court of Appeal's remittal cap and its second appeal decision precluded finding the Calderbank offer a genuine basis for increased costs and limited the extent to which defendants' conduct justified an uplift; any limited additional costs relating to late discovery were left for calculation by counsel or the Registrar.

Citation
openlaw-007b4e2c_4ed4_41d7_98e3_6584bb3f1216.pdf
Parties
Plaintiffs (liquidators): Karen Betty Mason and Jeffrey Philip Meltzer as liquidators of Global Print Strategies Limited (in liquidation); First Defendant: Conway Lewis; Second Defendant: Johanna Lewis
Court
High Court
Jurisdiction
New Zealand
Judgment Date
22 July 2011
Procedural Posture
Civil Company/insolvency (reckless Trading and Costs Enforcement) / Post Appeal Remittal: Costs Determination and Enforcement (charging Order)
Outcome
Final charging order granted over defendants' shares in Rocon Printing Company Limited; scale 2B costs awarded for liability and quantum hearings with limited qualifications; application for increased costs refused
Legal Topics
Reckless Trading, Charging Order, Calderbank Offer, Costs Assessment, Quantum of Compensation
Company Law Insolvency Civil Procedure Costs Reckless Trading Charging Order Calderbank Offer Costs Assessment +1 more

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Parties

Karen Betty Mason and Jeffrey Philip Meltzer as liquidators of Global Print Strategies Limited (in liquidation)

Plaintiffs (liquidators)

Conway Lewis

First Defendant

Johanna Lewis

Second Defendant

Procedural Posture

Civil Company/insolvency (reckless Trading and Costs Enforcement) / Post Appeal Remittal: Costs Determination and Enforcement (charging Order)

Legal Issues

  1. 1 Entitlement to a final charging order over Rocon shares held by defendants
  2. 2 Appropriate costs awards following Court of Appeal rulings (liability and quantum)
  3. 3 Whether increased costs are justified by a Calderbank offer and defendants' conduct

Ratio Decidendi

The court granted the liquidators a final charging order over the defendants' Rocon shares (subject to Rocon constitution pre-emptive rights) and awarded scale 2B costs for the liability hearing ($30,918.50 plus $6,875.88 disbursements) and scale 2B costs for the quantum hearing ($32,640) but refused an uplifted costs award because the Court of Appeal's remittal cap and its second appeal decision precluded finding the Calderbank offer a genuine basis for increased costs and limited the extent to which defendants' conduct justified an uplift; any limited additional costs relating to late discovery were left for calculation by counsel or the Registrar.

Court Disposition

Final charging order granted over defendants' shares in Rocon Printing Company Limited; scale 2B costs awarded for liability and quantum hearings with limited qualifications; application for increased costs refused

Orders

  • Final charging order granted over the shares of Conway and Johanna Lewis in Rocon Printing Company Limited, subject to recognition of Rocon constitution pre-emptive rights to the Lewises' daughters
  • Liquidators awarded scale 2B costs for the liability judgment: NZD 30,918.50