GIBSON AND ANOR V FISHER AND ORS HC AK CIV-2006-404-103

GIBSON AND ANOR V FISHER AND ORS HC AK CIV-2006-404-103

Associate Judge Doogue ordered security for costs because Mr Gibson is resident outside New Zealand and likely unable to pay costs if unsuccessful, his claims have low prospects of success on the merits (including weak legal aid and negligence claims), and defendants are entitled to protection from potentially unrecoverable costs; therefore security of $35,000 for first, second and fourth defendants and $15,000 for the fifth defendant was required and proceedings were stayed until payment.

Citation
openlaw-af75e0c6_6340_4f4d_bff8_8be930571c3b.pdf
Parties
First Plaintiff: Neville James Gibson; Second Plaintiff: Patrick Joseph McCormick; First Defendant: Michael John Fisher; Second Defendant: Richard Digby Wallis; Third Defendant: Hussey & Company; Fourth Defendant: Hunt Edwards; Fifth Defendant: Legal Services Agency; Sixth Defendant: Clancy Fisher Oxner Bryant
Court
High Court
Jurisdiction
New Zealand
Judgment Date
21 July 2009
Procedural Posture
High Court Civil Proceeding Concerning Professional Negligence, Fiduciary Claims and Application for Security for Costs / Application for Security for Costs Decided (judgment)
Outcome
Order for security for costs granted and proceedings stayed until security lodged
Legal Topics
Security for Costs, Negligence by Legal Advisors, Misfeasance in Public Office, Legal Aid, Limitation, Causation, Credibility of Witness
Civil Procedure Professional Negligence Fiduciary Duty Administrative Law Legal Services Regulation Security for Costs Negligence by Legal Advisors Misfeasance in Public Office +4 more

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Parties

Neville James Gibson

First Plaintiff

Patrick Joseph McCormick

Second Plaintiff

Michael John Fisher

First Defendant

Richard Digby Wallis

Second Defendant

Hussey & Company

Third Defendant

Hunt Edwards

Fourth Defendant

Legal Services Agency

Fifth Defendant

Clancy Fisher Oxner Bryant

Sixth Defendant

Procedural Posture

High Court Civil Proceeding Concerning Professional Negligence, Fiduciary Claims and Application for Security for Costs / Application for Security for Costs Decided (judgment)

Legal Issues

  1. 1 Whether an order for security for costs should be made under r 5.45 High Court Rules
  2. 2 Whether plaintiff is resident outside New Zealand and impecunious
  3. 3 Whether the plaintiff's causes of action in negligence, breach of fiduciary duty and against the LSA have sufficient prospects of success

Ratio Decidendi

Associate Judge Doogue ordered security for costs because Mr Gibson is resident outside New Zealand and likely unable to pay costs if unsuccessful, his claims have low prospects of success on the merits (including weak legal aid and negligence claims), and defendants are entitled to protection from potentially unrecoverable costs; therefore security of $35,000 for first, second and fourth defendants and $15,000 for the fifth defendant was required and proceedings were stayed until payment.

Court Disposition

Order for security for costs granted and proceedings stayed until security lodged

Orders

  • Security for costs of NZD 35,000 to be paid as security for first defendant (Michael John Fisher) to be lodged in cash with the Registrar of the Auckland High Court
  • Security for costs of NZD 35,000 to be paid as security for second defendant (Richard Digby Wallis) to be lodged in cash with the Registrar of the Auckland High Court