SPIJKERMAN & ANOR V FEATHERSTONE PARK DEVELOPMENTS LIMITED AND ANOR HC HAM CIV 2008-019-1404
The court concluded the plaintiff's literal interpretation of clause 4.4 as giving an unconditional three year sunset was not correct because it creates disharmony and renders the modified s225(2)(b) RMA provision superfluous; there is a reasonably arguable alternative construction that cancellation after three...
Source-derived case information.
- Citation
- openlaw-97c96cb6_15a2_4d16_a821_6a94c20c642d.pdf
- Parties
- Plaintiff: Spijkerman and Spijkerman; First Defendant: Featherstone Park Developments Limited; Second Defendant: McCaw Lewis Chapman
- Court
- High Court
- Jurisdiction
- New Zealand
- Judgment Date
- 11 June 2009
- Procedural Posture
- Civil Sale and Purchase Contract Dispute / Application for Summary Judgment (interlocutory)
- Outcome
- Application for summary judgment dismissed
- Legal Topics
- Contract Interpretation, Sunset Clause, Deposit Held on Trust, Section 225 Resource Management Act 1991, Summary Judgment Test, Interpleader
Source-derived case record
Summary, issues, holding and outcome
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Parties
Spijkerman and Spijkerman
Plaintiff
Featherstone Park Developments Limited
First Defendant
McCaw Lewis Chapman
Second Defendant
Procedural Posture
Civil Sale and Purchase Contract Dispute / Application for Summary Judgment (interlocutory)
Legal Issues
- 1 Whether the purchaser is entitled to a refund of the deposit and net interest after purported cancellation three years after the contract date
- 2 Proper construction of clauses 4.3, 4.4 and 4.5 (including clause 4.5.2) and their interaction with s225(2)(b) RMA
- 3 Whether the matter is appropriate for summary judgment or requires trial to determine matrix facts and post-contract conduct
Ratio Decidendi
The court concluded the plaintiff's literal interpretation of clause 4.4 as giving an unconditional three year sunset was not correct because it creates disharmony and renders the modified s225(2)(b) RMA provision superfluous; there is a reasonably arguable alternative construction that cancellation after three years is contingent on the vendor's lack of reasonable progress or failure to deposit within reasonable time, and resolution requires consideration of matrix facts; accordingly summary judgment was inappropriate and the application was dismissed.
Court Disposition
Application for summary judgment dismissed
Orders
- Application for summary judgment dismissed.
- Statement of defence to be filed and served within ten working days of issue of judgment.
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