14 Aug 2014
AUTO SOUNDS AND ALARMS LIMITED (IN RECEIVERSHIP AND IN LIQUIDATION) V CRONE CA413/2013 [2014] NZCA 384
- Citation
- [2014] NZCA 384
- Court
- Court of Appeal
The Court dismissed the appeal because the trial judge did not err: the 'audit' representation was a general statement consistent with MVRA clause 9.2 and was not shown false; the appellants failed to prove non-compliance with MVRA margins due to unreliable methodology, wrong mark-up assumptions, unrepresentative and untested sampling, and corroborating evidence (assessor checks, due diligence and increased gross margins); and, independently, the appellants failed to prove causation because losses were caused by undercapitalisation, poor management decisions and the 2008 global financial cris…