29 Jun 2016
ECOTECH HOMES (NEW ZEALAND) LTD v BAUMANN [2016] NZHC 1444
- Citation
- [2016] NZHC 1444
- Court
- High Court
The court held there was no substantial factual dispute: the irrevocable NZD letter of credit issued by BNZ complied with the clear contractual wording in favour of Ecotech; on the facts Ecotech was in breach by failing to deliver the house and the purchaser had received no benefit for the payment so there was a total failure of consideration such that the deposit became recoverable by restitution and constituted a 'debt due' for the purposes of s289; accordingly the statutory demand was valid and the application to set it aside was dismissed.