1 Sept 2008
BAY OF PLENTY ELECTRICITY LTD V VECTOR GAS LTD CA CA444/07
- Citation
- openlaw-1c1fc8e6_1158_4c29_bc56_828d97f9c683.pdf
- Court
- Court of Appeal
The Court held GC 9.1.6 is triggered by a reduction in NGC's legal entitlement to Maui gas following a redetermination (not limited to a purely physical incapacity) and is not a force majeure or exemption clause; accordingly NGC validly terminated the BoPE agreement. The Court further held the interim supply letters plainly required BoPE, if unsuccessful, to pay on demand the difference between the BoPE agreement price (as escalated, i.e. bundled delivered price) and $6.50 per GJ (including transmission and metering), plus contractual interest, and set aside the High Court decision upholding…