New Zealand Case Law: Decisions & Judgments | LexChat

New Zealand Case Law

Assignment of loan
  • 15 Nov 2021

    PACIFIC CREST LIMITED v McDONALD [2021] NZHC 3072

    Citation
    [2021] NZHC 3072
    Court
    High Court

    Pacific Crest has presented a reasonably arguable case that it holds a caveatable interest in the Property either because the McDonalds signed the Loan Agreement and guarantee in their personal capacities (making the agreement to mortgage effective) or because, if acting as trustees, they had power under the Trust Deed to grant the security. The purported cancellation of the Loan Agreement and the challenge to assignment do not plainly defeat that arguable interest. Accordingly the Court sustains the caveat and declines to exercise its residual discretion to remove it.