22 Feb 2017
EDEL METALS GROUP LIMITED v GEIER LIMITED [2017] NZHC 225
- Citation
- [2017] NZHC 225
- Court
- High Court
Given the prior judicial findings and severe criticism of the steps used to create and call the share capital, and because the director (Mr Sorenson) pursued the call and proceedings despite that knowledge and without shareholder approval, his conduct was improper and an abuse of the corporate form for the purposes of r 14.6(4)(a); consequently EMG's claim is struck out for failure to meet security for costs and EMG and Mr Sorenson are ordered to pay the defendants' actual costs and disbursements (indemnity measure) with interest and quantum to be addressed further.