22 Apr 2016
DEREK NICHOLAS BLACKWELL AND CHARLES BASIL BLACKWELL AS EXECUTORS AND TRUSTEES OF THE ESTATE OF ROSS WINSTON BLACKWELL v EDMONDS JUDD [2016] NZSC 40 [22 April 2016]
- Citation
- [2016] NZSC 40
- Court
- Supreme Court
The Supreme Court held Edmonds Judd's failures (inadequate advice, failure to record advice, and failure to secure independent advice given the conflict) caused loss. Competent advice would, on balance, have produced contractual terms preventing exercise of the option during Ross' lifetime and a market‑adjusted exercise price after the initial three years at a discount (assessed at 20% midpoint), resulting in a notional 2010 exercise price of $2,500,000; actual exercise produced loss of $1,000,000. Accordingly appeal allowed and damages awarded with interest and costs.