New Zealand Case Law: Decisions & Judgments | LexChat

New Zealand Case Law

Enforceability of management and secretarial agreements
  • 21 Feb 2011

    LOW & ORS V BODY CORPORATE 384911 HC AK CIV 2010-404-5760

    Citation
    openlaw-1f070a43_1932_4314_a6f8_6e699141691b.pdf
    Court
    High Court

    Management agreement entered into pursuant to an unchallenged rule 2.3(k) that is materially equivalent to Schedule 2 r 11(b) is valid and enforceable, but specific provisions that grant exclusive letting service rights and unfettered assignment/subcontracting (and the rule permitting same) are ultra vires and must be deleted or severed; the secretarial services agreement was entered into under an amended r 2.3(l) that unlawfully removed proprietors' statutory power to remove a secretary at a general meeting (Schedule 2 r 30) and is therefore void ab initio; certain other rules (listed in the…

    • Ultra vires
    • Unit titles
    • Body corporate rules
    • Delegation of powers
    • Severance of contract terms
    • Enforceability of management and secretarial agreements