New Zealand Case Law: Decisions & Judgments

Topic

Interest on late payment

Legal area

Court

27 Nov 2018

McKenney v Accident Compensation Corporation (Weekly Compensation)

Citation

[2018] NZACC 187
Court

District Court

The Court held that s114(1) requires enquiry into when all information necessary to calculate payment was available; where the necessary information was available in 2002 and ACC's investigation was misdirected or inadequate such that the claimant was disadvantaged, the claimant should not be penalised and interest runs from the earlier date; applying those principles the Court fixed interest payable from 1 January 2002 and allowed the appeal.
15 Aug 2016

GELDER v INNATE IMMUNOTHERAPEUTICS LTD [2016] NZHC 1885

Citation

[2016] NZHC 1885
Court

High Court

The ROA was construed to include material 'termed HRG214' used for purposes described in the patents including diagnostic and research uses, so the material transferred to the employee was productually within the ROA; however the settlement transfer to Mr O'Loughlin was an arm's length settlement and no notional Net Revenue arises from it; royalties were payable on actual third‑party sales and judgment was entered for NZ$5,440.60 and UK£14.30; contractual interest at 15% simple (non‑compounded) applies from 30 days after the end of the relevant quarter until payment.
29 Jan 2016

Marsh v Accident Compensation Corporation

Citation

[2016] NZACC 19
Court

District Court

Dr Earthrowl's report, received by the Corporation on 17 December 2008, confirmed diagnosis, causation and that the covered major depressive disorder was unresolved and affected vocational independence; that report constituted 'all necessary information' under s114, so interest is payable from 17 December 2008. Earlier reports (Visser 2005, MacLeod 2007, Tait 2008) did not, for the reasons identified, provide all necessary information to trigger s114 liability.
13 Sept 2012

CHAPMAN AND OKKERSE AS TRUSTEES FOR THE JANETTE OKKERSE FAMILY TRUST V CAUGHLEY AND BURRELL AND KB 2012 LTD AS TRUSTEES FOR THE RB (NO.1) INVESTMENT TRUST HC WN CIV-2012-485-857

Citation

openlaw-d9341b15_5edb_4954_a073_6d97494ca45a.pdf
Court

High Court

Plaintiffs failed to establish a prima facie entitlement to the claimed principal and interest on the material before the Court because of significant evidentiary gaps and inconsistencies (notably entitlement to interest absent express post-term agreement, uncertain allocation of the $1,167,812.18 payment, absence of trust financial statements and unclear interest periods); accordingly summary judgment was refused and the matter requires further evidence and trial.
3 Aug 2010

Lamb v Accident Compensation Corporation

Citation

[2010] NZACC 120
Court

District Court

Interest on the shortfall is payable from one month after the respondent received the necessary earnings information (15 June 2002), the correct divisor for calculating the shortfall was 3.14, there is no entitlement to compound interest, and the appeal is dismissed.
17 Mar 2009

OMNI MARKETING GROUP, ASIA PTE LIMITED V TRANSACTOR TECHNOLOGIES LIMITED HC AK CIV 2007-404-430

Citation

openlaw-efe1e511_7fdf_4708_a9d8_7ba3977dd7f2.pdf
Court

High Court

The plaintiff's application for wasted costs is dismissed; on balance the correct and just outcome is that costs lie where they fall in respect of the applications and memoranda relating to the Tomlin order, including those filed in January and February 2009.
26 Feb 2009

OMNI MARKETING GROUP, ASIA PTE LIMITED V TRANSACTOR TECHNOLOGIES LIMITED HC AK CIV 2007-404-430

Citation

openlaw-7345abd4_1242_43a5_af86_ddd7e1178eff.pdf
Court

High Court

The defendant is not entitled to judgment for interest because the settlement terms were not part of the court order (Tomlin order) and s87 applies only to debts or damages the court has adjudicated in the proceedings; no judgment debt existed to attract interest and the Tomlin order stay precluded direct enforcement without further order.
12 Feb 2009

Hay v Accident Compensation Corporation

Citation

[2009] NZACC 17
Court

District Court

The Reviewer erred in finding no jurisdiction, but the appellant's claim for interest on unpaid interest fails because there is no statutory provision under the Accident Compensation legislative scheme permitting payment of interest on interest; ACC had paid arrears and interest in accordance with applicable law (including Howley v ACC).
30 May 2008

Smith v Accident Compensation Corporation

Citation

[2008] NZACC 114
Court

District Court

Interest under s114 IPRCA 2001 runs from one month after the date the Corporation received all information necessary to calculate and make the payment; where ACC had retained or received a medical certificate evidencing incapacity (Dr Patterson's 10 Nov 2004 certificate provided 23 Dec 2004), and due to ACC's failure to retain earlier files an evidential burden shifted to ACC which it could not discharge, interest was payable from 27 December 2004 (one month after 23 December 2004).
30 Apr 2008

Reichenbach v Accident Compensation Corporation

Citation

[2008] NZACC 96
Court

District Court

The Court held that under s41(3) of the 1992 Act the Corporation was required to rely on a filed income tax return (or IRD reassessment confirming the amount) to calculate pre‑incapacity earnings; the accountants' letter of June 1996 did not meet that statutory prescription and the Corporation did not have "all information necessary" until it received the IRD reassessment documentation in May 1998 (received 8 May 1998). Accordingly the appeal is dismissed.