New Zealand Case Law: Decisions & Judgments | LexChat

New Zealand Case Law

Interim agreement

  • 3 Aug 2007

    BAY OF PLENTY ELECTRICITY LTD V VECTOR GAS LTD HC WN CIV-2004-485-2287

    Citation
    openlaw-01835d59_3547_49c0_99d4_267bd2e4edf5.pdf
    Court
    High Court

    Clause 9.1.6 was engaged by Mr Spellman's 6 February 2003 redetermination under Article 6 of the MGC; the consequential adjustment mechanism in NGC's contract (clause 4.8) reduced NGC's contractual entitlement to Maui gas and therefore reduced its ability to supply Maui gas within the meaning of clause 9.1.6. 'Ability' includes contractual entitlement and capacity not only physical deliverability at a particular snapshot in time. NGC was therefore entitled to exercise the termination right; Strawman implemented but did not create the reduction; the interim supply understanding meant BoPE woul…

  • 3 Aug 2007

    BAY OF PLENTY ELECTRICITY LTD V VECTOR GAS LTD HC WN CIV-2004-485-2287

    Citation
    openlaw-fe498b18_47bb_4510_9502_5f2c2f71e281.pdf
    Court
    High Court

    The independent expert’s February 2003 decision was a redetermination under the MGC; that redetermination, working through clause 4.8 of NGC’s contract with the Crown (and ultimately implemented via the Strawman settlement), reduced NGC’s contractual entitlement to Maui gas and therefore reduced its legal ability to supply Maui gas as contemplated by clause 9.1.6; clause 9.1.6 does not require proof of present physical inability at the date of notice or an obligation to forfeit contractual rights to mitigate; the interim supply agreement provided for gas energy at $6.50/GJ plus posted transmi…