New Zealand Case Law: Decisions & Judgments

Topic

Litigation funding agreements

Legal area

Court

15 Dec 2023

100 INVESTMENTS LTD v WALKER [2023] NZHC 3732

Citation

[2023] NZHC 3732
Court

High Court

MC File 1, the Liquidator Documents held by Walker and Scutter, and documents held by agents of those former liquidators are not within the control of the Whitley parties because control requires a presently enforceable right to possession and the Companies Act provisions relied upon do not confer an unqualified present right; accordingly LPF and SPF's applications for further discovery against the Whitley parties fail. Conversely, targeted discovery orders sought by Walker (and specified categories relating to communications and funding) are proportionate and granted. A litigation guardian i…
2 Oct 2020

CAIN v METTRICK (Costs Judgment) [2020] NZHC 2597

Citation

[2020] NZHC 2597
Court

High Court

On the production application neither party prevailed overall so costs lie where they fall; on the stay application the second defendant achieved the limited relief of a temporary stay but costs nevertheless lie where they fall because the stay centred on weak improper motive arguments that significantly increased costs and delay and because the plaintiffs had offered to negotiate amendments which was not taken up, justifying exercise of discretion under r14.7 to refuse/reduce costs.
16 Nov 2018

COMMERCIAL FACTORS LTD v MELTZER [2018] NZCA 505

Citation

[2018] NZCA 505
Court

Court of Appeal

The Court dismissed the appeal: clause 3.4 was to be given its ordinary meaning so was not triggered because proceedings had been filed; clause 3.2 did not extend to the Liquidators or their partner‑funders as "another party" (it contemplated an independent third‑party funder); the Liquidators therefore did not breach the Agreement and, in any event, did not act other than in good faith such that clause 6.1 would not protect them; the agency argument failing because it would improperly attribute principal's obligations to the agent and render clause 6.1 meaningless.
3 Nov 2011

GULF CORPORATION LIMITED (IN RECEIVERSHIP) V CFL (NZ) LIMITED HC AK CIV-2010-404-5466

Citation

openlaw-50d4a370_d262_42c1_b90c_ee23aa7d03cc.pdf
Court

High Court

Application for summary judgment declined because the legality of the litigation funding agreement is arguable but turns on contested facts and evolving law; failure to obtain prior court approval is a factor but not inevitably fatal and abuse of process is a mixed question of fact and law requiring trial context.
13 Dec 2010

G WATERHOUSE AND ANOR V CONTRACTORS BONDING LIMITED HC AK CIV 2010-404-3074

Citation

openlaw-31549851_57c5_4108_ad0c_3a76f4f09c43.pdf
Court

High Court

The Court ordered production of the litigation funding agreement to the Court for in‑camera inspection within 15 working days and stayed the proceedings until compliance; disclosure to the defendant was not required initially because the Court must first ensure the funder cannot usurp control and to protect confidential/privileged aspects; the application to remove the proceeding from the Commercial List was declined as the case remained suitable for Commercial List management.
12 Nov 2008

AMP CAPITAL INVESTMENTS NO. 4 LIMITED V IBS GROUP LIMITED (IN LIQUIDATION) HC AK CIV2007-404-5583

Citation

openlaw-41984b05_fcae_4db2_b5fc_7cb7543bce1d.pdf
Court

High Court

The application was declined because the funding agreement required the funder to agree to every action in the litigation and gave the funder shared or equal control over the conduct of proceedings, which improperly interferes with the liquidator's statutory powers to investigate and pursue company claims; the liquidators' ability to seek court directions was insufficient to cure that fetter and did not remove the conflict with the rule in Re Oasis and Re Nautilus.

New Zealand Case Law

100 INVESTMENTS LTD v WALKER [2023] NZHC 3732

CAIN v METTRICK (Costs Judgment) [2020] NZHC 2597

COMMERCIAL FACTORS LTD v MELTZER [2018] NZCA 505

GULF CORPORATION LIMITED (IN RECEIVERSHIP) V CFL (NZ) LIMITED HC AK CIV-2010-404-5466

G WATERHOUSE AND ANOR V CONTRACTORS BONDING LIMITED HC AK CIV 2010-404-3074

AMP CAPITAL INVESTMENTS NO. 4 LIMITED V IBS GROUP LIMITED (IN LIQUIDATION) HC AK CIV2007-404-5583