New Zealand Case Law: Decisions & Judgments

Topic

Novation

Legal area

Court

11 Dec 2023

PROSEC GROUP LTD v RENTMAX LTD [2023] NZHC 3612

Citation

[2023] NZHC 3612
Court

High Court

The application to appoint a liquidator was dismissed because there is a genuine and substantial dispute whether Rentmax owes the claimed Debt to Prosec — novation was contested, the factual matrix did not demonstrate objective assent by Rentmax, material issues of fact and credibility required ordinary proceedings, and a large part of the claimed sum was for unliquidated damages not properly included in a statutory demand.
29 Sept 2023

LAUDER v WALMSLEY [2023] NZHC 2710

Citation

[2023] NZHC 2710
Court

High Court

The nominators (the Walmsleys) retained standing to sue despite nominating the Calliope Trust; however the Term Loan Agreement is a separate, independent contract from the agreement for sale and purchase and the alleged breach of the vendor warranty does not impeach the loan demand or give rise to equitable set-off; accordingly summary judgment was entered for the Tuscany Trustees for $450,000 plus contractual interest, and the court declined to exercise its residual discretion to refuse or stay judgment.
16 Aug 2023

PROBIS FINANCIAL SERVICES PTY LTD v MARS CAP LTD [2023] NZHC 2215

Citation

[2023] NZHC 2215
Court

High Court

The Court was satisfied Probis had a prima facie claim to approximately USD 38.4m, Mars Cap lacked independent control of funds (reliance on third‑party liquidity providers, one in liquidation and another suspended), the director failed to disclose information and there was a real risk of payments constituting voidable preferences; accordingly appointment of interim liquidators under s246 was necessary to preserve assets and protect creditors, and the proposed appointees were suitable.
27 Apr 2023

HERDBULDER EXPORT SERVICES LIMITED v ASUREQUALITY LIMITED [2023] NZHC 851

Citation

[2023] NZHC 851
Court

High Court

The Court set aside the statutory demand under s 290(4)(a) because, on the material before it, HerdBuilder had narrowly established an arguable substantial dispute as to the identity of the debtor: AsureQuality's conduct (invoicing, processing export documentation and other course of dealings) raised a real issue of implied novation/acceptance that required discovery and trial to resolve; the contractual dispute resolution clause was not engaged and did not independently justify setting aside the demand under s 290(4)(c).
28 Mar 2023

YANG v JIA [2023] NZHC 639

Citation

[2023] NZHC 639
Court

High Court

Summary judgment was dismissed because the plaintiffs did not discharge the onus of showing there was no real and credible defence: the defendant gave uncontradicted evidence consistent with the parties' commercial objectives and contemporaneous material, creating a bona fide dispute whether the $3,000,000 constituted vendor finance under clause 20 rather than a standalone repayable loan, and thus the matter was unsuitable for summary judgment.
29 Aug 2019

GOLDEN GRAND TRADING LIMITED v GREEN TRADERS LIMITED [2019] NZHC 2193

Citation

[2019] NZHC 2193
Court

High Court

The Court declined to order the plaintiff to pay Mayajaal's costs because the defendants did not show it would be manifestly unjust for them to meet those costs; the ordinary rule that the applicant pays remains appropriate absent egregious conduct, so defendants must pay the non-party's costs and the plaintiff's application for further discovery was ordered on specified terms.
6 May 2019

ZHANG v NORTHWEST DEVELOPMENTS LTD [2019] NZCA 137

Citation

(2019) 20NZCPR 638
Court

Court of Appeal

The Court held Northwest was entitled to enforce the Five Owners' Agreement as assignee upon settlement; the summary judgment application raised no arguable defence and was not an abuse of process because it sought distinct, time-sensitive relief that could be determined expeditiously; and orders requiring the appellants to consent or to take reasonable steps including pursuing s145A were within the scope of the agreement and appropriate remedies, so the appeal was dismissed.
4 Dec 2018

LEISURECOM (NZ) LIMITED v W M T CONSTRUCTION TARANAKI LIMITED [2018] NZHC 3172

Citation

[2018] NZHC 3172
Court

High Court

Because the application was undefended and the affidavit evidence established that Leisurecom had a genuine defence to the underlying claim, the Court set aside the statutory demand and awarded costs to the applicant on a 2B basis with a 50% uplift; a personal costs order against the director was refused because he was not a party and had not been heard.
13 Jul 2018

NORTHWEST DEVELOPMENTS LTD v ZHANG & ORS [2018] NZHC 1736

Citation

(2018) 19 NZCPR 726
Court

High Court

The plaintiff was entitled to enforce the 5 Owners Agreement against the defendants; the defendants remained contractually liable despite their sale to Sanli and had no defence to the claim; summary judgment was appropriate and specific performance was ordered requiring the defendants to give consent, procure third‑party consents and, if necessary, initiate s145A Land Transfer Act procedures to remove impediments.
3 Jul 2018

HEYWARD HOLDINGS LTD (In Liquidation) v BOOTH [2018] NZHC 1339

Citation

[2018] NZHC 1339
Court

High Court

Contemporaneous accounting records and documents established that the associated party loan was Mr Booth's liability; the purported 2015 journal entry recording an assignment had no legal effect because the burden of a debt cannot be assigned and no novation (by deed or supported by consideration) was proved; Mr Booth's contrary evidence was inconsistent and implausible. Accordingly there was no defence and summary judgment is appropriate.