26 Jul 2013
HOTCHIN v KA NO 4 TRUSTEE LTD & FMA [2013] NZHC 1881
- Citation
- (2013) 3 NZTR 23
- Court
- High Court
Payments by Hotchin were not loans to the trust but were made in expectation of an arrangement that failed (failure of basis/incontrovertible benefit); Hotchin is entitled to restitution, but his entitlement is unsecured and ranks after secured creditors and repayment to the trust of the land purchase price and trust's expenditures; the declared unsecured interest of Hotchin is $12,227,786.56 and any resale shortfall after satisfying secured creditors, the land value and KA4's completion costs is to be borne by Hotchin alone.