ANZ Bank New Zealand Limited v Jeon (fka Leem)

[2024] NZHC 403

IN THE HIGH COURT OF NEW ZEALAND DUNEDIN REGISTRY

I TE KŌTI MATUA O AOTEAROA ŌTEPOTI ROHE

CIV-2024-412-10

[2024] NZHC 403

UNDER

Section 357 of the Property Law Act 2007

BETWEEN

ANZ BANK NEW ZEALAND LIMITED

Applicant

AND

JOSEPH SOOJONG JEON (formerly known as SU JONG LEEM)

First Respondent

MANOAH LIMITED

Second Respondent

Hearing:	(On the papers)
Counsel:	T B Fitzgerald and M C Staines for Applicant
Judgment:	29 February 2024

JUDGMENT OF ASSOCIATE JUDGE LESTER

(Substituted service)

ANZ BANK NEW ZEALAND LIMITED v JEON [2024] NZHC 403 [29 February 2024]

[1]                 ANZ Bank New Zealand Limited (ANZ) wishes to serve notices under the Property Law Act 2007 (the Act) on Joseph Jeon (formerly known as Su Leem) (Mr Jeon) and his company, Manoah Limited.

[2]                 The Companies Office records show the registered office address for service and address for the director (Mr Jeon by another name), are all at the same Dunedin residential  property.    The  last  annual  return   for  the  company  was  filed  on     9 August 2021 by an Auckland accountant whose address is given in the annual return.

[3]Section 357 of the Act provides:

357     Orders dispensing with, or directing manner of, service

(1)In any case referred to in sections 353 to 355,—

(a)a court may, on an application for the purpose, make an order—

(i)dispensing with service; or

(ii)directing that a notice, cross-notice, or other document is to be given or served in a manner other than that provided for in any of those sections or in any instrument; and

(b)if the court makes an order under paragraph (a)(ii), the notice, cross-notice, or other document is adequately given or served if it is given or served in accordance with the order.

(2)This section overrides sections 353 to 355 and all other provisions of this Act, and applies despite anything to the contrary in—

(a)any other enactment; or

(b)any instrument or agreement.

[4]                 Section 357 of the Act applies to the ss 119 and 122 notices ANZ wishes to serve (s 352(c) of the Act).

[5]                 The  application  for  substituted  service  first  came  before  Associate  Judge Paulsen. At a telephone conference, the Judge requested further information as to whether Mr Jeon has left the country, Mr Jeon’s social media presence and the most recent communications with Mr Jeon.

[6]                 ANZ has not been able to ascertain whether Mr Jeon has left New Zealand, nor has it been able to pin down a social media presence such as Facebook or Instagram for Mr Jeon, there being over 40 Facebook profiles, or Instagram accounts, using the same name. Many of the profiles are private. It is not possible to ascertain which account might belong to the Mr Jeon.

[7]The last email correspondence with Mr Jeon was in August 2022.

[8]Accordingly, ANZ is left with limited means to achieve service.

[9]                 I am satisfied having regard to the evidence provided, that reasonable efforts have been made to serve the bankruptcy notice given the limited information available to ANZ to achieve personal service. The process server visited the address named in the Companies Office records and the property was vacant.

[10]              Mr Jeon is the registered proprietor of a property in Christchurch. That property was visited on 9 November 2023 and it appears it is tenanted. The Christchurch property remains registered in Mr Jeon’s name and so it is reasonable to assume that the occupants must have some connection with Mr Jeon or some means of getting in touch with their landlord.

[11]              I am satisfied that given the information provided both in the original application and response to Associate Judge Paulsen’s request for further information that personal service of the notices on the respondents cannot be achieved promptly or at all.

[12]              I am further satisfied that the following directions represent methods of service likely to bring the notices to the attention of the respondents.

[13]Accordingly, I order pursuant to s 357 of the Act:

(i)personal service of the notices specified in para 1 of the application for orders for substituted service dated 6 December 2023 (the application) is dispensed with;

(ii)service upon the respondents will be deemed to be effective upon the completion of the following steps:

(a)service by sending copies of the notices to the email address given at para 1(a)(i) of the application;

(b)fixing the notices to the outside door of the Christchurch property  mentioned  in  para  1(a)  of  the  application,  with   a covering letter recording the High Court has made orders for substituted service requesting the occupants of the property bring the notices to Mr Jeon’s attention or to any person they deal with in relation to the management of the property, together with a request that  they  forward  the  material  to  Mr Jeon;

(c)by way of sending text messages as set out at para 1(a)(iii) of the application; and

(d)by sending a copy of the notices and a copy of this order to the accountant who lodged the last annual return for the second respondent, with the request the accountant forward the notices to the respondents.

[14]              The documents will be treated as working three working days after the completion of the above steps.

[15]The costs of this application are reserved.

Associate Judge Lester