IN THE HIGH COURT OF NEW ZEALAND TAURANGA REGISTRY
I TE KŌTI MATUA O AOTEAROA TAURANGA MOANA ROHE
CIV-2017-470-000166
[2021] NZHC 888
BETWEEN CARTERS, a division of CARTER HOLT HARVEY LIMITED
Plaintiff
AND
DANNY JOHN CANCIAN
Defendant
Hearing: On the papers Judgment:
23 April 2021
JUDGMENT OF WYLIE J
[As to judgment debt and costs]
This judgment was delivered by Justice Wylie On 23 April 2021 at 3.00 pm
Pursuant to r 11.5 of the High Court Rules Registrar/Deputy Registrar
Date:…………………………
Solicitors/counsel:
Stace Hammond, Hamilton Keegan Alexander, Auckland
CARTERS v CANCIAN [2021] NZHC 888 [23 April 2021]
[1] On 29 October 2020,1 I awarded judgment in favour of Carters against Mr Cancian in the sum of $1,078,668.23, together with interest at the rate of 1.5 per cent per month, calculated daily on the amount owing from the due date of the invoice until the date of the judgment. Thereafter, and until payment was made in full, I directed that interest was to be determined in accordance with the Interest on Money Claims Act 2016. I also awarded costs in favour of Carters.
Judgment debt
[2] A memorandum has been filed by counsel for Carters. It advises that Carters does not seek interest on each invoice from the date of issue until the date of payment, simply to keep the calculation uncomplicated. Rather, it seeks interest from 31 October 2017 (being the date of the final outstanding invoice issued) to 29 October 2020 (the date of the judgment) – a period of 1,094 days. The daily interest figure is
$531.95. It follows that the total amount of interest, up to 29 October 2020, is
$581,953.30. The plaintiff also seeks interest from the date of judgment to 18 March 2021 (being the date of its memorandum) in accordance with the Interest on Money Claims Act. The interest claimed in this respect amounts to $5,681.22.
[3] The plaintiff’s calculations and the resulting sums are not disputed by Mr Cancian.
[4] Accordingly, I award judgment in the sum of $1,762,386.85, comprising the judgment debt, interest to the date of judgment at 1.5 per cent and interest thereafter in accordance with the Interest on Money Claims Act through to 18 March 2021.
Costs
[5] Carters initially sought costs in the sum of $94,650.10, being its actual costs (including GST) incurred for the period 24 November 2017 to 30 October 2020. It also sought costs in relation to a stay application made by Mr Cancian, on a 2B basis, in the sum of $1,434. Total costs were therefore sought of $96,084.10.
[6] Counsel for Mr Cancian noted that the claim for costs included GST paid by Carters. It was suggested that GST should not have been included in the calculation, by reference to New Zealand Venue and Event Management Ltd v Worldwide NZ LLC.2 It was submitted that the GST exclusive figure should have been $84,129.38.
[7] Carters now accepts that GST should not have been included in its costs calculation and that the figure proposed by Mr Cancian’s counsel is correct.
[8] Accordingly, I award costs in favour of the plaintiff and against Mr Cancian in the sum of $84,129.38.
Wylie J
2 New Zealand Venue and Event Management Ltd v Worldwide NZ LLC [2016] NZCA 282, [2016] 23 PRNZ 260, at [15]-[16].
- AGLC
- Carters v Cancian [2021] NZHC 888
- Case
- [2021] NZHC 888
- Decision Date
CaseChat Overview and Summary
The primary legal issues before the court were the calculation of the interest owed by Cancian to Carters from the date of the final outstanding invoice until the date of the judgment and the subsequent interest to be applied in accordance with the Interest on Money Claims Act 2016. Additionally, the court had to determine the correct amount of costs to be awarded to Carters, considering whether the costs should include the Goods and Services Tax (GST).
Justice Wylie, in his judgment, confirmed the interest calculation proposed by Carters, determining that interest should be calculated from 31 October 2017 to 29 October 2020, amounting to $581,953.30, and thereafter in accordance with the Interest on Money Claims Act, totaling $5,681.22. The court also addressed the costs issue, acknowledging that Carters should not have included GST in its costs calculation. The court accepted Cancian’s submission that the correct costs figure, excluding GST, was $84,129.38. Therefore, the judgment debt, including interest, amounted to $1,762,386.85, and the costs awarded to Carters were $84,129.38.
Orders
Orders of the court
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Background
Background to the litigation
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Evidence
Evidence Before The Court
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Decision
Reasons for decision
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Ratio Decidendi
Legal Principle Established
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