IN THE HIGH COURT OF NEW ZEALAND GREYMOUTH REGISTRY
CIV-2012-418-000005 [2013] NZHC 2304
UNDER the Property Law Act 2007 BETWEEN
GREY DISTRICT COUNCIL
Applicant
AND
DOUGLAS BANKS
First Respondent
CHRISTINE SANDRA BANKS
Second Respondent
| Hearing: | 3 September 2013 (On the papers) |
Appearances: | J Shackleton and D M Miller for the Applicant C S Banks in Person on behalf of Respondents |
Judgment: | 5 September 2013 |
JUDGMENT (2) OF FOGARTY J
Introduction
[1] It was the judgment of this Court on 19 June 2013 that the respondents, Mr and Mrs Banks, are parties to a valid lease and so are liable for the payment of their rent arrears. Costs were reserved.
[2] Mr and Mrs Banks have paid the outstanding arrears. The successful applicant now seeks costs according to scale 2 with a 10% uplift, together with disbursements; and certification for second counsel.
[3] The argument follows upon the usual rule, that the party who fails should pay costs to the party who succeeds.1
1 High Court Rules, r 14.2(a).
GREY DISTRICT COUNCIL v DOUGLAS BANKS [2013] NZHC 2304 [5 September 2013]
[4] The successful party seeks costs primarily on a 2B basis (as is normal), but on a 2C basis for preparation of discovery and the bundle of documents. A total of 20.9 days at $1,990 = $41,591.
[5] As to discovery, this is because the Court made orders directing the Council to provide discovery of certain documents at the request of Mrs Banks, making the exercise of discovery take far more time than is allowed for in Band B, and in fact exceeding the time allowed for in Band C.
[6] As to the bundle, it is submitted the time spent preparing bundles for the hearing was unnecessarily exacerbated by reason of voluminous affidavit evidence filed by Mr and Mrs Banks, many parts of which were ultimately ruled inadmissible, and time spent at Archives New Zealand to locate the map referred to in s 24 of the Reserves and Other Lands Disposal and Public Bodies Empowering Act 1911, which Mr and Mrs Banks relied upon at the hearing, ultimately unsuccessfully. Mr and Mrs Banks could have sourced the map themselves.
[7] Finally, the successful party also seeks a 10% overall uplift, pursuant to r 14.6, on the grounds that Mr and Mrs Banks contributed unnecessarily to the time and expense of the proceedings. In particular it relies on four matters: the application for further discovery on 17 May 2012; the issue as to whether or not a forensic report challenging the authenticity of a document dated September 1979 should be admitted and, if so, on what basis (subsequently abandoned); thirdly, that the Council’s submissions addressed grounds of opposition (which were subsequently abandoned), of mistake and estoppel; fourthly, wasted costs preparing submissions to the Court on the inadmissibility of large parts of their evidence, and also unnecessarily preparing for cross-examination.
[8] This brings total costs sought to $45,750.
[9] It seeks disbursements in the sum of $13,758.22 for travel to two…
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- Case
- [2013] NZHC 2304
- Decision Date
CaseChat Overview and Summary
The Court found that there was no deliberate misleading pre-trial conduct by either the Council or its representatives. It found that costs follow the event, and that there were no exceptional reasons to depart from this principle. The Court further found that there was justification for awarding category C costs for discovery and preparation of the bundles, as well as a 10% uplift for unnecessarily contributing to the expense of the proceedings. However, the Court reduced the total days for discovery and preparation of the bundles, resulting in a total recovery of 17.5 days at $1,990 per day, totalling $34,825. The disbursement costs were allowed at the claimed sum of $13,758.22. The Court reserved leave for the applicant to apply to lift the stay on the execution of the total judgment sum against the respondents.
In summary, the Court awarded costs to the Grey District Council against the Banks, with a total of $48,583.22. The Court reserved the decision on whether to stay the execution of the total judgment sum against the respondents pending the decision of the Court of Appeal. The Banks have the opportunity to disclose their financial position if the stay is lifted.
Orders
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Background
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Evidence
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Decision
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