IN THE HIGH COURT OF NEW ZEALAND WELLINGTON REGISTRY
CIV-2011-485-1308 [2013] NZHC 210
BETWEEN HEPBURN & ORS Plaintiffs
AND CUNNINGHAM CONTRACTS LIMITED
& ANOR Defendants
Hearing: 30 July-3 August 2012
Counsel: P H Bremer for Plaintiffs
G W D Manktelow for Defendants
Judgment: 15 February 2013
In accordance with r 11.5, I direct the Registrar to endorse this judgment with the delivery time of 11:00am on the 15th February 2013.
JUDGMENT OF WILLIAMS J
Solicitors:
Grimshaw & Co, Wellington
Manktelow, Guy & Toby, Lower Hutt
HEPBURN & ORS V CUNNINGHAM CONTRACTS LIMITED & ANOR HC WN CIV-2011-485-1308 [15
February 2013]
Table of Contents
Introduction [1] The facts [2] The property [2] Pre-purchase inspection [5] The inspection report [11] The invoice [24] Post-report discussions [29] Purchase completed [33] Repairs and maintenance [34] The 2010 re-inspection [35] Attempted sale and Realsure Limited inspection [39] The Ian Vaughan Realsure inspection – December 2006 [42] The Weathertight Homes Resolution Service assessment [51] Proceedings and leave to amend [54] The cases [59] The witnesses [67] Issues [69] Contract with whom? [71] Scope of obligation in contract and tort [74] Negotiated limitations [78] What was at stake? [84] Price [85] Visual inspection [87] The Standard [88] Conclusion on scope [99] Damage and physical causes [101] Breach [105] Causation [126] Voluntary assumption of risk [133] Contributory negligence and duty to mitigate [141] Fair Trading Act [152] Limitations [152] Misleading or deceptive? [156] Quantum [165] Loss in value or cost of repair? [165] Amounts claimed [171] Was remediation reasonable? [172] Next steps [187]
Introduction
[1] This is a case about the liability of a pre-purchase inspector for the costs of remediating a residential property. The plaintiffs purchased the property in reliance on his pre-purchase inspection report but the house was later found to have significant weathertightness issues.
The facts
The property
[2] On 17 February 2007, Mike and Sharon Hepburn together with Sharon’s sister Tracey MacKinnon, entered into a conditional agreement for the purchase of the property at 28 Imran Terrace, Khandallah. The price agreed upon at that stage was $665,000.
[3] The house on site was completed in May 2000 and a code compliance certificate was issued on 30 May of that year. It is a three-level building of
260 square metres gross floor area. The building is constructed on a reinforced concrete slab. It is benched in on its eastern elevation so that a part of the exterior wall on that side is foundation and retaining wall. The rest of the lower level and upper levels are constructed on a typical timber-framed suspended floor. The roof utilises hip and gable configuration and is clad with lightweight metal tiles.
[4] Lower level roof planes terminate against upper level walls. All eaves project
600 mm from wall planes. There is a balcony on the west elevation accessible from the upper level living area. The balcony is waterproofed with a fibre mesh reinforced applied membrane. No secondary flow path is fitted. The balcony barrier wall or balustrade has no…
Continue reading Hepburn v Cunningham Contracts Limited
Sign in free to access the full text
- AGLC
- Hepburn v Cunningham Contracts Limited [2013] NZHC 210
- Case
- [2013] NZHC 210
- Decision Date
CaseChat Overview and Summary
Orders
Orders of the court
Full text does not contain this section.
Background
Background to the litigation
Full text does not contain this section.
Evidence
Evidence Before The Court
Full text does not contain this section.
Decision
Reasons for decision
Full text does not contain this section.
Ratio Decidendi
Legal Principle Established
Full text does not contain this section.