| IN THE COURT OF APPEAL OF NEW ZEALAND I TE KŌTI PĪRA O AOTEAROA |
| CA598/2017 [2018] NZCA 209 |
| BETWEEN | HUIFEN HUANG |
| AND | RUI JIANG |
| Hearing: | 15 May 2018 |
Court: | Miller, Ellis and Woolford JJ |
Counsel: | A R Gilchrist and C M Fry for Appellant |
Judgment: | 21 June 2018 at 2.30 pm |
JUDGMENT OF THE COURT
AThe appeal is dismissed.
BThe appellant must pay the respondent costs for a standard appeal on a band A basis and usual disbursements.
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REASONS OF THE COURT
(Given by Woolford J)
Huifen Huang and Rui Jiang are property investors. They have been involved in at least two joint ventures. The arrangements between them were often oral or not well recorded. In 2006, they bought the property at 74 Swayne Road, Cambridge (the property) together. Although each contributed more or less equally to the purchase price, the property was registered in Ms Huang’s sole name.
In 2015, following a breakdown of trust and communication between them, Mr Jiang issued proceedings in the High Court against Ms Huang seeking various orders recognising his interest in the property. Ms Huang counterclaimed seeking the repayment of two loans, one of $200,000 and a second of ¥3.1 million.[1]
[1]Throughout this judgment we use $ for NZD and ¥ for RMB.
In a judgment dated 26 September 2017, Fitzgerald J declared that Ms Huang held a share of the value of the property on trust for Mr Jiang.[2] She found that Mr Jiang had repaid $100,000 of the $200,000 loan, but that Ms Huang was out of time to recover the remainder of the $200,000 loan.[3] She also found that Ms Huang had not proven that she had advanced a second loan of ¥3.1 million to Mr Jiang.[4]
Ms Huang now appeals. Essentially, she considers the Judge got it wrong. She says she owns the property outright, that Mr Jiang still owes her half the $200,000 loan and the entire second loan of ¥3.1 million.
Factual background
The parties first met in around 2006. They agreed to undertake a property venture together. Mr Jiang looked for an investment property. He found the property at 74 Swayne Road, Cambridge. With Ms Huang’s agreement, Mr Jiang entered into a sale and purchase agreement for $2.5 million.
Prior to settlement of the purchase of the property, the parties orally agreed that each of them would have a 50 per cent interest in the property on the basis they would share income and expenses equally. The purchase of the property was funded by a contribution from Mr Jiang of approximately $419,000 and a contribution from Ms Huang of $410,000. The balance of the purchase price was funded by a loan on an interest only basis from the ASB Bank to Ms Huang.
On settlement, the property was registered in Ms Huang’s name only. It is accepted that Ms Huang held a…
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- Huang v Jiang [2018] NZCA 209
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- [2018] NZCA 209
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