IN THE HIGH COURT OF NEW ZEALAND CHRISTCHURCH REGISTRY
CRI-2012-409-000500 [2012] NZHC 2572
BETWEEN INDEPENDENT FISHERIES LIMITED First Applicant
ANDR S PEEBLES Second Applicant
ANDCASTLE ROCK ESTATE LIMITED Third Applicant
ANDG F CASE, M M CASE AND MGM CASE Fourth Applicants
ANDPROGRESSIVE ENTERPRISES LIMITED
Fifth Applicant
ANDCLEARWATER LAND HOLDINGS LIMITED
Sixth Applicant
ANDTHE MINISTER FOR CANTERBURY EARTHQUAKE RECOVERY
First Respondent
ANDCANTERBURY REGIONAL COUNCIL, CHRISTCHURCH CITY COUNCIL, WAIMAKARIRI DISTRICT COUNCIL, SELWYN DISTRICT COUNCIL AND NEW ZEALAND TRANSPORT AGENCY Second Respondents
Hearing: Dealt with on the papers
Judgment: 4 October 2012
JUDGMENT OF CHISHOLM J AS TO COSTS
INDEPENDENT FISHERIES LIMITED V THE MINISTER FOR CANTERBURY EARTHQUAKE RECOVERY HC CHCH CRI-2012-409-000500 [4 October 2012]
[1] In the judgment delivered on 24 July 2012 I expressed a preliminary view that the applicants should receive costs against the first respondent on a 3C basis. Counsel were invited to submit memoranda if they wished to be heard. Memoranda have now been lodged on behalf of the applicants and first respondent.
[2] While the first respondent accepts that the proceedings should be categorised “3”, it submits that individual steps need to be considered separately and that not all of them warrant categorisation as “C”. It is submitted that the following should be on a “B” basis: commencement of the proceeding; preparation for the first management conference; filing a memorandum for the first case management conference; appearance at first case management conference; and preparation of list of issues, authority and common bundle. The first respondent contends that the costs award should be $59,829, plus disbursements.
[3] In response the applicants support an award of costs on a 3C basis for all items. They contend that in all the circumstances, particularly the truncated nature of the preliminary steps, the first respondent’s approach is unrealistic. They also emphasise that the proceeding involved several parties, each of whom had earlier been separately represented. On the applicant’s calculation the award should be
$102,018, plus disbursements of $14,831.68. Excluding disbursements the actual costs incurred by the applicants with trial counsel were $145,775. This does not take into account additional costs incurred by individual applicants in respect of their own solicitors/counsel.
[4] Leave is granted for the first respondent to file a memorandum in reply. Three points are raised in that memorandum: it is wrong in principle to rely on matters that cannot be claimed as separate steps; there is an element of double counting and the applicant’s reliance on the preparation of five further affidavits in relation to the preparation of an amended statement of claim; second and third counsel should be at half rates.
[5] When approaching the issue of costs the Court should not close its mind to the realities of the situation. Notwithstanding its complexity, the proceeding was truncated and the pre-trial orders made by Miller J involved considerable additional
work. I am satisfied that category 3 is appropriate for each step. However, I accept that item 35 should be 1.25 days, not the 2.5 days sought. Disbursements are approved.
Solicitors:
FMR Cooke QC, [email protected]Pru Steven, [email protected]
Russell McVeagh, [email protected] Anthony Hughes Johnson QC, Christchurch, [email protected] Crown Law, Wellington, [email protected]
Wynn Williams, Christchurch, [email protected] Wynn Williams, Christchurch, [email protected] Simpson, Grierson, Wellington, [email protected]
Chapman Tripp, Christchurch, [email protected]
Anderson Lloyd, Dunedin, [email protected] Anderson Lloyd, Christchurch, [email protected] Adderley Head, [email protected]
- AGLC
- Independent Fisheries Limited v Minister for Canterbury Earthquake Recovery [2012] NZHC 2572
- Case
- [2012] NZHC 2572
- Decision Date
CaseChat Overview and Summary
The court had to decide whether the costs incurred by the applicants should be awarded on a 3C basis, as initially suggested, or on a different basis as argued by the respondents. The applicants argued for a 3C basis for all items, while the respondents submitted that certain steps should be on a B basis and that the costs award should be lower than that claimed by the applicants. The court considered the arguments and submissions made by both parties and assessed the complexity and nature of the proceedings.
The court found that the proceeding was indeed in category 3, given its complexity and the additional work involved in the pre-trial orders made by Miller J. However, the court accepted that one of the items should be adjusted to 1.25 days instead of 2.5 days as sought by the applicants. The court also approved the disbursements claimed by the applicants. The court ultimately decided to award the applicants costs on a 3C basis for all items, as requested, and granted leave for the respondents to file a memorandum in reply to address certain points raised in the applicants' submissions.
The court's decision on costs followed its earlier judgment on the merits of the case, in which it found that the applicants were not entitled to damages for the destruction of their properties caused by the Canterbury earthquakes. The court held that the applicants' properties were not protected by the Resource Management Act 1991 and that the respondents' actions in relation to the earthquakes were not unlawful. The court's judgment on costs is an important aspect of the overall resolution of the dispute, as it determines the financial outcome for the parties involved.
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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