Jin v Konishi

Case [2014] NZHC 1150


IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

CIV 2014-404-000049 [2014] NZHC 1150

BETWEEN

RUJING JIN

First Appellant

YOON LEE Second Appellant

AND

YASUKI KONISHI and MAKIKO KONISHI

Respondents

Hearing: 30 April 2014

Appearances:

No appearance for the First Appellant
Second Appellant in person
D B Hickson for the Respondents

Judgment:

28 May 2014

JUDGMENT OF GILBERT J

This judgment is delivered by me on 28 May 2014 at 2pm pursuant to r 11.5 of the High Court Rules.

..................................................... Registrar / Deputy Registrar

JIN v KONISHI [2014] NZHC 1150 [28 May 2014]

Introduction

[1]      This is an appeal against an order made in the District Court declining to set aside an earlier order debarring the first appellant from defending the respondents’ claims and requiring her solicitor, the second appellant, to pay costs personally in relation to the application.

[2]      The  first  appellant  did  not  appear  at  the  hearing  and  her  appeal  must accordingly be dismissed for want of prosecution.

[3]      The second appellant argues that the District Court lacked jurisdiction to make an order for costs against him personally, as counsel.  He further argues that even if the District Court did have jurisdiction to make such an order, his conduct did not involve a breach of duty to the Court and the order should not have been made.

[4]      The respondents argue that the District Court does have jurisdiction to make costs orders against solicitors and that this was appropriate in this case.  In any event, they contend that the appeals are deemed to have been abandoned because of non- compliance with ‘unless’ orders.

Background

[5]      It is necessary to traverse briefly the background to set the context for the issues requiring determination on this appeal.

[6]      The  respondents,  Mr  and  Mrs  Konishi,  entered  into  an  agreement  in July 2010, to purchase a new house in Auckland from the first appellant, Ms Jin. The agreement was in the form approved by the Auckland District Law Society (Eighth Edition).  Mr and Mrs Konishi paid a deposit of $30,000 which is held by the real estate agent as stakeholder.  The balance of the purchase price was to be paid on settlement, following issue of a new title.

[7]      The agreement contained a term requiring Ms Jin to remedy any defects or other faults notified by Mr and Mrs Konishi during the maintenance period, being

90 days from settlement.

[8]      The  agreement  did  not  settle.    In  January  2011,  Mr  and  Mrs  Konishi purported to avoid the agreement on the basis that Ms Jin had not complied with her obligations under the maintenance clause.  They relied on cl 8.7(5) of the standard terms  and  conditions  of  the agreement  which  enables  either party to  cancel  an agreement which is subject to a condition that is not fulfilled or waived prior to due date.   This clause has no application in the present case because the maintenance covenant is not a condition covered by cl 8.

[9]      Mr  and  Mrs  Konishi  filed  a  notice  of…

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Jin v Konishi [2014] NZHC 1150
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[2014] NZHC 1150
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CaseChat Overview and Summary

In the case of Jin v Konishi, the High Court of New Zealand was called upon to address an appeal against an order made by the District Court that barred the first appellant, Ms Jin, from defending the respondents' claims and required her solicitor, the second appellant, Mr Lee, to pay costs personally. The first appellant did not appear at the hearing, resulting in the dismissal of her appeal. The second appellant argued that the District Court lacked jurisdiction to order him to pay costs personally and that even if it did, his conduct did not warrant such an order. The respondents contended that the District Court had jurisdiction to make costs orders against solicitors and that the order was appropriate. The Court found that the District Court did not have the jurisdiction to make a costs award against a solicitor personally, as this power is based on the High Court’s inherent jurisdiction to supervise the conduct of its officers, which the District Court does not possess. Consequently, the order requiring Mr Lee to pay costs personally was quashed. The appeal by the first appellant was dismissed for want of prosecution, while the appeal by the second appellant was allowed, and the costs order against him was set aside.

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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