JNJ Holdings Limited v Kent Sing Trading Company Limited

Case [2020] NZHC 1384


IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CIV-2015-404-000099

[2020] NZHC 1384

BETWEEN

JNJ HOLDINGS LIMITED

Plaintiff

AND

KENT SING TRADING COMPANY LIMITED

First Defendant

AND

QUOC THAI

Second Defendant

AND

LE QUAN WU

Third Defendant

Hearing: (On the papers)

Counsel:

P Dalkie for the Plaintiff

M Black for the Defendants

Judgment:

19 June 2020


[COSTS] JUDGMENT OF MOORE J


This judgment was delivered by me on 19 June 2020 at 11:00 am pursuant to Rule 11.5 of the High Court Rules.

Registrar / Deputy Registrar Date:

JNJ HOLDINGS LIMITED v KENT SING TRADING COMPANY LIMITED & ORS [2020] NZHC 1384 [19

June 2020]

[1]                 On 21 December 2017, I gave judgment in the sum of $215,048.42 plus interest for JNJ Holdings Limited (“JNJ”) against three defendants in a lease dispute.1

[2]                 JNJ as the successful party claimed indemnity costs pursuant to the lease against Kent Sing Trading Company Limited (“Kent Sing”), against Mr Thai and  Ms Wu as guarantors.2 Costs on a 2B basis and disbursements totalling $71,637.00 were also claimed against General Goods in respect of the counterclaim. I accepted JNJ’s contractual entitlement to indemnity costs and to costs on the counterclaim. In light of what I viewed as deficiencies in the costs claims, I awarded JNJ $61,146.18 in respect of its claim and $21,491.10 in respect of the counterclaim.

[3]                 The costs judgment was appealed. On 27 August 2019, a decision of the Court of Appeal was made in favour of JNJ.3 The Court of Appeal held that my costs order should be amended.4 It determined that:

(a)JNJ’s entitlement under the lease to indemnity costs are $105,868.50 plus full disbursements, in total $132,770.38.

(b)In respect of the counterclaim, General Goods and Kent Sing are jointly and severally liable to pay JNJ costs calculated on a scale 2B basis plus disbursements, subject to amendments set out in [139] of the appeal judgment.

[4]                 I have received submissions from JNJ setting out a schedule for costs per the above strictures.


1      JNJ Holdings Ltd v Kent Sing Trading Co Ltd [2017] NZHC 3274.

2      JNJ Holdings Ltd v Kent Sing Trading Co Ltd [2018] NZHC 2022.

3      Kent Sing Trading Company Ltd v JNJ Holdings Ltd [2019] NZCA 388.

4      At [131]-[139].

Result

[5]                 JNJ is entitled to the following costs in respect of proceeding CIV-2015-404- 000099 heard on 13 to 17 February, 10 April, 3 to 7 July and 21 December 2017:

(a)costs and disbursements of $132,770.38 claimable against Kent Sing Trading Company Limited, Quoc Thai, and Le Quan Wu; and

(b)costs and disbursements of $67,444.70 claimable against General Goods and Kent Sing Trading Company Limited in respect of their counterclaim.


Moore J

Solicitors:

Mr Dalkie, Auckland Mr Black, Auckland

Details
AGLC
JNJ Holdings Limited v Kent Sing Trading Company Limited [2020] NZHC 1384
Case
[2020] NZHC 1384
Decision Date

CaseChat Overview and Summary

In the High Court of New Zealand, Auckland Registry, the case of JNJ Holdings Limited v Kent Sing Trading Company Limited was heard. The dispute involved a lease agreement and arose from a previous judgment in favour of JNJ Holdings Limited, which was awarded $215,048.42 plus interest against the three defendants. The plaintiff, JNJ Holdings Limited, sought indemnity costs pursuant to the lease agreement, as well as costs on a 2B basis and disbursements relating to a counterclaim. The defendants appealed the costs judgment, leading to a decision in favour of JNJ by the Court of Appeal. The court was required to determine the appropriate indemnity costs and the costs on the counterclaim, as per the strictures set out by the Court of Appeal.

The court held that JNJ's entitlement under the lease to indemnity costs was $105,868.50 plus full disbursements, amounting to a total of $132,770.38. In respect of the counterclaim, General Goods and Kent Sing were jointly and severally liable to pay JNJ costs calculated on a scale 2B basis, plus disbursements. The court accepted the plaintiff's contractual entitlement to indemnity costs and to costs on the counterclaim, but adjusted the amounts awarded due to deficiencies in the costs claims. The court concluded that JNJ was entitled to the following costs: $132,770.38 claimable against Kent Sing Trading Company Limited, Quoc Thai, and Le Quan Wu, and $67,444.70 claimable against General Goods and Kent Sing Trading Company Limited in respect of their counterclaim.

In summary, the court confirmed JNJ's entitlement to indemnity costs and costs on the counterclaim, subject to the adjustments made by the Court of Appeal. The final orders of the court granted JNJ the specified amounts in costs and disbursements against the relevant defendants.

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.