Nelson City Council v The Yacht Pounamu

[2015] NZHC 1664

IN THE HIGH COURT OF NEW ZEALAND WELLINGTON REGISTRY

CIV 2014-442-24 [2015] NZHC 1664

BETWEEN

NELSON CITY COUNCIL

Plaintiff

AND

THE YACHT POUNAMU Defendant

Hearing:	On Papers
Counsel:	M J Logan for Plaintiff
Judgment:	16 July 2015

JUDGMENT (NO 2) OF BROWN J

[1]      In my Judgment of 17 April 20151  I made an order in the terms sought that the  yacht  Pounamu  be  appraised  and  sold  by  way  of  public  tender  or,  if  no satisfactory bids were received by way of tender, by private treaty.  I reserved leave to the plaintiff to apply for further directions should that be required.

[2]      In a memorandum dated 16 July 2015 counsel for the plaintiff advises that the Registrar has obtained quotations from two vessel brokers in Nelson, both of whom will charge $3,000 to conduct the tender process.  Because the vessel has now been valued as having a market value between $12,000 and $15,000, the tender cost would be a substantial portion of the potential sale value.

[3]      However one of the brokers has indicated that he has a private client who may be interested in purchasing the vessel.   A private treaty sale would have the advantage of avoiding the cost and delay associated with the tender process. Accordingly the plaintiff seeks a further direction to permit the Pounamu to be sold

either by way of private treaty or public tender.

1      Nelson City Council v The Yacht Pounamu [2015] NZHC 752.

NELSON CITY COUNCIL v THE YACHT POUNAMU [2015] NZHC 1664 [16 July 2015]

[4]      I  agree  that  the  circumstances  are  such  that  a  more  flexible  order  is appropriate allowing for sale by private treaty or public tender in the alternative. Consequently  the  order  at  [19]  of  my  earlier  Judgment  is  amended  to  read  as follows:

[19]     The Court makes an order that the defendant vessel, Pounamu, be appraised and sold either by way of private treaty or public tender.

[5]      Leave is reserved to the Council to apply for further directions should that be required.

Brown J

Solicitors:

Pitt & Moore, Solicitors, Nelson