Orewa Rotary Trust Board Incorporated

[2021] NZHC 2783

IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CIV-2021-404-001189

[2021] NZHC 2783

UNDER THE

Charitable Trusts Act 1957

IN THE MATTER OF

an originating application under Part 19 of the High Court Rules pursuant to Part III of the Charitable Trusts Act 1957 for approval of a scheme of variation and the disposition of the assets of the Orewa Rotary Trust

AND IN THE MATTER OF

THE OREWA ROTARY TRUST BOARD INCORPORATED

Applicant

Hearing:	On the papers
Judgment:	18 October 2021

JUDGMENT OF WYLIE J

[Costs]

This judgment was delivered by Justice Wylie On 18 October 2021 at 1.00 pm

Pursuant to r 11.5 of the High Court Rules Registrar/Deputy Registrar

Date:…………………………

Solicitors/counsel:

Vicki Ammundsen Trust Law Ltd, Auckland

RE THE OREWA ROTARY TRUST BOARD INCORPORATED [2021] NZHC 2783 [18 October 2021]

[1]                 I refer to my judgment dated 10 September 2021.1 I there declined to approve the applicant’s proposed scheme disposing of the assets of the Orewa Rotary Trust to the Rotary Club of Orewa Incorporated Charitable Trust and varying the mode of their administration under the Charitable Trusts Act 1957.

[2]                 The applicant was also seeking an order that its reasonable costs and disbursements in preparing the scheme should be met out of the funds held by the trustees of the Orewa Rotary Trust. I recorded in my judgment that, in my view, such an order was appropriate and I requested counsel to file a memorandum setting out the costs claimed so that I could consider whether or not the same were reasonable.

[3]I have now received that memorandum. The applicant seeks costs of

$16,065.50 (including GST), disbursements of $704 and the sum of $750 paid to the Attorney-General so that he could consider the scheme. It also seeks to be reimbursed for the costs involved in advertising the scheme which were met direct.

[4]                 I have considered the memorandum and the invoices which have been filed. I have also considered r 9.1 of the Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008 and the observations of this Court in Bradbury v Westpac Banking Corporation.2

[5]                 I am satisfied that the costs sought were properly incurred and that a reasonable observer would expect costs in the amount claimed to have been incurred. The time allowances claimed are not unreasonable. The work was of significance to the applicant and involved some complexity and familiarity with trust law. Considerable time was necessarily spent interacting with the Attorney-General. Specialised skill and knowledge were required and the charge out rates of the various advisors involved are not disproportionate.

1      Re Orewa Rotary Trust Board Inc [2021] NZHC 2377.

2      Bradbury v Westpac Banking Corporation (2009) 18 PRNZ 859 (HC) at [204] and [209].

[6]                 Accordingly, I certify the costs and expenses claimed and approve the draft order filed with counsel’s memorandum.

Wylie J