The Canyon Vineyard Limited v Central Otago District Council

Case [2022] NZHC 2572


IN THE HIGH COURT OF NEW ZEALAND DUNEDIN REGISTRY

I TE KŌTI MATUA O AOTEAROA ŌTEPOTI ROHE

CIV-2021-425-89

[2022] NZHC 2572

UNDER the Resource Management Act 1991

IN THE MATTER

of an appeal under section 299 of the Resource Management Act 1991

BETWEEN

THE CANYON VINEYARD LIMITED

Appellant

AND

CENTRAL OTAGO DISTRICT COUNCIL

First Respondent

BENDIGO STATION LIMITED

Second Respondent

Hearing: 30 March 2022 (Submissions 6 May 2022)

Appearances:

L A Andersen KC and S Gaskell for Appellant P J Page and S R Peirce for Second Respondent No appearance for First Respondent

Judgment:

5 October 2022


JUDGMENT OF ASSOCIATE JUDGE LESTER

(Costs following unsuccessful application to strike out appeal)


THE CANYON VINEYARD LIMITED v CENTRAL OTAGO DISTRICT COUNCIL [2022] NZHC 2572
[5 October 2022]

[1]    On  12  April  2022  I  delivered  my   judgment   declining   Bendigo   Station Limited’s application to strike out The Canyon Vineyard Limited’s appeal against a decision of the Environment Court.1

[2]    I  concluded  the  judgment  by  saying  costs  should  follow  the  event  but  I reserved costs as Mr Andersen KC, counsel for the appellant, wished to apply for increased costs.

[3]    I apologise to counsel for the delay in dealing with their costs memoranda from 29 April 2022 and 6 May 2022. They have only just been referred to me.

[4]    I am satisfied that costs on a 2B basis without an uplift, together with disbursements, is the appropriate costs award in relation to the unsuccessful strike out application. I hold that view as Doogue J, in dismissing the substantive appeal,2 awarded 2B costs against the appellant. The strike out was no more complex than the substantive hearing. Accordingly, I adopt the same approach to costs as her Honour.

[5]    Nor is an uplift from scale called for. That the strike out application failed is why costs are appropriate and not of itself a justification for an uplift. Nor was the application hopeless or the pursuit of a meritless point – the grounds of the strike out were simply not accepted.

[6]    I also take into account that had the strike out application not been brought and the grounds relied on in the strike out application run in the substantive appeal, the appeal would still have been dismissed and in all likelihood the same costs outcome would have applied.

[7]    Accordingly, there is an order that Bendigo Station Limited is to pay to     The Canyon Vineyard Limited costs on a 2B basis ($6,214.00) plus disbursements ($142.65), being a total of $6,356.65.


1      The Canyon Vineyard Ltd v Central Otago District Council [2022] NZHC 749.

2      The Canyon Vineyard Ltd v Central Otago District Council [2022] NZHC 2458.

[8]In relation to the fixing of the costs, costs are to lie where they fall.


Associate Judge Lester

Solicitors:

Antony Hamel Solicitors, Dunedin (for Appellant) Mactodd Lawyers, Queenstown (for First Respondent)

Gallaway Cook Allan Lawyers, Dunedin (for Second Respondent)

Copy to counsel:

L A Andersen KC, Barrister, Dunedin (for Appellant) S Gaskell, Barrister, Dunedin (for Appellant)

Details
AGLC
The Canyon Vineyard Limited v Central Otago District Council [2022] NZHC 2572
Case
[2022] NZHC 2572
Decision Date

CaseChat Overview and Summary

The Canyon Vineyard Limited filed an appeal against a decision of the Environment Court, which had upheld a decision of the Central Otago District Council. Bendigo Station Limited, the second respondent, applied to strike out the appeal on the grounds that it was an abuse of process. The appeal was heard in the High Court of New Zealand, Dunedin Registry, with counsel for the appellant and second respondent making submissions on the matter. The court was required to determine whether the appeal should be struck out and, if not, to decide on the appropriate costs for the unsuccessful strike out application.

The court considered the complexity of the strike out application and compared it to the substantive hearing. The court found that the strike out application was not more complex than the substantive hearing and that the grounds of the strike out were simply not accepted. The court also noted that had the strike out application not been brought, the appeal would still have been dismissed and in all likelihood the same costs outcome would have applied. Therefore, the court held that costs on a 2B basis without an uplift, together with disbursements, was the appropriate costs award.

The court ordered that Bendigo Station Limited was to pay The Canyon Vineyard Limited costs on a 2B basis ($6,214.00) plus disbursements ($142.65), being a total of $6,356.65. Costs were to lie where they fall.

This decision highlights the importance of considering the complexity of an application and the likelihood of the same costs outcome had the application not been brought. It also emphasises the need for counsel to be mindful of the costs implications of their actions.

Orders

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Background

Background to the litigation

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Evidence

Evidence Before The Court

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Decision

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Ratio Decidendi

Legal Principle Established

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