Turner v Goldsbury

Case [2023] NZHC 682


IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CIV-2021-404-000337

[2023] NZHC 682

UNDER ss 339–343 of the Property Law Act 2007

IN THE MATTER OF

an application for a partition order

BETWEEN

WARREN AUSTIN TURNER,

LINDA CHRISTINE TURNER and GEOFFREY MALCOLM BILKEY
First Plaintiffs

SUZANNE LESLEY WARDLAW, DERYCK ANDREW WARDLAW, CHRISTOPHER JAMES FABER WATERS and MELISSA LEA WARDLAW

Second Plaintiffs

AND

KELVIN GLEN GOLDSBURY, CHRISTINE JOY NIGHTINGALE and ONEHUNGA TRUSTEE COMPANY LIMITED

First Defendants

CCCK INVESTMENTS LIMITED

Second Defendant

Hearing: [On the Papers]

Appearances:

S A Keall for Plaintiffs

S J Ryan and S A Kilgour for Defendants

Judgment:

30 March 2023


JUDGMENT OF EDWARDS J

[Costs]


This judgment was delivered by me on 30 March 2023 at 2.30 pm pursuant to r 11.5 of the High Court Rules.

Registrar/Deputy Registrar

TURNER v GOLDSBURY [2023] NZHC 682 [30 March 2023]

[1]    In my judgment dated 13 February 2023, I dismissed the plaintiffs’ application for an order for partition under s 339(1)(c) of the Property Law Act 2007.1

[2]The defendants seek costs of $26,290 plus disbursements in the sum of

$20,723.77. The plaintiffs dispute the claim for second counsel, and dispute that all costs incurred by an expert surveyor were reasonably necessary to defend the proceeding. All other issues of costs and disbursements are agreed.

[3]    I have read counsels’ memoranda and need only deal briefly with the two issues in dispute.

[4]    I am not persuaded that the claim for second counsel is justified in this case. The trial was not complex, and the volume of factual and expert evidence was within the normal range for a proceeding of this type. The claim for second counsel is declined.

[5]    The defendants’ claim for disbursements includes the sum of $15,594 being 50 per cent of the fee paid to an expert surveyor engaged by the defendants.  The 50   per cent reduction is offered in acknowledgement that the surveyor was not called to give evidence at trial, and aspects of the expert opinion (concerning conditions and restrictive covenants) were not considered at the hearing.

[6]    Counsel for the plaintiffs submits that the fee for work on a restrictive covenant area should be excluded altogether, with other line items in the invoices reduced by half for reasons of proportionality. On this basis, the plaintiffs say that no more than

$11,891 should be allowed for expert surveyor fees.

[7]    I consider the fees incurred for investigating the possibility of conditions and restrictive covenants was reasonable in the circumstances. Although the plaintiffs did not seek the imposition of conditions in this case, it was reasonable for the defendant to consider this as an alternative position if the main opposition to the application was unsuccessful. Furthermore, the Court has the power to impose conditions notwithstanding the position of the parties. It was prudent to consider this position in


1      Turner v Goldsbury [2023] NZHC 179.

advance. A 50 per cent reduction is appropriate to reflect the fact that this was not ultimately an issue at trial, and the expert surveyor was not called to give evidence. Disbursements shall be awarded in the sum claimed by the defendants.

[8]    Accordingly, I award costs to the defendants against the plaintiffs in the sum of $23,900, plus disbursements in the sum of $20,723.77. The costs of preparing and filing memoranda as to costs shall lie where they fall.


Edwards J

Counsel/Solicitors:

S A Keall, Auckland D A Cowan, Auckland S J Ryan, Auckland

Daniel Overton and Goulding, Auckland

Details
AGLC
Turner v Goldsbury [2023] NZHC 682
Case
[2023] NZHC 682
Decision Date

CaseChat Overview and Summary

The case of Turner v Goldsbury involved a dispute over costs following an unsuccessful application for a partition order under the Property Law Act 2007. The plaintiffs, Warren Austin Turner, Linda Christine Turner, Geoffrey Malcolm Bilkey, Suzanne Lesley Wardlaw, Deryck Andrew Wardlaw, Christopher James Faber Waters, and Melissa Lea Wardlaw, had applied for a partition order in relation to a property, but their application was dismissed by Edwards J in a previous judgment on 13 February 2023. The defendants, Kelvin Glen Goldsbury, Christine Joy Nightingale, and Onehunga Trustee Company Limited, along with CCCK Investments Limited, sought costs of $26,290 plus disbursements amounting to $20,723.77. The plaintiffs contested the claim for second counsel and the reasonableness of certain disbursements, particularly those related to an expert surveyor. The core issues before the court were whether the defendants were entitled to costs for second counsel and whether the disbursements claimed were reasonable.

The court began by examining the claim for second counsel. Edwards J noted that the trial was not complex and the volume of evidence was within the normal range for a case of this nature. Given the simplicity of the trial, the court found that the defendants were not entitled to the additional costs associated with employing a second counsel. Moving on to the disbursements, the court assessed the fees paid to the expert surveyor. The defendants claimed $15,594, which was half the surveyor's fee, acknowledging that the surveyor was not called to give evidence and that some aspects of the expert opinion were not considered at the hearing. The plaintiffs argued that the fee for work on restrictive covenants should be excluded entirely, with other fees reduced by half. Edwards J considered the investigation into restrictive covenants to be reasonable, as it provided a prudent alternative should the main opposition to the partition order be unsuccessful. The court concluded that a 50 per cent reduction of the surveyor's fees was appropriate given that the restrictive covenants were not an issue at trial. Consequently, the court awarded the full amount of disbursements claimed by the defendants.

In conclusion, the court awarded costs to the defendants in the sum of $23,900, along with disbursements amounting to $20,723.77. The court ruled against the plaintiffs' objections to the claim for second counsel and found that the disbursements, including those for the expert surveyor, were reasonable. The costs of preparing and filing memoranda as to costs were left to lie where they fell.

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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