Ultimate Design & Renovation Limited v Prendeville

[2021] NZHC 2955

IN THE HIGH COURT OF NEW ZEALAND CHRISTCHURCH REGISTRY

I TE KŌTI MATUA O AOTEAROA ŌTAUTAHI ROHE

CIV-2020-409-385

[2021] NZHC 2955

UNDER

the Insolvency Act 2006

IN THE MATTER

of the bankruptcy of JEREMY DANIEL PRENDEVILLE

BETWEEN

ULTIMATE DESIGN & RENOVATION LIMITED

Judgment Creditor/Respondent

AND

JEREMY DANIEL PRENDEVILLE

Judgment Debtor/Applicant

Hearing:

28 October 2021

Counsel:

No appearance for Judgment Creditor

M P Davis for Judgment Debtor/Applicant

Judgment:

3 November 2021

JUDGMENT OF ASSOCIATE JUDGE LESTER

ULTIMATE DESIGN & RENOVATION LIMITED v PRENDEVILLE [2021] NZHC 2955 [3 November 2021]

[1]                  Mr Prendeville,  the  judgment   debtor,   was   adjudicated   bankrupt   on   29 October 2020 at the Christchurch High Court on the application of the judgment creditor, Ultimate Design & Renovation Ltd. The Official Assignee duly advertised the adjudication.

[2]The only creditor known to the Official Assignee is the petitioning creditor.

[3]                  Mr Prendeville has applied for his bankruptcy to be annulled under s 309(1)(b) of the Insolvency Act 2006 (the Act) on the ground that his debts and the Official Assignee’s fees have been paid.

[4]                  The Official Assignee’s report confirms that the Assignee holds sufficient funds to clear the petitioning creditor’s debts, along with the costs awarded on the application for adjudication, and sufficient funds to clear the Assignee’s fees and disbursements.

[5]                  Mr Davis, counsel for Mr Prendeville confirmed that the application had been served on the judgment creditor who has taken no steps. This is perhaps not surprising given there are now sufficient funds held by the Assignee to clear the judgment creditor’s debts on an order for annulment being made.

[6]                  Accordingly, the first step in considering an application for an annulment, that is, whether one of the grounds under s 309(1) of the Act is met, is satisfied.

[7]                  Secondly, the Court must consider whether it is in the public interest to annul the adjudication. There does not appear to be any reason standing in the way of annulment being granted in this case. Ultimately, this was a straightforward bankruptcy for a relatively modest sum, which is now able to be paid in full along with the Assignee’s costs.

Order

[8]                  There being no objection from the judgment creditor, any other party, or the Assignee, there is an order annulling the bankruptcy of Jeremy Daniel Prendeville made on 29 October 2020 on the condition the Assignee applies the funds held to pay debts, costs and fees referred to in the Assignee’s report.

Associate Judge Lester

Solicitors:

Taylor Shaw, Christchurch

White Fox & Jones, Christchurch

Copy to:

Official Assignee, Christchurch