IN THE HIGH COURT OF NEW ZEALAND
WELLINGTON REGISTRY
CIV-2015-485-000223
[2018] NZHC 507
BETWEEN THE ATTORNEY-GENERAL
Plaintiff
AND
INSTITUTION OF PROFESSIONAL ENGINEERS NEW ZEALAND INCORPORATED
First Defendant
AND
ALAN MICHAEL REAY
Second Defendant
Hearing: 27 April 2017 Appearances:
K G Stephen and I M G Clarke for Plaintiff and First Respondent H J P Wilson and M J Neill for First Defendant and Second
Respondent
W J Palmer and O D Peers for Second Defendant and ApplicantJudgment:
22 March 2018
COSTS JUDGMENT OF WILLIAMS J
Final Ruling and Orders
[1] On 8 March 2018, Dr Reay’s counsel filed a memorandum advising that the parties could not agree on costs. The memorandum also advised that Dr Reay seeks costs on a 2B basis plus disbursements against the Attorney-General and Institute of Professional Engineers New Zealand Incorporated (IPENZ). This results in costs of
$12,934.00 plus disbursements of $1728.21.
[2] On 16 March 2018, the Attorney-General and IPENZ’s counsel filed a memorandum accepting that costs on a 2B basis but seeking a reduction in Dr Reay’s costs award in the following two respects:
THE ATTORNEY-GENERAL v INSTITUTION OF PROFESSIONAL ENGINEERS NEW ZEALAND INCORPORATED [2018] NZHC 507 [22 March 2018]
(a)$892.00 in relation to a memorandum dated 29 May 2017; and
(b)one third to recognise that Dr Reay was not successful in respect of the privilege element of the argument and that a large portion of the hearing was spent establishing the existence of legal advice after it was made clear that this was unnecessary.
[3]I set out briefly my view as follows:
(a)Having reviewed the document of 29 May 2017, I do not accept that costs are justified in respect of it. The memorandum was no more than a placeholder.
(b)I do not accept that a deduction of one third of the total costs is warranted. It is clear that a successful party is entitled to full costs where the plaintiff succeeded in the essential step of the argument, in this case, waiver.1
[4]Dr Reay is accordingly entitled to costs of $12,042.00 and disbursements of
$1728.
Williams J
Solicitors:
Crown Law, Wellington for Plaintiff
Kensington Swan, Wellington for First DefendantBuddle Findlay, Christchurch for Second Defendant
1 See Easton Agriculture Ltd v Manawatu-Wanganui Regional Council [2013] NZCA 79 at [132].
- AGLC
- Attorney-General v Institution of Professional Engineers New Zealand Incorporated [2018] NZHC 507
- Case
- [2018] NZHC 507
- Decision Date
CaseChat Overview and Summary
The court had to determine whether certain costs incurred by Dr Reay were justified and whether a reduction in the awarded costs was warranted. Specifically, the court examined a memorandum dated 29 May 2017, and whether costs associated with it were necessary. Additionally, the court considered whether a one-third reduction in Dr Reay's costs was appropriate, given that he was not successful on the privilege aspect of his argument and that a significant portion of the hearing was dedicated to establishing the existence of legal advice.
The High Court, presided over by Williams J, ruled that the costs associated with the 29 May 2017 memorandum were unjustified, as it was merely a placeholder document. The court also found that a one-third reduction in Dr Reay's costs was not warranted, as the successful party was entitled to full costs where the plaintiff had succeeded in the essential step of the argument. Consequently, Dr Reay was awarded costs of $12,042.00 plus disbursements of $1,728.21.
This ruling ensures that the prevailing party receives full compensation for the legal costs incurred, reflecting the importance of the successful waiver argument in the proceedings.
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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