Body Corporate 309667 v Robson

Case [2018] NZHC 650


IN THE HIGH COURT OF NEW ZEALAND AUCKLAND REGISTRY

I TE KŌTI MATUA O AOTEAROA TĀMAKI MAKAURAU ROHE

CIV-2018-404-107

[2018] NZHC 650

UNDER the Unit Titles Act 2010

IN THE MATTER

of an Application for Orders Establishing a Scheme under Section 74 of the Unit Titles Act 2010

BETWEEN

BODY CORPORATE 309667

First Applicant

DONNA JANE KILLIAN
Second Applicant

AND

EZEKIEL PENTON ROBSON AND SUSAN FRANSON

First Respondent

cont … /2

Hearing: 11 April 2018

Appearances:

D R Bigio QC and T L Utama for the Applicants No Appearance for the Respondents

Judgment:

11 April 2018


ORAL JUDGMENT OF PALMER J


Counsel/Solicitors:

D R Bigio QC, Auckland Anthony Harper, Auckland

BODY CORPORATE 309667 v ROBSON & ORS [2018] NZHC 650 [11 April 2018]

EDITHA ESPINOSAS SALONOA

Second Respondent

DIANE JOY HAUWAI
Third Respondent

DONNA JANE KILLIAN
Fourth Respondent

FDR INVESTMENTS LIMITED
Fifth Respondent

SHEIKA SHRISTI DEO AND SURAGNI SHRISTI DEO
Sixth Respondent

JOYTIKA DEVI SINGH

Seventh Respondent

SURINDER SINGH AND SARBJIT KAUR

Eighth Respondent

CATHERINE FRANCES GLEN
Ninth Respondent

CRAIG DUDLEY WILDON
Tenth Respondent

PUSHP LATA GARG AND OM PARKASH GARG

Eleventh Respondent

KAZUTOSHI ASAMI AND AYAKO ASAMI

Twelfth Respondent

CRISSINA ANNE TOIA
Thirteenth Respondent

MOYLAN VENTURES LIMITED
Fourteenth Respondent

NAIDU INVESTMENT TRUST LIMITED
Fifteenth Respondent

SURENDRA RAJAK
Sixteenth Respondent

ANZ BANK NEW ZEALAND LIMITED

Seventeenth Respondent

WESTPAC NEW ZEALAND
Eighteenth Respondent

BANK OF NEW ZEALAND
Nineteenth Respondent

MORTGAGE HOLDING TRUST COMPANY LIMITED

Twentieth Respondent

THE CO-OPERATIVE BANK LIMITED
Twenty-First Respondent

ASB BANK LIMITED

Twenty-Second Respondent

CHUBB INSURANCE NEW ZEALAND LIMITED (ORION INSURANCE)

Twenty-Third Respondent

[1]    Body Corporate 309667 and Ms Donna Killian apply under s 74 of the Unit Titles Act 2010 to settle a reinstatement scheme of repairs of the Body Corporate’s buildings called Beaumont Terraces, at 277 Great South Road, Manurewa. The buildings have suffered water damage compromising their structural integrity and the health and safety of the occupants. The scheme is attached to the application as Schedule 2. The application is supported by an extensive affidavit of Ms Killian. At an extraordinary general meeting of 29 March 2017, all owners present voted in favour of it. The application and affidavit have been served on all respondents, including directly on the solicitors of one owner who reserved the right to oppose the application. No opposition has been filed and no one appeared in opposition today or at any previous call.

[2]    The Court of Appeal has set out a three-step process for considering an application to settle such a scheme.1 In accordance with those steps, and on the basis of the application and affidavit:

(a)I am satisfied the buildings have been damaged.

(b)I consider the proposed reinstatement scheme is appropriate in the circumstances. It has broad support, is sufficiently detailed and has appropriate effect.

(c)I approve the terms of the scheme as proposed by the applicants, including the allocation of cost which I consider fair. The terms depart from the Act and from the body corporate rules no more than is reasonably necessary.

[3]I order the settling of the scheme of reinstatement sought by the applicants.

………………………….

Palmer J


1      Tisch v Body Corporate 318596 [2011] NZCA 420, [2011] 3 NZLR 679 at [35].

Details
AGLC
Body Corporate 309667 v Robson [2018] NZHC 650
Case
[2018] NZHC 650
Decision Date

CaseChat Overview and Summary

The case of Body Corporate 309667 v Robson, decided by Palmer J in the High Court of New Zealand, Auckland Registry, involved an application by the Body Corporate and Donna Jane Killian under section 74 of the Unit Titles Act 2010. The applicants sought to establish a reinstatement scheme for repairs to the Beaumont Terraces building, located at 277 Great South Road, Manurewa. The building had suffered water damage, compromising its structural integrity and the health and safety of the occupants. The application was supported by an affidavit from Ms Killian and had been approved by all owners present at an extraordinary general meeting held on 29 March 2017. The application and affidavit were served on all respondents, with one owner's solicitors reserving the right to oppose the application. However, no opposition was filed, and no one appeared in opposition.

The legal issues before the court included whether the buildings had indeed been damaged, whether the proposed reinstatement scheme was appropriate, sufficiently detailed, and fair, and whether the terms of the scheme departed no more than reasonably necessary from the Act and the body corporate rules. The Court of Appeal had previously outlined a three-step process for considering such an application, which the court followed in reaching its decision. The court found that the buildings had been damaged, the proposed reinstatement scheme was appropriate, had broad support, was sufficiently detailed, and had appropriate effect. The terms of the scheme were approved as fair and not departing unreasonably from the Act and the body corporate rules.

Palmer J ordered the settling of the reinstatement scheme as proposed by the applicants. The court found that the scheme was supported by the evidence provided and was necessary to address the water damage and ensure the structural integrity and safety of the building. The court's decision was based on the application and affidavit, as well as the approval of the scheme by all owners present at the extraordinary general meeting. The court's approval of the scheme ensures that the necessary repairs can be carried out, and the building can be restored to a safe and habitable condition.

Orders

Orders of the court

Full text does not contain this section.

Background

Background to the litigation

Full text does not contain this section.

Evidence

Evidence Before The Court

Full text does not contain this section.

Decision

Reasons for decision

Full text does not contain this section.

Ratio Decidendi

Legal Principle Established

Full text does not contain this section.