Wootton v Wootton

Case [2020] NZHC 3012


IN THE HIGH COURT OF NEW ZEALAND WELLINGTON REGISTRY

I TE KŌTI MATUA O AOTEAROA TE WHANGANUI-A-TARA ROHE

CIV-2020-485-300

[2020] NZHC 3012

UNDER section 142 of the Land Transfer Act 2017

BETWEEN

MARGARET ANN WOOTTON

Applicant

AND

PHILLIP GARRY WOOTTON

Respondent

Counsel:

Applicant in person

E Collins for respondent

Judgment:

13 November 2020


COSTS JUDGMENT OF ASSOCIATE JUDGE JOHNSTON

[On the papers]


[1]                 In my judgment dated 13 October 2020 I dismissed the applicant’s application for an order sustaining caveats lodged by her over properties owned by the respondent (in his capacity as trustee).

[2]In the penultimate paragraph of my judgment I said:

[20]As to costs, whilst I did not hear Ms Wootton or counsel on this topic, my preliminary view is that the respondent is entitled to his costs on a 2B basis. If costs cannot be resolved in view of that preliminary indication, then the parties may file memoranda in the usual way.

[3]                 The respondent now seeks costs on that basis, and Mr Collins has filed a short memorandum identifying the various steps in the proceeding down to the date of my judgment and applying the scales on a 2B basis to these.

[4]The respondent seeks costs and disbursements totalling $20,197.

WOOTTON v WOOTTON [2020] NZHC 3012 [13 November 2020]

[5]The applicant opposes any costs award.

[6]In the opening paragraph of her memorandum in response, the applicant says:

The applicant respectfully directs the Court to He v The Earthquake Commission [2018] NZHC 67 at [73] whereby her Her Honour Dunningham J declared that the costs judgment is not payable until the plaintiffs’ appeal is determined or withdrawn.

[7]                 The applicant has completely misunderstood the effect of Dunningham J’s judgment in He. Paragraph [71] of her Honour’s judgment reflects the orthodox position that the filing of an appeal does not operate as a stay of any aspect of the judgment which of course includes a consequential costs order whether delivered at the same time as the substantive judgment or later.

[8]                 What her Honour was dealing with in the two subsequent paragraphs to which the applicant refers is an earlier costs judgment where Gendall J had expressly said that it was not to come into effect or be enforceable until after any appeal was finally disposed of.

[9]                 In this case, the Court of Appeal has stayed the removal of the caveats pending the disposal of the appeal, and that stay will preclude the respondent from enforcing any costs award.

[10]             However, like Dunningham J in He, the view I take is that costs should nevertheless be fixed in this Court so that the Court of Appeal and the parties are aware of the outcome in this Court.

[11]For that reason, I propose to fix costs.

[12]             Having reviewed the respondent’s schedule of costs and disbursements I can see no obvious error.

[13]             I have not found it especially easy to follow the applicant’s memorandum. However, it appears to me that her objections to the respondent’s costs application fall into three broad categories:

(a)First, she repeats a series of accusations against counsel for the respondent. I am unpersuaded there is any foundation for these;

(b)Second, she attempts to re-argue a number of points raised in the substantive proceeding and dealt with in my earlier judgment. These are irrelevant to the costs issue, though no doubt they will be the subject further argument on appeal;

(c)Third, in relation to a number of the heads of claim for costs, she says that the application were very brief and did not require the respondent to file written submissions or develop extensive argument. There is something in this. Although the respondent is entitled to point to at least three stages in the proceeding, the reality is that only the substantive application by the applicant for orders sustaining a caveat required detailed analysis and attention. Having reflected on this point, the view I take is that substantial justice will be done between the parties if I exercise the Court’s overarching discretion in relation to costs by reducing the total amount of the scale costs by 25 per cent.

[14]             I make a costs order in the respondent’s favour against the applicant in the sum of $14,906.25 together with disbursements of $360.

Associate Judge Johnston

Solicitors:

Collins & May Law, Lower Hutt for respondent

Details
AGLC
Wootton v Wootton [2020] NZHC 3012
Case
[2020] NZHC 3012
Decision Date

CaseChat Overview and Summary

In the High Court of New Zealand, the case of Wootton v Wootton was brought by Margaret Ann Wootton, the applicant, against Phillip Garry Wootton, the respondent. The case revolved around the applicant's attempt to sustain caveats she had lodged over properties owned by the respondent, acting as trustee. In an earlier judgment, Associate Judge Johnston dismissed the applicant's application to sustain the caveats. The current matter pertains to the costs associated with this proceeding, with the respondent seeking costs of $20,197, and the applicant opposing any costs award.

The primary legal issue before the court was whether the respondent was entitled to costs on a 2B basis, as initially suggested by the Associate Judge, and if so, the appropriate amount. The applicant raised several objections to the respondent's costs application, including accusations against the respondent's counsel, attempts to re-argue points from the substantive proceeding, and arguments that the respondent's application was brief and did not warrant extensive costs. The court had to determine if these objections were valid and, if not, whether the costs claimed by the respondent were reasonable and justifiable.

Associate Judge Johnston found that the applicant had misunderstood the effect of a previous judgment cited in her memorandum. The judge clarified that the filing of an appeal does not stay a costs order, contrary to the applicant's assertion. The judge also noted that while the Court of Appeal had stayed the removal of the caveats pending the appeal, it was still appropriate to fix costs in this court for the sake of clarity and finality. After reviewing the respondent's schedule of costs, the judge found no obvious errors and reduced the total amount by 25% to account for the brevity of some of the applications. The court made a costs order in favour of the respondent for $14,906.25 plus disbursements of $360.

The court's final order was for the respondent to recover costs in the sum of $14,906.25, together with disbursements of $360, from the applicant. This decision provided clarity on the costs associated with the substantive proceeding and ensured that the Court of Appeal and the parties were aware of the outcome in this court.

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

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