Employment Court of New Zealand Te Kōti Take Mahi o Aotearoa

[2018] NZEmpC 41 Rachelle v Air New Zealand Ltd (Interlocutory Judgment of Judge K G Smith, 4 May 2018) URGENCY– STRIKE OUT- SECURITY FOR COSTS – unsatisfactory nature of pleadings – application for urgency dismissed – security for costs of $10,000 ordered – proceeding stayed pending payment or further order.

[2018] NZEmpC 39 Direct Auto Importers (NZ) Ltd v A Labour Inspector of the Ministry of Business, Innovation and Employment (Judgment of Judge M E Perkins, 3 May 2018) COSTS ON DISCONTINUANCE – relevant principles applied – costs of around $13,000 jointly and severally ordered.

[2018] NZEmpC 37 Edminstin v Sanford Ltd (Costs Judgment of Judge K G Smith, 2 May 2018) COSTS – each party claimed costs– plaintiff successful party – complex claims separated out – guideline scale applied - total costs of around $68,400 plus disbursements ordered.

[2018] NZEmpC 34 Matsuoka v LSG Sky Chefs New Zealand (Interlocutory Judgment of Judge M E Perkins, 27 April 2018) ENFORCEMENT- PARTICULAR DISCOVERY – REMOVAL OF RESTRICTIONS ON DISCOVERED DOCUMENTS AND INSPECTION – SECURITY FOR COSTS – limited discovery granted – no restrictions lifted – application for security for costs dismissed – directions for preparation for hearing given.

Contract and Commercial Law Act 2017 / implied condition that goods will be reasonably fit for purpose / Applicant purchased a second-hand tyre for a light truck from Respondent / the tyre failed six weeks after installation / Held: tyre not reasonably fit for purpose / tyre was designed for a passenger car, not a light truck / Respondent liable for damages being the loss directly and naturally resulting from the breach of warranty / repair and towing costs / Respondent ordered to pay Applicant amount claimed of $769.25

[2018] NZEmpC 33 Nisha Alim v LSG Sky Chefs New Zealand Ltd (Costs Judgment (No 2) of Judge B A Corkill, 18 April 2018) COSTS – whether successful party should be awarded costs with regard to advancing of the applications –costs on costs awards may be made – costs consequences of Calderbanks extend to parties joined to litigation but not to those not involved in some hearings – hearing costs broken down -percentage costs distributed between four parties.

Complaint / Committee declined to take further action on complaints / complaint lawyer unprofessional / fees excessive / Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008, rule 3.1 / rule 5.3 / rule 9.1 / respect and courtesy / competent and independent advice / HELD / fees fair and reasonable / lawyer respectful and courteous / Committee’s decision confirmed / section 211(1)(a)   

[2018] NZEmpC 18 Johnston v The Fletcher Construction Co Ltd (Costs Judgment of Chief Judge Christina Inglis, 14 March 2018) COSTS – INDEMNITY COSTS – relevant principles considered – indemnity costs not appropriate – costs of $16,000 + GST awarded.

Contract and Commercial Law Act 2017 / sale of goods / Respondent supplied grapevine rootstocks to Applicant / Applicant examined rootstocks after delivery during processing period/ Applicant rejected a number of rootstocks and invoiced Respondent for that amount / Respondent disputed timeframe for rejection / Applicant claimed invoiced amount, legal fees and interest / Respondent claimed rootstocks were not rejected within a reasonable time / Held: goods rejected within a reasonable time / reasonable timeframe for examining goods determined as processing period / given nature of goods and quantity supplied, reasonable for Applicant to examine goods over processing period  / no particular loss to Respondent as a result of being notified after delivery / no provision in contract for payment of legal fees / Respondent liable to pay part of invoiced amount as at date of notification, plus interest / Respondent ordered to pay $999.81 to applicant.

[2018] NZEmpC 12 McNabb v Silver Fern Farms Beef Ltd (Interlocutory Judgment of Judge J C Holden, 5 March 2018) APPLICATION FOR SECURITY FOR COSTS – security for costs of $4,500 ordered – proceedings stayed til payment made or further order of the Court.

[2018] NZEmpC 11 Andrews t/a Alterations and Designer Garments (Judgment of Chief Judge Christina Inglis, 1 March 2018) COSTS ON DISCONTINUANCE – relevant principles considered – defendant awarded costs of $740.

Complaint / Committee found unsatisfactory conduct / complaint about will / probate need to be granted in UK / exceeded quoted fees / service not timely or competent / Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008 rule 3 / rule 7.1 / rule 7.2 / scope of retainer / duty to keep client informed / HELD / scope of retainer did not cover UK probate / fees reasonable and in line with estimate / service not timely / client not kept informed of progress / no conduct issues in regards to junior lawyer / senior lawyer censured / Committee’s decision modified / section 211(1)(a)  RM