UNIT OWNERS STUCK WITH UNEVEN DIVISION OF PRIVATE/COMMON PROPERTY

In Body Corporate 204299 & Sayer v Whyte & Ors [2016] NZHC 1164 the High Court held that where the division of property between private and common property in a body corporate complex are ‘skewed’ in favour of some owners, the court will not intervene to ameliorate its effect on other owners when the complex is being repaired, as to do so would disturb the contractual rights which the owners acquired when buying into a unit title development.

Doh! Read the contract before you sign it!

A recent decision in the High Court in Rotorua illustrates the importance of reading contractual documents prior to signing them. A drilling company was held bound by the terms of an exclusion clause in a contract with a supplier preventing it from recovering all of its losses alleged caused by the supplier negligently carrying out repair work to drilling equipment.