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High Court of New Zealand Decisions |
Last Updated: 25 January 2017
ORDER PROHIBITING PUBLICATION OF NAMES OR IDENTIFYING PARTICULARS OF PARTIES. ORDER PROHIBITING SEARCH, COPYING OR INSPECTION OF THE COURT FILES IN RESPECT OF WHICH THIS JUDGMENT HAS BEEN GIVEN WITHOUT LEAVE OF A JUDGE ON AN APPLICATION MADE ON NOTICE TO ALL PARTIES. THIS IS AN ANONYMISED VERSION OF A JUDGMENT AND MAY BE
PUBLISHED IN THIS FORM: SEE PARA [202] AND FOOTNOTE 1 BELOW.
IN THE HIGH COURT OF NEW ZEALAND TAURANGA REGISTRY
CIV 2013-470-419
CIV 2013-470-424
CIV 2013-470-425
CIV 2013-470-485
CIV 2013-470-495
CIV 2015-470-050
CIV 2015-470-069 [2016] NZHC
3196
BETWEEN
|
BARBARA BROWN
Applicant
|
AND
|
AARON SINCLAIR AND ORS Respondents
|
CIV 2015-470-104
BETWEEN BARBARA BROWN Plaintiff
AND TAURANGA DISTRICT COURT AND ANOR
Defendants
CIV 2015-470-105
BETWEEN BARBARA BROWN Plaintiff
AND THE TENANCY TRIBUNAL AND ORS
Defendants
BROWN v SINCLAIR AND ORS [2016] NZHC 3196 [22 December 2016]
Hearing:
|
31 October 2016
|
Counsel:
|
G C McArthur for Ms Brown
E M Eggleston for Mr Sinclair
No appearance on behalf of tenants
M J McKillop for District Court, Family Court, Tenancy
Tribunal
S T Scott, amicus curiae
|
Judgment:
|
22 December 2016
|
JUDGMENT OF HEATH J
This judgment was delivered by me on 22 December 2016 at 3.00pm pursuant to
Rule 11.5 of the High Court Rules
Registrar/Deputy Registrar
CONTENTS
The system fails [1] The applications [13] The proceedings in outline [20] The Brown v Sinclair proceedings
(a) The relationship property and initial Domestic Violence Act
proceedings [26] (b) The Tenancy Tribunal decision [56] (c) Mr Sinclair’s application for “unless” orders [58] (d) The dissolution of marriage application [62] (e) Ms Brown’s applications for maintenance [64] (f) Mr Sinclair’s security for costs applications in the High Court [68] (g) The attachment order [70] (h) Review of Associate Judge Doogue’s orders [73] (i) Tenancy related proceedings in the High Court [74] Analysis
(a) Preliminary comments [75]
(b) Judicial review: legal principles [84]
(c) The individual claims
(i) CIV 2013-470-425: Decisions of 10 October 2011, [91]
22 December 2011, 21 February 2012 and 30 May 2012 (ii) CIV 2013-470-424 and CIV 2013-470-485: Decisions
of 30 March 2012 and 21 May 2012 [127]
21 May 2012
(iii) CIV 2013-470-419: Decision of 14 May 2013 [134] (iv) CIV 2013-470-495: Decision of 12 June 2013 [143] (v) CIV 2015-470-050: Decisions of 11 July 2014, [153]
6 August 2014, 22 August 2014, 19 September 2014,
20 November 2014 and 6 March 2015
(vi) CIV 2015-470-105: Decision of Tenancy Tribunal [166]
of 10 April 2012
(vii) CIV 2015-470-104: Attachment order of 19 June 2014 [179]
(viii) CIV-2015-470-69: Decision of 18 March 2014, [189]
25 June 2014, 11 July 2014, 6 August 2014,
22 August 2014, 19 September 2014,
20 November 2014 and 6 March 2015
(d) Subsequent transfer order of 15 July 2016 [190] Result
(a) The applications for judicial review [194]
(b) Costs [198] (c) Public distribution of judgment [201] Where to from here? [204]
The system fails1
[1] Two people have been married for less than three years. They
separate. One files an application in the Family Court
to determine their
respective shares in relationship property. The other files an application
for a protection order. Within
six months the person against whom the
relationship property application was brought is debarred from participating
in
that proceeding. Cross applications for protection orders are made. Almost
six years later, the parties remain embroiled in litigation
in the Family Court
and in this Court.
[2] How did this happen? Courts exercising civil jurisdiction are
designed to resolve specific disputes between people who
cannot agree on the
solution. The underlying assumption is that each party will be represented by
competent counsel who will define
the issues and put them before the Judge for
resolution in a detached and well prepared way. Regrettably, in Family Court
proceedings,
that does not often occur.
[3] Why not? Primarily, disputes requiring resolution in the
Family Court, whether involving children or property,
have an emotional
component that is not present in other civil cases. Two people are hurting
from the breakup of a relationship,
and all too often one is intent on causing
financial or psychological harm to the other. Frequently, this is compounded by
the inability
of the parties to engage lawyers to present their cases in a
dispassionate manner. Counsel’s detachment is the antidote for
unpredictable or irrational behaviour from parties who are guided by emotional
responses to an intense personal experience. In the
absence of such assistance,
it is difficult for Family Court Judges to perform their demanding functions, in
resolving the domestic
problems that they encounter.
[4] At the risk of over-simplification, there are, in general, three
categories of people who represent themselves in Court.
The first are those who
cannot afford a
1 While strictly speaking the Family Courts Act 1980 permits publication of relationship property aspects of this judgment, issues involving domestic violence are arguably subject to prohibitions. Although the systemic problems that have arisen require public dissemination of this decision, I am not persuaded that the privacy interests of the parties should be compromised by its publication. That is the reason why the decision has been anonymised and references to information and citations that could otherwise identify the parties have been redacted.
lawyer because they do not qualify for legal aid. The second are those who
think they can do a better job than a lawyer. The third
comprises people who
have become obsessed with a particular dispute, for whatever reason. Into
whichever of those categories a
particular litigant falls, it is likely that he
or she will struggle to comply with detailed rules of Court. In particular,
there
will often be problems with the preparation and content of documents that
he or she is required to file in accordance with those
rules. Rules of evidence
tend to be observed in the breach.
[5] Those problems are compounded in a case in which there are multiple
applications involving different topics. In such cases,
a plethora of documents
will result, many of which may be unintelligible to the Court, or at least
unhelpful to its adjudicative
function. The most common reason for that is the
inclusion of argumentative material as evidence that is irrelevant to the legal
issues that the Judge has to determine. Those are not intended to be criticisms
of the people involved, many of whom do their best
to comply in difficult
circumstances. But that is the reality for those who work in the Family Court
on a daily basis.
[6] The way in which the litigants respond to those challenges has an
impact on the ability of those involved in the Family
Court registries to
process the documents and ensure that they are presented to Judges in a complete
state. Sometimes, circumstances
will be such that documents do not comply with
the relevant rules of Court, and are rejected as a result. While there are good
reasons
why rules of Court require documents to be prepared and filed in a
particular way (and it is important for Registrars to enforce
the rules) if,
inadvertently, important information does not reach a Judge there is a
risk that the quality of decision-making
may be compromised.
[7] This case was a perfect storm. Because it involved a marriage of short duration, the property available for distribution was modest. Tensions existed between the spouses which resulted in multiple cross applications under the Domestic Violence Act. The need for such applications to be considered in tandem with relationship property proceedings meant that issues relevant to the latter became infected by factors relevant only to the protection order applications. On some applications, that led to views being formed about credibility without hearing a party
giving evidence and being cross-examined. Further, as one of the
parties was overseas through much of the first year that
the proceedings were
on foot, a number of documents sent by the litigant in person to the Registry
were not accepted for filing.
That meant that some information relevant to
particular applications was unavailable to the Judge.
[8] A series of judicial decisions led to the litigant who had been
overseas being debarred from participating in the relationship
property
proceedings. The sense of injustice which that litigant held in consequence led
to a proliferation of proceedings in the
Family Court and the High Court. They
became a side-show. The initial issues were straight forward and should have
been capable
of resolution in a timely fashion, once both parties were able to
marshal relevant evidence and advocate their cause. Less haste,
more
speed.
[9] It is sad that this case has reached the point where I am required to determine nine applications for judicial review of decisions made in the Family Court as a result of difficulties of the type I have identified. Some blame for what happened must rest with the litigants, one of whom took an aggressive stance to early resolution and the other who, while attempting to engage in the Court process, ended up frustrating it. Some blame attaches to the processing of documents in the Registry. Some blame attaches to the way in which some of the decisions in issue
before me were reached.2 But, in the end, the problem was
systemic in nature. All
of the problems coalesced. Had that not happened, the present situation
would not have arisen. Everyone involved did the best they
could in difficult
circumstances. All (litigants, Registry staff and Judges) endeavoured to act in
a manner that they considered
best promoted the interests of justice. While
nobody should be criticised for doing that, the combination of events had
disastrous
consequences.
[10] While this is the worst example I have seen of problems of this type, others exist on a smaller scale. From my experience, the time may have come for those responsible for providing adequate resources for the Family Court to undertake the
many and difficult functions cast upon it to take stock of the present
position and to
2 But, see also paras [76]–[83] below.
reflect on whether it is practicable for that Court to do everything that
Parliament has entrusted to it with its present resources
– both judicial
and administrative.
[11] As a Judge, I am conscious that it is not my place to offer views on
how Parliament should appropriate funding to meet important
social objectives.
Striking that balance is a political decision. My concern is to highlight some
systemic problems that have
come to light, so that those responsible
for allocation of resources can consider whether (and, if so, how)
improvements
can be made. A civil justice system that facilitates the
prompt resolution of disputes, with each side having (as near
as
practicable) equality of arms, should be an important part of New
Zealand’s social fabric.
[12] I say no more about this topic. I will be sending a copy of this
judgment to the Chief District Court Judge and the Principal
Family Court Judge
so that they can consider the issues I have raised.
The applications
[13] Ms Barbara Brown seeks judicial review of a number of orders made in the Family Court at Tauranga in the course of proceedings involving her former husband, Mr Aaron Sinclair. Her applications extend to orders made by the District Court and the Tenancy Tribunal. All applications have the same factual origins.
They stem from Ms Brown’s separation from Mr Sinclair in early
2011.3 There are
nine separate applications, all of which I heard together on 31 October
2016.
[14] Ms Brown and Mr Sinclair met in 2008. There is a dispute about when they started to live together. One says it was at the end of 2008, while the other contends it was at the beginning of 2009. They were engaged on 7 January 2009, and married on 29 March 2009. Ms Brown and Mr Sinclair also disagree about the date of their separation. Ms Brown says it was between 8 and 13 March 2011, while Mr Sinclair says it was on or about 25 February 2011. The Family Court made an order
dissolving the marriage on 12 June 2013.4 The
judicial review applications represent
3 See para [14] below.
4 [citation redacted].
the aftermath of a bitter dispute between Ms Brown and Mr Sinclair that has
consumed their attention and energy for longer than their
relationship
subsisted.
[15] It is fair to say that both Ms Brown and Mr Sinclair are emotionally
and financially exhausted. Undoubtedly, these proceedings
have had a
significant impact on their health. By the time the present applications were
heard, Ms Brown had been able to secure
legal representation and Mr Sinclair, no
doubt on advice, took a pragmatic stance to the way in which the applications
should be
resolved. He has lost any desire to incur unnecessary
costs.
[16] Mr Eggleston, for Mr Sinclair, offered no opposition to the bulk of the applications. Mr McArthur, for Ms Brown, said everything that could be said responsibly to explain Ms Brown’s complaints and to support her applications. Mr Scott, who had been appointed as amicus provided helpful background material that put the issues into a proper perspective. Mr McKillop represented the Family Court, District Court and the Tenancy Tribunal. On almost all issues, those judicial
bodies, as is customary, abide the decision of this Court.5 The
one exception relates
to a claim for damages against the District Court for breaches of the New
Zealand
Bill of Rights Act 1990 (the Bill of Rights).6
[17] I express my appreciation to all counsel for their assistance, as
well as to Ms Brown for affidavits and memoranda that she
prepared. While she
is a qualified lawyer and has done her best to comply with the rules when
drafting documents, her emotional
involvement has led to much
material being provided that is argumentative in nature and irrelevant
to issues
in the proceedings. In fact, Ms Brown may have done herself a
disservice on a number of occasions as some very good points are
buried in
information that is unhelpful to determination of the application in
issue.
[18] In particular, I thank Mr McArthur for taking a difficult brief in order to assist the Court and all parties to reach a degree of finality, at least in respect of
proceedings in this Court. Notwithstanding that there was a significant
measure of
5 Generally, see Attorney-General v Maori Land Court [1999] 1 NZLR 689 (CA) at 695.
6 See paras [181]–[188] below.
agreement as to outcome, I told counsel that I was not prepared to act on the
basis of unopposed applications without first reviewing
the circumstances giving
rise to the individual claims for relief. To do so would be unfair
to the judicial officers
involved.
[19] This judgment deals with all nine extant applications, five from
2013 and four from 2015. Given the procedural quagmire
into which these
proceedings have fallen and the need to address all applications in this Court
on a final basis, I intend to set
out the relevant background in some detail.
In saying that, I acknowledge that any attempt at a summary will necessarily be
both
incomplete and selective. As far as is practicable, I try to explain the
background in chronological sequence.
The proceedings in outline
[20] Mr Sinclair filed relationship property proceedings on 27
June 2011. Ms Brown was served with them on 19 July 2011.
On 22 December 2011,
just over five months after those proceedings were served, the Family Court made
an order debarring Ms Brown
from participating in them.7 On 30 May
2012, without hearing from Ms Brown, the Family Court gave a final judgment on
the relationship property application after
a formal proof hearing on 6 March
2012.8
[21] On 21 July 2011, Ms Brown commenced Domestic Violence Act proceedings against Mr Sinclair. She sought a protection order. That application was discontinued on 10 November 2011.9 Just over two months later, on 27 January
2012, Mr Sinclair applied for a protection order against Ms Brown. That was determined in his favour at a formal proof hearing on 30 March 2012, just over a year after the couple separated.10 Ms Brown made a further application for a protection order on 29 February 2012. That too was discontinued, on 26 April
2012.11
7 See paras [37]–[104] below.
8 See para [43] below.
9 See para [33] below.
10 See paras [51]–[53] below.
11 See para [54] below.
[22] Ms Brown filed two further protection order applications,
one dated 18
February 2013 and the other 3 January 2014. They remain pending in the Family Court, as does a separate application, dated 4 February 2013, by which Ms Brown seeks to discharge the protection order made in favour of Mr Sinclair on 30 March
2012. On 14 May 2013, the Family Court made an order staying all proceedings
that
Ms Brown had commenced in the Family Court.12
[23] Following separation, Ms Brown took steps to lease the family home in Tauranga to three tenants.13 While that property was registered in the names of Mr Sinclair and Ms Brown, they held legal title in their capacity as trustees of the Aaron and Barbara Sinclair Family Trust (the Trust). The tenancy that Ms Brown negotiated began on 30 April 2011, and was to run until 30 April 2012. A dispute arose between the tenants and Ms Brown. The tenants alleged that, on 3 June 2011, they had been unlawfully evicted. That dispute was resolved by a decision of the
Tenancy Tribunal made on 10 April 2012. Ms Brown was ordered to pay a sum
of
$860.44 to the tenants. In addition, the tenancy bond was to be re-paid to
them.14
[24] In 2013, Ms Brown initiated judicial review proceedings in this Court to challenge a number of decisions made in the course of the various Family Court proceedings. Mr Sinclair applied for security for costs. A series of orders were made by Associate Judge Doogue.15 Ms Brown applied to a High Court Judge to review those orders.16 Her applications came before Duffy J, in 2014. Of the six
applications that were made, one was discontinued by Ms Brown, on 5
September
2014.17 Four of the remaining five orders were set aside as a
result of a judgment given by Duffy J on 30 June 2015.18
[25] One order for security for costs was upheld. That concerned Ms
Brown’s substantive application for judicial review
of the Family
Court’s judgment of 12 June
12 [citation redacted].
13 See also para [74] below.
14 See paras [56]–[57] below.
15 [citation redacted].
16 The orders in issue were made in CIV 2013-470-419, 424, 425, 485, 489 and 495.
17 [citations redacted].
18 [citations redacted].
2013, by which an order dissolving the parties’ marriage was
made.19 While that proceeding remained stayed as a result of the
Associate Judge’s order, at the hearing on 31 October 2016 (at my
invitation)
Mr Sinclair waived the benefit of the stay so that I could determine
all applications at the same time.20
The Brown v Sinclair proceedings
(a) The relationship property and initial Domestic Violence Act
proceedings
[26] On 27 June 2011, following separation in February or March
2011, Mr Sinclair applied for orders under the Property
(Relationships) Act
1976. At the same time he applied, without notice, for an abridgement of time
for Ms Brown to file a notice
of defence. To support his application for an
abridgement of time, Mr Sinclair deposed:
61. My concerns are as follows:
(a) [Ms Brown] is receiving money for the rental of the
[location redacted] property. The moneys from the rent have
not been paid/or
accounted to me or the Trust;
(b) [Ms Brown] has placed tenants in the [location redacted]
property without my authority;
(c) [Ms Brown] has dumped my personal belongings outside at my
brother’s house and has caused damage to my property –
when I
specifically asked her not to and at a time when I was overseas;
(d) [Ms Brown] has failed to provide me with access to the [location
redacted] property to inspect and determine the
status of my separate and
our joint property and
(e) [Ms Brown] has started to sell chattels from the [location redacted] property in circumstances where my solicitors foreshadowed proceedings (my solicitor’s letter of 24 May
2011). The circumstances of this concern arose from a
conversation that I had with ... the mother of one of the tenants. [She]
said to me on or about 2 June 2011: “[Ms Brown] is
trying to sell your
property at the home. The TV has already gone. She has offered the fridge to
my children cheaply with the option
to buy back”.
19 CIV 2013-470-495. [citation redacted].
20 See para [144] below.
[27] On 4 July 2011, a Deputy Registrar made an order abridging time.
Although this order is not challenged in the present proceedings,
I have to say
that I have doubts that it ought to have been made based on the evidence of Mr
Sinclair. In my view, nothing substantial
was advanced to displace the
presumptive rules about the time at which notices of defence are to be
filed.
[28] In his affidavit of 27 June 2011, in support of both applications,
Mr Sinclair deposed that he and Ms Brown had separated
“on a final
basis” on 26 February 2011. As a result, the relationship was one of
“short duration”, for the
purposes of that
Act.21
[29] On 21 July 2011, Ms Brown filed a without notice application for protection and occupation orders under the Domestic Violence Act 1995, with an affidavit in support sworn on the same day. In her affidavit, Ms Brown deposed that she and Mr Sinclair had separated “on or about late February 2011”. Ms Brown alleged that Mr Sinclair had perpetrated domestic violence on her on 16 March 2011, 13 June
2011 and 13 July 2011. All of those alleged incidents occurred after the
date on which Ms Brown deposed they separated.
[30] Ms Brown also exhibited to her affidavit a copy of a statement she had given to a police officer about an incident that occurred between 1.05pm and 1.10pm on 19
July 2011. In that statement, Ms Brown said that she had been “jogging
along the grass verge of The Mall towards the Mount”.
She added that Mr
Sinclair “must have been hiding behind one of the palm trees and as [she]
went by it he lunged out and tried
to strike [her] and it looked like he had
something in his hand”. Ms Brown reported that Mr Sinclair had not said
anything
to her.
[31] Temporary protection and occupation orders were made. The substantive application came before Judge Wills on 10 October 2011. By that time, Ms Brown was facing criminal charges in relation to the alleged provision of false evidence about the incident in Mt Maunganui that she had described.22 Ms Brown had also
published information on the Internet to identify Mr Sinclair. As to
the latter, the
22 [citation redacted]. The criminal charges did not proceed to trial.
Family Court made an order by consent requiring Ms Brown to remove
immediately information about Mr Sinclair posted on “the
Google email
forum”.23 Ms Brown withdrew her application at the next
hearing, on 10 November 2011.24
[32] The relationship property proceeding came before Judge Annis
Somerville on
18 October 2011. Ms Brown was [occupation redacted]. At that time, she was [nature of employment redacted]. Although no narrative affidavit had been filed by Ms Brown, she was represented by counsel. The Court was told that she intended to return to New Zealand in early November. Judge Somerville said:25
[6] There is a temporary protection order in place. That is
to be defended and there is a hearing on 28 and 29
November for two days. The
respondent has until 2 November to file documentation. The submission from
counsel for the respondent
is that if she is given the same amount of time to do
that then that is going to be more practical for her to deal with it. I am
concerned that the documentation has not been filed. I have suggested that the
draft affidavit could be shown to counsel for the
applicant so at least he knows
what the narrative affidavit is all about, but I am told that this draft
affidavit has only just been
prepared, which means that in spite of the fact
there have been very clear directions for some time now, there has only been a
recent
opportunity for the draft affidavit to be filed.
[7] I have asked counsel about the costs issue. I consider that this is an issue for costs. I am going to make an order for costs today. Costs are to be
$500. That is a token towards the difficulties that the applicant has had to
deal with by the respondent not engaging in this process as per
directions. That is to be paid by the respondent within seven days
after her
return, date to be advised to the Court.
(Emphasis added)
[33] On 10 November 2011, both the relationship property and domestic
violence proceedings came before the then Principal Family
Court Judge, for a
case management conference. Both parties were represented. In her memorandum
for the conference, Ms Brown’s
counsel explained the steps that Ms Brown
was taking in the United States to have an affidavit prepared. The memorandum
stated:
4. [Ms Brown] [redacted] ... is not of means and could not afford to
travel or to pay a notary public to swear her affidavit.
[Ms Brown] has
recently [acquired funds from work in the United States] ... She is now able to
have her affidavit witnessed.
23 Ibid, at paras [7] and [8].
24 [citation redacted].
25 [citation redacted].
5. [Ms Brown] has made an appointment to attend at the UK Consulate
in Las Vegas on 25 November 2011 to have her affidavit
witnessed, this being the
only opportunity she has having regarding to her dependency on third parties for
travel.
6. [Ms Brown] is seeking leave for an extension of time in which to
file her affidavit within 2 weeks of 25 November 2011
to accommodate the time
required to post the original affidavit to New Zealand.
[34] Notwithstanding that explanation, Judge Boshier asked counsel to
obtain specific instructions as to the precise date by which
Ms Brown would
return to New Zealand, so that the November 2011 date could be used
for the purpose of relationship property,
rather than domestic violence
proceedings.
[35] Having taken instructions, counsel advised the Court that Ms Brown
would be returning on 6 March 2012. Judge Boshier was
unimpressed. He
said:26
[10] [Counsel for Ms Brown] knows that her client’s conduct and
her credibility is now sufficiently worrying that she,
as counsel, must herself
be concerned. At the beginning of the conference I am told one date and at the
end of it a quite different
date. The Court’s conduct of proceedings
cannot be compromised in this way.
[11] For [Mr Sinclair], he brought his proceedings in June of this year
and the law requires that they be determined “economically
and
expeditiously”. I am not willing to permit [Ms Brown] to, it appears,
intentionally delay the resolution of this case.
[12] Mr Eggleston seeks an order wherein [Ms Brown] is now debarred from
participating in the proceedings. The Rules permit
that but I would want to be
careful and considered before I make such an order. If I am of the view that
the law permits it, and
it is fair and just, having regard to all of the
circumstances, I will make such an order.
[36] Having recorded that counsel for Mr Sinclair had claimed indemnity
costs of
$15,000 in relation to discontinuance of the application under the Domestic
Violence
Act, Judge Boshier made a number of orders:27
[15] ...
(a) In relation to the domestic violence proceedings, on [Ms
Brown’s] application to discontinue, the temporary orders
are discharged
and the substantive applications are struck out.
26 [citation redacted].
27 Ibid, at para [15].
(b) [Mr Sinclair] is entitled to costs and I direct counsel for the
father to file a submission within 10 days, setting out
the basis upon which
costs is sought, having regard to the District Court Rules 1992 and scale
and that [Ms Brown] file
any response she wishes to within 10 days. The
registrar shall immediately refer the file to me in chambers and I will make a
decision
on the documents then before me.
(c) On the property relationship proceedings, I find that [Ms Brown]
is in continuing breach of an order to
file documents. [Mr
Sinclair] wishes to have an order made debarring her from further participating
in the proceedings. In the
submission that Mr Eggleston is to file within 10
days as to costs, he shall also include a second part to his submission and that
relates to jurisdiction and basis upon which the order should be sought.
(d) In the response within 10 days of that, that I have already
invited [counsel for Ms Brown] to file in relation to the domestic
violence
proceedings, she may reply to the issue of costs. I shall then decide that
issue in Chambers on the basis of the papers
then available to me.
(e) Any other interlocutory direction which is sought as to, for
instance access to property or chattels, or any other matter
relevant to
preparation for trial and resolution in these proceedings, may be made
to me by counsel by memorandum
through the registrar. I will consider
what each counsel has to say and make a direction on the papers.
(f) The form of hearing shall be determined by me after I have
considered counsel’s submissions and on taking a view
of what the Rules
permit. A hearing, and depending on its format, will however occur before 6
March 2012.
(g) Costs generally on today are reserved but I shall fix costs as
they relate to the domestic violence proceedings when I
deal with that issue
and property costs can be dealt with separately.
(h) The costs made by Judge Somerville on 18 October, wherein the wife
pay $500 upon her return to New Zealand, is varied to
provide for an order
that the sum of $500 is paid forthwith, that is, within seven
days.
(i) Pursuant to the placement of material onto the Internet by [Ms
Brown] and referred to in paragraph 7 of Judge Wills’
judgment of 10
October, [Ms Brown] is required to advise the Court, by memorandum filed through
her counsel, within seven days, of
the current position and in particular
whether the material has been removed.
[37] On 22 December 2011, Judge Wills considered an application by Mr Sinclair to debar Ms Brown from participating in the proceeding and another to enable him to
access the former family home to take an inventory of chattels, and to assess
any damage. [As at 10 November 2011], Ms Brown had
not paid the costs of $500
previously ordered.
[38] It is customary for a formal application to be made to a Court when a party seeks an extreme remedy, such as debarring another party from bringing or defending a proceeding. No such application was filed. Instead, the question whether Ms Brown should be debarred from participating evolved from a series of events that had occurred before the decision to debar that was made on 22 December
2011. In summary:
(a) In a memorandum dated 17 October 2011, Mr Eggleston advised the
Court that despite “nearly 3 months passing
since service ... [Ms
Brown] still has not filed any narrative affidavit material”. He
observed that in her notice
of defence orders were sought under ss 15A
and 32 of the Property (Relationships) Act. Mr Eggleston added that it was
“likely that an application will be made to summarily dismiss [Ms
Brown’s application] given on face it appears
without merit”. He
added that a decision on that could not be made without her narrative
affidavit. Having made those
observations, Mr Eggleston set out a series
of directions that he sought. One of them sought that Ms Brown’s
“application
be struck out for want of prosecution”.
(b) On 18 October 2011, Judge Somerville indicated that unless
a narrative affidavit was filed, “there will be
a consideration of not
allowing [Ms Brown] to attend any Court hearing and prosecuting her
case”.28
(c) On 9 November 2011, in advance of the conference over which Judge Boshier presided on 10 November 2011, Mr Eggleston filed a memorandum in which he addressed this issue. Mr Eggleston pointed
out that a hearing was scheduled for 28 and 29 November 2011,
but
28 [citation redacted].
[redacted] that [Ms Brown] had [later given information that] she was travelling directly from the United States to [another country] to [nature of work redacted] in the first week of December 2011. In relation to Ms Brown’s Domestic Violence Act application, he said that unless Ms Brown “agrees to withdraw the proceedings” an order was sought that they be dismissed under r 195 of the Family Courts
Rules.29 Separately, he added in respect of the relationship
property
proceeding that because Ms Brown had not paid the costs ordered by Judge
Somerville, that proceeding should be set down for hearing
by way of formal
proof.
(d) Judge Boshier put the issue more emphatically. In the context of
a conference dealing with both the relationship property
and Domestic Violence
Act proceedings he observed that “Mr Eggleston seeks an order wherein [Ms
Brown] is now debarred from
participating in the proceedings”.30
I can only assume that Mr Eggleston had developed this point orally at the
conference before the Judge.
[39] By the time the relationship property proceeding came before Judge
Wills on
22 December 2011, those comments or observations had metamorphosed into an
application to debar with which she then dealt. The Judge
made an order
debarring Ms Brown from participating in the proceeding.31 She also
made an order enabling Mr Sinclair to access the former family home to take an
inventory of chattels and to assess any damage
to it. By this time, Ms Brown
had not paid the costs of $500 previously ordered by Judge
Somerville.
[40] On 21 February 2012, Judge Wills issued a Minute in response to an application from Ms Brown to file evidence in opposition out of time. She declined to grant leave on the grounds that Ms Brown had already been debarred from defending. The Judge confirmed that a formal proof hearing would take place on 6
March 2012 to deal with relationship property issues.
29 The relevant part of which is set out at para [99] below.
30 [citation redacted].
31 [citation redacted]. The reasons given by Judge Wills are summarised at paras [103]–[104]
below.
[41] On 21 February 2012, Judge Wills also dealt with an application by
Mr Sinclair for costs on Ms Brown’s unsuccessful
first Domestic Violence
Act application.32 Indemnity costs were sought. This
application followed Judge Boshier’s decision to discharge temporary
protection orders granted
in Ms Brown’s favour, and to strike out her
substantive application.
[42] Mr Sinclair claimed costs totalling $15,721. Judge Wills awarded
costs in the sum of $9,600, together with reasonable disbursements.
The Judge
described the factual background against which the order was made as
follows:33
[6] [Mr Sinclair] seeks costs on an indemnity basis in the sum of
$15,721 and in the alternative uplift costs in the amount of $13,783. As a further alternative costs are sought pursuant to Schedule 2C, District Courts
Rules, in the amount of $11,845 calculated according to the schedule
attached to the submissions or on a 2B basis in the amount of $7,195 also
quantified in the schedule.
[7] The brief history of the matter is that [Ms Brown] raised serious
allegations against [Mr Sinclair] in her affidavit of
21 July 2011 including
assault, stalking, kidnapping, death threats and threats with a knife. [Ms
Brown] asserted that she had
made a Police complaint in relation to events on 19
July 2011. [Mr Sinclair] opposed the making of an order and filed affidavit
evidence from six deponents including a Police officer who confirmed that [Ms
Brown] had been charged with making a false statement
in relation to the events
of 19 July 2011.
[8] The evidence considered by [Mr Sinclair’s] counsel included
video footage from the local café where [Mr Sinclair]
dined on 10 July
2011 and the 111 call of [Ms Brown]. An interlocutory application had to be
made to obtain Police records. Counsel
for [Mr Sinclair] submits that this was
a case where a much greater amount of time was spent preparing the case for
trial than might
normally be the case.
[43] Following a formal proof hearing on the relationship property
application on
6 March 2012, Judge Wills delivered a reserved judgment on 30 May 2012.
After analysing the legal position and setting out the nature
and value of
relationship property assets, the Judge concluded:34
[35] The parties’ respective contributions to the relationship are
clearly disproportionate. The relationship property
assets should be divided on
the basis of 70% to [Mr Sinclair] and 30% to [Ms Brown] as determined earlier in
this decision.
32 [citation redacted].
33 [citation redacted].
34 [citation redacted].
[36] That has the entitlement of [Ms Brown] fixed at $32,402. Given that she has in her possession $15,565.00 worth of property, the sum of
$16,837.00 is required to meet [Ms Brown’s] relationship property
entitlement.
[37] Orders are made to give effect to these determinations as
follows:
(a) The chattels in the possession of [Mr Sinclair] shall be his sole
and separate property.
(b) The chattels in [Ms Brown’s] possession shall be her sole
and separate property.
(c) [Ms Brown] shall take as her separate property the proceeds of
chattels sold by her.
(d) [Mr Sinclair] will take as his separate property the one share of
[Ms Brown] in [Mr Sinclair’s company]. To give
effect to that order [Ms
Brown] shall within 21 days from the date of these orders sign any documents
necessary to transfer her one
share to [Mr Sinclair].
(e) In the event that [Ms Brown] fails to sign the share transfer and
provide it to [Mr Sinclair], the registrar of the Family
Court is authorised to
sign the transfer on [Ms Brown’s] behalf.
(f) [Ms Brown] shall take as her separate property all bikes in her
possession.
(g) [Mr Sinclair] shall take as his separate property all assets in
his name, possession or control.
(h) [Ms Brown] shall take as her separate property all assets in her
name, possession and control.
(i) Each party shall be solely responsible for any liability in their
name.
(j) [Mr Sinclair] is to pay to [Ms Brown] the sum of
$16,837.00. From that sum may be deducted any costs awarded in this or
any other proceeding in which these parties have been
involved.
[38] This is a case where costs should be awarded in favour
of [Mr Sinclair]. [Ms Brown] failed to comply with timetabling
directions and
has been debarred from defending. [Mr Sinclair] has been put to significant
effort and cost as a result of [Ms Brown’s]
failure to properly engage in
these proceedings and costs should be awarded. Leave is reserved to [Mr
Sinclair] to file a memorandum
as to costs.
[44] On 17 December 2012, Judge Wills dealt with questions of costs on the relationship property application. While refusing to make an order for indemnity
costs in favour of Mr Sinclair, she took the view that costs at the highest
level of the
District Court scale should apply. Judge Wills
said:35
[8] It would be fair to say that even if [Ms Brown] had engaged in the
proceedings and filed documents in a timely way that
costs would still have been
incurred by [Mr Sinclair]. There is, in my view, no basis for the granting of
indemnity costs despite
the cavalier approach of [Ms Brown] in the proceedings.
I am however satisfied that the costs of the expert’s report should
be met
in full by [Ms Brown] for whose benefit it was obtained. I am also satisfied
that costs should be awarded in accordance with
Band C of the schedule to the
District Courts Rules.
[45] The decisions of 30 May 2012 and 17 December 2012 effectively
resolved the relationship property proceeding in favour of
Mr
Sinclair.
[46] Having explained the way in which the relationship property
proceedings came to be determined, I return to the various protection
order
applications.
[47] On 26 January 2012, Mr Sinclair applied on a without notice basis
for a protection order. At this time, Ms Brown remained
overseas, [occupation
and nature of work redacted]. In his affidavit, of that date, Mr Sinclair
deposed:
4. [Ms Brown] has used domestic violence against me as
follows:
(a) On 1 January 2012 the locks were changed at my home [location
redacted], ... locking me out of my home without my knowledge
and consent. I
maintain for the reasons I give below that [Ms Brown] instigated this.
(b) On 6 January 2012 my parents, aunty and cousin arrived at the
[location redacted] Property to find the locks had been changed.
I was in
Auckland at the time. I was telephoned by my mother ... who said:
“[Aaron] the locks on the house have been changed”.
I said:
“Contact the Police”.
(c) On 7 January 2012 I spoke to Constable Plowman who said “We
have contacted [a family friend]. He said locks have
been changed and that
tenants would be moving back to the property in a few days time”.
(d) On 9 January 2012 my mother contacted [a locksmith] who told
her that [Ms Brown] had phoned from overseas asking him to change the
locks.
[The locksmith] also advised that the locks had been changed on New Years
Day. I refer to her Affidavit in this respect. I have
subsequently received
an email and the invoice from the Locksmith confirming the
35 [citation redacted].
work for [Ms Brown] on 1 January 2012 which I annex and
mark “A”.
(e) On 15 January 2012 [a family friend] arrived at the back door, out
of view of the road, leaving my father ... feeling shaken.
My father telephoned
me and said with words to the effect: “[The family friend] has just come
to the home to try and get access
to inspect the property”. My heart
immediately began to beat faster and I felt very stressed by the visit. I am
very concerned
about what [Ms Brown] and her associates may do to the home and
my belongings if no one is present at home. I refer to my father’s
Affidavit in this respect.
(Emphasis added)
[48] Mr Sinclair added that he had arranged with his father to stay with
him, but he could not do so longer than 31 January
2012. He
expressed concern that Ms Brown may attempt (or have one of her intermediaries
attempt) to return to the property
to change locks and secure sole access. As a
result, Mr Sinclair said that he was taking important documents and his laptop
computer
to work every day. The alarm system at the property had been
reactivated and was being monitored. He identified a new email address
used by
Ms Brown: [email address redacted; the words used in the email address were
disparaging of Mr Sinclair, suggesting that he
was a liar].
[49] Mr Sinclair’s application was referred to Judge Wills. She
directed that it should be heard on five days’ notice.
No temporary order
was made. Ms Brown was to be served by email, as was her “legal advisor
in USA”. Personal service
was also directed on [the family friend] of Ms
Brown and Mr Sinclair, to whom Mr Sinclair had referred in his affidavit in
support
of the application.36 I am aware that he subsequently
protested the fact that he was regarded as a person on whom service could be
effected to give notice
to Ms Brown. She was overseas at this time.
[50] On 8 February 2012, Ms Brown purported to file a second application for a protection order. That document was not accepted for filing. A new originating document was filed on 29 February 2012, on a without notice basis. That application came before Judge MacKenzie on 29 February 2012. She ruled that the application
should proceed on notice. Primarily, the Judge was concerned
to ensure that
36 See para [4](c) and (e) of Mr Sinclair’s affidavit, set out at para [47] above.
differences evident from evidence in earlier parts of the proceeding should
be determined after cross-examination. As one of her
reasons for holding that
the threshold test for without notice orders had not been met, she said:
[1] ...
...
(d) I have been provided with recent judgments of Judge
Boshier and Judge Wills which contain adverse credibility findings
in relation
to [Ms Brown] and thus, as I have already indicated the evidence will
need to be tested before consideration
of orders.
[51] Mr Sinclair’s application for a protection order was set down
for formal proof on 30 March 2012. Counsel appeared
for Ms Brown and sought
leave to file a notice of defence and affidavit in support. That application
was opposed. At the time of
this hearing, Ms Brown was overseas, so if the
application were granted the hearing would necessarily have been adjourned.
Judge
Coyle rejected her application, notwithstanding that a draft notice of
defence and affidavit were before him and he had been told
that Ms Brown had
been granted legal aid about three weeks beforehand.
[52] Judge Coyle did not consider that Ms Brown had given any
“satisfactory explanation ... as to why [she] has now filed
at the Court
door”.37 In particular, he was influenced by what he
described as a “multitude of breaches” by Ms Brown in relation to
Court orders,
both in relation to domestic violence and relationship property
proceedings.38 The Judge concluded that he was “not satisfied
that it [was] in the interests of justice to allow Ms Brown to be
heard”.
He left open the possibility of an application to have any
order discharged, but put that on the basis that it would need
to be on
“new evidence” that was “not available for this
hearing”.39
[53] The Judge proceeded to hear Mr Sinclair’s application. He
did so, on the
basis of the affidavits Mr Sinclair had filed. One was the affidavit of 26
January
2012 on the basis of which Judge Wills had required the application to
be heard on
37 [citation redacted].
38 [citation redacted].
39 [citation redacted].
notice. The other was filed on 29 March 2012, the day before the hearing.
Ms Brown would not have had an opportunity to respond
to the latter. Judge
Coyle did not require Mr Sinclair to be cross-examined on his affidavits.40
On the basis of his evidence, Judge Coyle made a final protection order as
sought, and directed Ms Brown to attend “a stopping
violence
programme”.41 Costs were reserved.42
[54] On 26 April 2012, Ms Brown discontinued her February 2012
application under the Domestic Violence Act. On the same day,
Judge Coyle
minuted that the application had been discontinued.43
[55] The question of costs arising out of the hearings on 30 March 2012 was dealt with in chambers, on the basis of a memorandum from counsel for Mr Sinclair. Ms Brown had had the opportunity to file submissions in response, but had not done so. On 21 May 2012, Judge Coyle ordered:44
[27] ... I make an order that [Ms Brown] pay [Mr Sinclair’s] costs
in the sum of $2290 for the period following the commencement
of the domestic
violence proceedings up to 4 March 2012.
[28] I make an order pursuant to s 45(2) that there are exceptional
circumstances to justify a cost award in the sum of
$1800 being made
against [Ms Brown], and that would have been the cost award I make against her
personally but for the fact that
she was in receipt of civil legal aid.
[29] I make an order that [Ms Brown] pay [Mr Sinclair’s] costs in
the sum of $862.50 in relation to her unmeritorious application
for a protection
order against [Mr Sinclair].
(b) The Tenancy Tribunal decision
[56] On 16 August 2011, the tenants of the family home filed an application in the Tenancy Tribunal in which relief was sought against Ms Brown, as “landlord”. The tenancy agreement had been signed on 18 April 2011, with a commencement date of
30 April 2011. The lease was for a fixed term of 12 months. In total, the
tenants
paid a bond of $1,400. The tenants alleged that they were unlawfully
evicted on 3
40 [citation redacted].
41 [citation redacted].
42 See para [55] below.
43 [citation redacted].
44 [citation redacted].
June 2011 following a telephone call they received that day from Ms
Brown’s
lawyer. They were given 24 hours to vacate the
premises.45
[57] On 10 April 2012, the Tribunal ordered that Ms Brown pay to the
tenants of
the former family home a sum of $860.44. That sum included one week’s
bond of
$350. In addition, the Bond Centre was directed to pay the bond of $1050 to
the tenants.46
(c) Mr Sinclair’s application for “unless”
orders
[58] On 18 February 2013, Ms Brown filed a third application for a protection order. Mr Sinclair applied to the Family Court for security for costs and an ‘unless” order. His applications were opposed by Ms Brown. They were heard on 8 May
2013. Judge Geoghegan gave judgment on 14 May 2013.47
[59] An “unless” order customarily operates to prevent a
party from pursuing a particular application unless they
take a specified step
by a particular time.48 On this occasion, Mr Sinclair sought an
order “preventing Ms Brown from taking any further steps in respect of
any of her applications before the [Family] Court unless”49
she paid costs outstanding to Mr Sinclair in the sum of $12,478, pursuant
to earlier Court orders.50 In addition, Mr Sinclair sought an order
for security for costs in relation to her third Domestic Violence Act
application.
[60] Judge Geoghegan considered the background in detail. Having done
so, he made orders:
[64] ... :
(1) In respect of [Ms Brown’s] application for a protection order
I make an order that [Ms Brown] gives security for the
costs
45 This summary is taken from the Tenancy Tribunal’s decision: [citation redacted].
46 The reasons for the Tenancy Tribunal’s decision are set out at paras [173]–[176] below.
47 [citation redacted].
48 Generally, see SM v LFDB [2014] 3 NZLR 494 (CA). The Supreme Court gave leave to appeal:
LFDB v SM [2014] NZSC 131 but leave was subsequently revoked because the applicant had made a further default in relation to payment of a costs award: LFDB v SM [2014] NZSC 197; (2014) 22 PRNZ 262 (SC). That being so, the Supreme Court expressed no views on the approach that commended itself to the Court of Appeal. See further, paras [111]–[91] below.
49 My emphasis.
50 [citation redacted].
of [Mr Sinclair] in the sum of $10,000. In assessing the amount of
security for costs I note that Mr Eggleston sought the sum of $15,000 based on
[Ms Brown’s] assertion
that she would wish to call 20 witnesses. I
have estimated the amount of security for costs on the basis of a three day
hearing.
(2) I make an order staying all applications by [Ms Brown] before
the Court unless and until [Ms Brown] has met all outstanding costs
awards
payable to [Mr Sinclair]. I include in these costs awards any
costs awards which may be imposed by the Court in respect of applications for
costs currently
before the Court for consideration.
[65] I can indicate that in respect of the applications being determined
in this case I do not consider an award of
costs appropriate despite
[Mr Sinclair’s] success. The application by [Mr Sinclair] involved
difficult issues of the balancing
of the rights and obligations of both parties
and despite the fact that [Ms Brown] has been unsuccessful it could not be said
that
her defence of these applications had insufficient merit as to warrant an
award of costs as being appropriate.
(Emphasis added)
[61] As a result of that decision, all proceedings filed in the Family
Court to that date remain stayed.
(d) The dissolution of marriage application
[62] Mr Sinclair applied for an order dissolving his marriage to Ms
Brown. His application was opposed. Ms Brown has never
suggested that a
dissolution order should not have been made. Rather, she disagrees with the
separation date put forward by Mr
Sinclair.51
[63] At the end of a hearing on 12 June 2013, at which both Mr Sinclair and Ms Brown gave evidence, Judge Geoghegan gave an oral judgment in which he found that the parties separated on 25 February 2011, the date for which Mr Sinclair had
contended.52
51 See para [14] above.
52 [citation redacted]. Judge Geoghegan’s reasons are set out at para [146] below.
(e) Ms Brown’s applications for maintenance
[64] Ms Brown filed an application for interim and lump sum maintenance
in the Family Court at Auckland on 20 August 2013.
On 2 September
2013, Judge McHardy abridged the time for Mr Sinclair to file a defence to five
days. A further direction
was made by Judge Druce on 13 November 2013 for Mr
Sinclair to file and serve an affidavit in reply. Mr Sinclair applied to
transfer
the application to the Family Court at Tauranga. On 9 January 2014,
Judge Adams made an order to that effect. It appears that direction
was made
without hearing from Ms Brown.
[65] The transferred application came before Judge Somerville on 4
February
2014. No further steps were taken at that time. On 18 March 2014, a case
management conference was held before Judge Geoghegan.53 Mr
Sinclair sought an order extending the “unless” order made by Judge
Geoghegan on 14 May 2013 to the spousal maintenance
application. Judge
Geoghegan agreed that Mr Sinclair’s application should be considered
first. He made timetabling directions
for that to occur, leaving Ms
Brown’s application in limbo meantime.54
[66] On 19 September 2014, a further directions conference was held.
Judge Twaddle observed that Mr Sinclair had made an application
to vary Judge
Geoghegan’s order of 14 May 2013 so that it applied “to all
applications including future applications
filed by Ms Brown”.55
His Honour concluded that none of the proceedings before the Court
ought to be heard further until “Mr Sinclair’s
application to
vary the stay order” had been addressed. His Honour noted that that could
not be done until after proceedings
in this Court had been resolved.56
As a result, no further steps have been taken on that
application.
[67] I observe that there is no basis on which an order could have been made extending the “unless” order to any proceedings Ms Brown may file in the future. Even where a person has been declared a vexatious litigant, proceedings may be
brought by leave of the High Court.57 An order
of the type sought would have had
53 [citation redacted].
54 [citation redacted].
55 [citation redacted].
56 [citation redacted].
57 Judicature Act 1908, s 88B.
more draconian consequences than a declaration that she was a vexatious
litigant. That application was doomed to fail and ought not
to have been
made.
(f) Mr Sinclair’s security for costs applications in the High
Court
[68] In the period between Judge Geoghegan making an “unless”
order on 14 May
2013 and Ms Brown filing her maintenance application on 20 August 2013, Ms
Brown filed six judicial review applications in this Court
to challenge various
orders for security for costs that had been made. Mr Sinclair sought security
for costs in respect of each
of those proceedings. The decisions before this
Court were summarised by Associate Judge Doogue, in his judgment of 6 November
2013, on the security for costs applications before him:58
[3] [Ms Brown] is dissatisfied with the outcome of a number of the
Family Court hearings and has filed the following proceedings
in the High Court
to obtain judicial review.
(i) CIV-2013-470-495 (judicial review of Judge Geoghegan’s
oral decision, judgment dated 12 June 2013).
(ii) CIV-2013-470-419 (judicial review of Judge Geoghegan’s
reserved judgment, dated 14 May 2013).
(iii) CIV-2013-470-424 (judicial review of Judge Coyle’s
judgment, dated 21 May 2012).
(iv) CIV-2013-470-485 (judicial review of Judge Coyle’s
judgment, dated 30 March 2012)
(v) CIV-2013-470-425 (judicial review of Judge Wills’ decision,
dated 22 December 2011).
(vi) CIV-2013-470-489 (judicial review of Judge Wills’ direction
in [8] of the decision, dated 10 October 2011).
[69] Associate Judge Doogue made the following
orders:59
[150] The application for security for costs is granted and [Ms Brown] is
ordered to pay security for costs to the Registrar
of the High Court
at Tauranga in the sum of $34,666.00. That sum is to be held by the Registrar
as security for costs against
orders that might be made in any of the six
judicial review proceedings which [Ms Brown] has filed.
58 [citation redacted].
59 [citation redacted].
[151] The terms of the order that I make are such that while the security
for costs figure has been calculated in respect of one
of the several judicial
review proceedings, the security for costs some will be available for the
applicant, [Mr Sinclair], to apply
in reduction of any costs order made in any
of the judicial review proceedings.
[152] The security for costs is to be paid by way of instalments:
a) the sum of $12,000 not later than 30 November 2013;
b) the sum of $12,000 not later than 31 January 2014;
c) the balance not later than 31 March 2014.
[153] There will be an order staying the judicial review proceedings until
the first instalment of the security for costs is made.
There will also be stay
orders in the event that any succeeding instalment is not paid on
time.
(g) The attachment order
[70] On 30 May 2014, Mr Sinclair made an application for an attachment
order in respect of the various costs orders that had been
made against Ms Brown
in his favour. As at that date, the outstanding Court-ordered costs totalled
$12,972.50, made up as follows:
(a) $9,820, as a result of an order made on 21 February 2012. (b) $2,290, as a result of an order made on 21 May 2012.
(c) $862.50, in respect of an order made on 21 May 2012.
[71] In his application for an attachment order to compel payment of
those costs, Mr Sinclair said:
You can claim some of your costs from trying to enforce the judgment or court
order. Enter the judgment debt, and costs you want
to claim, in the table
below.
Debt
Amount of judgment debt
$12,972.50
Less amount already paid
Sub-total $12,972.50
Interest you want to claim (for debts over $3000)
Interest on the remaining debt $ 1,420.00
Sub-total $ 1,420.00
Enforcement costs you want to claim
Fee for filing application $ 50.00
Lawyer costs for this application
Costs of previous enforcement action
Sub-total $ 50.00
Total amount owed $14,442.50
[72] On 19 June 2014, the District Court made an attachment order
reflecting the outstanding claim of $14,442.50.
(h) Review of Associate Judge Doogue’s
orders60
[73] Ms Brown’s applications to review orders for security for
costs made by
Associate Judge Doogue were determined by Duffy J in two judgments, delivered
on
5 September 2014 and 30 June 2015 respectively. Ms Brown was successful on all but her challenge to the order made in respect of the dissolution proceeding.61 Ms Brown applied to recall that aspect of the judgment. Her application was dismissed by Duffy J, after having heard from both Ms Brown and Mr Sinclair in person, on 17
December 2015. Costs were reserved.62
(i) Tenancy related proceedings in the High Court
[74] Separate proceedings were issued by Mr Sinclair in the High Court to claim moneys allegedly owed by Ms Brown and the trustees of the Trust arising out of the tenancy of the family home, which was owned by the Trust. Brewer J gave
judgment on those claims on 26 June
2015.63
60 See para [69] above.
61 [citation redacted]. See para [24] above.
62 [citation redacted].
63 A summary of the salient aspects of that decision are set out at paras [168]–[170] below.
Analysis
(a) Preliminary comments
[75] My task is to determine whether each of the decisions that
Ms Brown challenges is susceptible to judicial review
and, if so, what relief
should be granted. In doing so, I shall:
(a) Explain the nature of each of the individual judicial
review applications and the specific orders that each
challenges;
(b) Identify relevant legal principles;
(c) Apply relevant principles to each of the specific applications;
and
(d) Explain my reasons for granting or refusing relief.
[76] I have already provided a summary of the circumstances that led to the decisions now under challenge.64 From the judicial perspective, it is impossible to read the numerous decisions given by Family Court Judges in the course of proceedings between Ms Brown and Mr Sinclair without appreciating the evident sense of frustration under which each of them laboured. That frustration seems to have been borne of what the Judges perceived to be unwarranted delays, on the part of Ms Brown, in the resolution in a timely way of what ought to have been relatively simple relationship property and domestic violence issues. There were also apparent
concerns about their need to consider repetitious and (sometimes) ill
conceived applications for protection orders. My sense
is that the Judges
regarded Ms Brown as someone who was deliberately flouting the process and
orders of the Court.
[77] So far as relationship property is concerned, the marriage was one of short duration. The financial value of the property in dispute was modest.65 The legal
issues arising out of the property dispute were not complex. In the
absence of the
64 See paras [1]–[11] above.
65 Generally, see para [43] above.
tangential disputes that enveloped the proceeding, all property issues were
capable of resolution relatively quickly and comparatively
inexpensively.
[78] So far as the protection order applications are concerned, there
were multiple proceedings. At least one was based on a
false allegation.66
Others seem to have been based on unreasonable perception rather than
reality. Ms Brown believed that Mr Sinclair was persistently
harassing her; Mr
Sinclair believed the opposite was true. Both beliefs were, I am sure,
genuinely held.
[79] I have no doubt that this sense of frustration influenced the
outcome of many of the decisions now in issue. While those
frustrations are
understandable, in human terms, a Judge must remove himself or herself from the
arena, put aside idiosyncratic behaviour
of the parties, and determine the
issues in a detached and dispassionate manner.
[80] I accept that is easier said than done. From personal experience at
both first instance and appellate levels, I can say
unequivocally that it is a
much easier task at the second stage. On appeal or review, this Court has the
benefit of a greater degree
of detachment, as well as an ability to see and to
understand the consequences of a series of independent decisions made by
different
Judges. The likely consequences of the collective group of decisions
is less likely to have been appreciated at the time each was
made.
[81] Ms Brown’s fundamental complaint is that she was shut out of
the decision- making process, either through the Court
dealing with an
application on a without notice basis, or by being debarred from participating
in a proceeding. A sense of injustice
inevitably affects a person who believes
he or she had been denied a say in legal proceedings that may affect them
adversely. For
that reason, a Court must always bring a sense of proportion to
decision-making that involves the potential (or actual) debarring
of a person
from bringing or defending proceedings.
[82] Peremptory orders of that ilk will typically provoke the litigant
concerned to respond by engaging in a procedural war within
the litigation,
thereby extending the
66 See paras [29]–[31] above.
nature of the issues that truly require determination, unduly prolonging the
proceeding, and throwing unnecessary cost on other parties.
Experience
demonstrates that type of reaction is often due to an intense sense of
injustice, as opposed to an act of spite.
[83] Those considerations explain why the law has developed in a way that requires Judges to hesitate before making orders that may deny a litigant the right to be heard on a particular issue, or worse, the right to pursue or defend a claim. Very rarely will it be appropriate for a Court to prevent a party from participating in a meaningful way in a proceeding at a relatively early stage of its progression through the judicial system. Properly, “unless” orders and those that immediately operate to debar a party from participating in a legal proceeding should be regarded as remedies
of last resort.67
(b) Judicial review: legal principles
[84] The applications that Ms Brown has brought are not appeals against the decisions in issue. Rather, they ask this Court to exercise its supervisory jurisdiction over public decision-making. It is important to distinguish between the powers that may be exercised by this Court on an appeal (on the one hand) and on a judicial review application (on the other). Save for cases in which appeals will lie only on questions of law, an appellate court will generally reconsider the merits of the
original decision afresh.68 As Elias CJ said, for the Supreme
Court, in Austin Nichols
& Co Inc v Stichting Lodestar: “Those exercising
general rights of appeal are entitled to judgment in accordance with the
opinion of the appellate
court”.69 By contrast, the judicial
review jurisdiction is primarily directed at questions of process, and does not
involve this Court pronouncing
on the merits of a particular application or
proceeding.
[85] Ordinarily, judicial review will lie where a decision-maker has
taken into account irrelevant considerations, failed to take
account of relevant
considerations,
67 See SM v LFDB [2014] 3 NZLR 494 (CA) at para [31](a), set out at para [117] below.
68 See Austin, Nichols & Co Inc v Stichting Lodestar [2007] NZSC 103; [2008] 2 NZLR 141 and Kacem v Bashir
[2010] NZSC 112; [2011] 2 NZLR 1 (SC).
69 Ibid, at para [16].
made an error of law, or was plainly wrong. The remedy is also available
where it can be said that a decision is “unreasonable”,
in a
commonly understood administrative law sense.70 The approach to
“unreasonableness” that I apply in this case, is to ask whether the
decision in issue was “beyond
the limits of
reason”.71
[86] The supervisory jurisdiction is based on the fundamental premise
that powers conferred on statutory bodies or tribunals can
be validly exercised
only within their true limits. As the High Court is a Court of unlimited
jurisdiction,72 it has power to determine those limits, and uses the
process of judicial review for that purpose. The nature of the jurisdiction
was
summarised succinctly by Arnold J, for Elias CJ and himself, in Ririnui v
Landcorp Farming Ltd:73
[1] ... Judicial review is a supervisory jurisdiction which enables
the courts to ensure that public powers are exercised lawfully.
In principle,
all exercises of public power are reviewable, whether the relevant power is
derived from statute, the prerogative or
any other source. The courts
acknowledge limits, however. These limits are reflected primarily in the notions
that the case must
involve the exercise of a public power, that even if the
court has jurisdiction, the exercise of power must be one that is appropriate
for review and that relief is, in any event, discretionary. ....
[87] For the purposes of this proceeding, the High Court has jurisdiction
to review decisions of a District Court, a Family Court
and the Tenancy
Tribunal. They each are judicial authorities of “limited
jurisdiction”.74
[88] The High Court’s powers of review are constitutional in nature. They are designed to promote the rule of law, and provide a means by which a remedy can be granted for a proved public law wrong. Every person whose own “rights, obligations, or interests protected or recognised by law” may have been adversely
affected by a determination of a “tribunal or other public
authority” has the right to
70 This concept has its origins in Associated Provincial Picture Houses Ltd v Wednesbury
Corporation [1947] EWCA Civ 1; [1948] 1 KB 223.
71 Webster v Auckland Harbour Board [1987] NZCA 80; [1987] 2 NZLR 129 (CA) at 131 (Cooke J), applied by
Thomas J in Waitakere City Council v Lovelock [1997] 2 NZLR 385 (CA) at 413.
72 Isaacs v Robertson [1984] 3 All ER 140 (PC) at 143.
73 Ririnui v Landcorp Farming Ltd [2016] 1 NZLR 1056 (SC); [2016] NZSC 62, at para [1].
74 Sometimes (but not pejoratively) called “inferior Courts”. Generally, see Auckland District Court v Attorney-General [1993] 2 NZLR 129 (CA) at 133, citing R v Chancellor of St Edmundsbury and Ipswich Diocese [1948] 1 KB 195 (CA) and R v Cripps, ex parte Muldoon [1984] QB 68 (CA) at 87.
seek judicial review of that determination. That right is expressly
recognised by s 27(2) of the Bill of Rights.
[89] The judicial review applications raise two issues of fundamental
importance:
(a) The first is access to justice. That value concerns the right of every person to have access to the Courts to obtain redress for any wrong done to him or her. The importance of the value is underscored by s 3 of the Legal Services Act 2011. It states that an object of that Act is “to promote access to justice by establishing a system that” both “provides legal services to people of insufficient means” and “delivers
those services in the most effective and efficient
manner”.75
(b) The second is a core principle of natural justice; namely, the need
for a court or tribunal that is seized of a dispute
to hear from both parties
before making a decision. It is the existence of this principle that explains
why rules of court generally
prescribe strict limits within which orders may be
made on a without notice basis.76
[90] Most of the judicial review applications raise one (or both) of those
issues. For example, Ms Brown asserts that:
(a) A number of the Family Court Judges exercised jurisdiction to
prevent her from being heard on substantive applications.
(b) A number of orders were made without giving her an opportunity to be adequately heard. That led, Ms Brown submits, to the exercise of
judicial discretions in an arbitrary and capricious
manner.
75 More generally, see Marteley v The Legal Services Commissioner [2016] 1 NZLR 633 (SC).
76 See Martin v Ryan [1990] NZHC 151; [1990] 2 NZLR 209 (HC) at 229 and Skelton v Family Court at Hamilton
[2007] NZHC 273; [2007] 3 NZLR 368 (HC) at para [90].
(c) The individual claims
(i) CIV 2013-470-425: Decisions of 10 October 2011, 22
December
2011, 21 February 2012 and 30 May 2012
[91] The first issue raised by Ms Brown concerns the decision made by
Judge Wills on 10 October 2011.77 This was made in the context of a
Domestic Violence Act application. The Judge made an order removing
information published about
Mr Sinclair and the proceedings brought by Ms Brown
“in the Google email forum”. The clear inference from the terms of
the order is that Ms Brown was expected to undertake whatever steps were
required to comply.78
[92] Ms Brown makes three complaints about this order. The first is that
she was not given notice of the hearing. The second
is that counsel recorded as
appearing on her behalf did not have her instructions to consent to the order.
The third is that she
could not have complied with the order without involving
“Google” in the process. That, she suggests, would have required
her
to take steps at an “international” level.
[93] There are two linked reasons why I do not need to determine Ms
Brown’s
complaints on the merits.
[94] Whatever may be the position in relation to personal notice of the
hearing being given to Ms Brown, her counsel did appear
at the hearing. From a
legal point of view, that meant that Ms Brown had an opportunity to be heard. To
the extent that Ms Brown
complains that her counsel did not have instructions to
consent to any orders, she must fail, as a matter of law.
[95] In Carrell v Carrell79 a similar issue arose. A wife, in proceedings under the Domestic Proceedings Act 1968, applied to set aside a consent order made by a Magistrate after hearing from her counsel. Although one distinguishing feature of
that case is that the wife was present in Court when consent was given,
the principle
77 See para [31] above.
78 [citation redacted]. See also para [31] above.
79 Carrell v Carrell [1975] 2 NZLR 441 (SC).
underlying the Court’s decision is of more general application. This
Court held that
counsel had ostensible authority to bind a client. Cooke J
said:80
I think that, in normal circumstances, if counsel appears for a party and
informs the Court on behalf of that party that he consents
to a certain order,
the Court is entitled to rely on the authority of counsel - as, indeed, is the
other party. Normally that is
so even if the client on whose behalf counsel
gives consent is not present in Court. A fortiori it is so if the client
is personally present and makes no demur. If counsel is exceeding his actual
authority, that is normally a
matter between him and his client (or his
instructing solicitor) and does not affect his apparent or ostensible authority
in the
eyes of the Court or the other party. I think that those
normal principles must apply under s 120 of the Domestic Proceedings
Act.
Particularly if the client is not personally present, it may at times be prudent
to inquire further; but that is a matter of
discretion and does not, as I see
it, go to jurisdiction.
[96] Although Cooke J observed that “conceivably”
circumstances could arise in which the Court had reason to doubt
whether counsel
was acting within the scope of his or her authority, he held that it was for the
Judge to raise any question, as
a matter of discretion, if he or she considered
an inquiry ought to be made.81 Accordingly, there being no
apparent reason why the Judge would need to inquire in this particular case, Ms
Brown was bound by the
consent given by her counsel.
[97] The second involves the issue being moot. I do not need to inquire
into whether Ms Brown was able to comply with
the order. The
information was removed, and no further issues have arisen.
[98] The Court does not generally embark on inquiries where resolution of
the issue will not determine a real controversy between
the parties. The
principle, from which the Court may depart in cases involving public
interest, was set out by McGrath
J, giving the judgment of the Supreme Court
in R v Gordon-Smith (on appeal from R v King).82 While the
authorities tend to be concerned with appeals, the same principles must apply on
an application for judicial review. In
Gordon- Smith, McGrath J
said:
[14] The traditional position taken in New Zealand has been that the
courts will not hear an appeal “where the substratum of the . . .
litigation
80 Ibid, at 445–446.
81 Ibid, at 446.
82 R v Gordon-Smith (on appeal from R v King) [2008] NZSC 56; [2009] 1 NZLR 721 (SC).
between the parties has gone and there is no matter remaining in actual
controversy and requiring decision”. This approach was
followed in
accordance with a principle referred to in Sun Life Assurance Co of Canada v
Jervis, where Lord Simon LC said:
“. . . it is an essential quality of an appeal fit to be disposed of by
this House that there should exist between the parties
a matter in actual
controversy which the House undertakes to decide as a living
issue.”
(Footnotes omitted)
[99] Following Judge Boshier’s adjournment of the “application” to debar,83 Judge Wills considered it on 22 December 2011. In doing so, she referred to those provisions of the Family Courts Rules 2002 that empower the Family Court to dismiss proceedings if one party fails to prosecute his or her claim or defence.84
Rules 195(1)(b) and 176(2) respectively state:
195 Dismissal if proceedings or defence not prosecuted
(1) An opposite party may apply to have dismissed—
...
(b) all or part of a respondent's defence, if the respondent has failed to
prosecute the defence or part of it.
....
176 Non-compliance with orders or directions
...
(2) If the respondent fails to comply with an order made, or a direction
given, by the Judge under rule 175, the Court may order that
the respondent be
allowed to appear at the hearing and defend the application only on terms that
the Court directs.
....
[100] Judge Wills said:85
[12] In considering this issue the Court is required to consider
three matters:
83 See paras [35] and [38] above.
84 Family Courts Rules 2002, rr 195(1)(b) and 176(2).
85 [citation redacted]. The Judge applied one of my decisions, in Roulston v Roulston HC Auckland CIV-2004-404-7120, 9 August 2005 at para [8], in which I had adopted a dictum of Eichelbaum CJ in Lovie v Medical Assurance Society Ltd [1992] 2 NZLR 244 (HC) at 253. Roulston was a case in which matrimonial property proceedings had been on foot for 14 years.
(a) Has there been inordinate delay;
(b) If so, is the inordinate delay excusable;
(c) Is [Ms Brown] likely to be seriously prejudiced by the delay. (d) Where
do the overall interests of justice lie.
[101] The Judge held:
(a) In circumstances where time to file a notice of defence had
been
abridged to 10 days, “the delay must be seen as
inordinate”.86
(b) Because of “the very limited pool of relationship property
assets”
there was prejudice to Mr Sinclair.
(c) An order for costs could not properly address the prejudice caused
to Mr Sinclair, because of the limited asset pool and
Ms Brown’s limited
means.87
[102] The Judge made no specific finding of “serious
prejudice”; I infer that she intended to use the word
“prejudice”
to encompass that concept. The Judge was concerned
that there was “a risk that the value of assets may in the end be less
than the costs that have been incurred”.88
[103] Judge Wills also considered reasons given by Ms Brown for
failing to prosecute her defence. She said:89
[21] [Ms Brown] travelled to America in September 2011 to [occupation
and nature of work redacted]. Her counsel’s memorandum
indicates that she
had been dependent on [payments from a third party] to survive and [nature of
employment redacted]. There has
throughout been an indication that [Ms Brown]
would have difficulty in arranging for her affidavits to be sworn but that this
could
be done.
[22] Counsel also indicated that there was difficulty in communication
as a result of [Ms Brown’s] intermittent access
to internet and
telephone. Despite that, a clear indication was given that affidavits could be
sworn by [Ms Brown] and returned
to New Zealand. Although [Ms Brown] is
no
86 Ibid, at para [17].
87 Ibid, at para [24].
88 Ibid, at para [20].
89 Ibid, at para [21]–[23].
longer represented the notice of change of representation and address for
service was not filed until 25 November 2011.
[23] The reasons proffered by [Ms Brown] for her non-compliance do not
provide a reasonable excuse.
[104] As a result of her findings, Judge Wills made the following
orders:90
[30] ...
(a) [Ms Brown] is debarred from further participation in the
substantive relationship property proceedings.
(b) The proceedings are set down for a formal proof hearing of two
hours duration.
(c) [Ms Brown] shall forthwith provide to [Mr Sinclair] with the keys
to the property at [address redacted] Tauranga and [Mr
Sinclair] may enter the
property and make a list of relationship property chattels located
there.
[105] Ms Brown challenges that decision. It had the effect of debarring Ms Brown from participating in the relationship property proceeding a mere six months after the relationship property proceeding was issued by Mr Sinclair, on 27 June 2011, and just over five months after it was served on 19 July 2011.91 This challenge is fundamental to those judicial review applications that attack relationship property decisions. This application raises important questions of access to justice, and
requires a review of authorities dealing with the circumstances in which
either an “unless” order, or one debarring a
party from
participating in a proceeding, may be made.92
[106] Ms Brown asserts that she had no notice that the question of debarment would be considered on 22 December 2011. Yet, on that day Judge Wills made her decision to debar Ms Brown from participating in the proceeding. No formal application to debar was ever filed.93 Accordingly, Ms Brown’s position is that she was shut out of the proceeding without a formal application having been made, or
having a proper opportunity to be heard on
it.
90 Ibid, at para [30].
91 See para [15] above.
92 Generally, see SM v LFDB [2014] 3 NZLR 494 (CA).
93 See para [38] above.
[107] Given my conclusions on the merits of the decision to debar, I do not need to deal with alleged procedural deficiencies. It is enough to say that when the effect of a decision will be to prevent a party from participating in a proceeding, a formal application should be filed with supporting evidence to which that other party can respond. In that way, the Judge hearing such an application has the ability to take account of all relevant factors before taking the draconian step of allowing one party to proceed in the absence of the other. Also, it will rarely be appropriate to make an order debarring participation without first giving the opportunity to a party to
comply with an “unless” order.94
[108] In her judgment of 22 December 2011, Judge Wills referred to a number
of facts on which Mr Sinclair relied to obtain an order
debarring Ms Brown from
defending the relationship property application. In particular, she
recorded:
(a) Ms Brown was served with the relationship property application on
19
July 2011. It had been filed on 27 June 2011.95
(b) A notice of defence was filed on 11 August 2011. That signalled
the possibility of orders being sought under s 15A and
32 of the Property
(Relationships) Act.96 The former concerns economic disparity. The
latter involves spousal maintenance.
(c) Although Ms Brown filed an affidavit as to assets and liabilities on
30
August 2011, no narrative affidavit had been filed.
(d) On 18 October 2011, Mr Sinclair had sought to have Ms Brown’s notice of defence struck out, her applications struck out for want of prosecution and for the allocation of a formal proof hearing. At that time, Ms Brown was still [occupation and nature of work redacted] in
the United States.97 On that day, Judge
Somerville ordered payment
94 See paras [117] and [118] below.
95 [citation redacted]. See also para [20] above.
96 See para [38](a) above.
97 [citation redacted]. See also para [32] above.
of costs by Ms Brown in the sum of $500 and directed that the
narrative affidavit be filed by 2 November 2011.
(e) Judge Somerville added that unless the narrative affidavit was
filed by that date, “there will be a consideration
of not allowing [Ms
Brown] to attend any Court hearing and prosecuting her case”. She
directed that the costs of $500 be paid
within seven days of Ms Brown’s
return from overseas. The Judge had been told that Ms Brown intended to return
to New Zealand
in early November 2011.
(f) On 10 November 2011, Judge Boshier had recorded that Ms Brown was in continuing breach of the order requiring her to file her narrative affidavit by 2 November 2011.98 Mr Sinclair renewed his (oral) application to have Ms Brown “debarred from further participating in the proceedings”.99 Judge Boshier extended the time for payment of the order for costs made by Judge Somerville to 17
November 2011.100
(g) Judge Boshier had directed that counsel for Mr Sinclair
file submissions on jurisdiction in relation to the
application to debar Ms
Brown from participating in the proceeding. Ms Brown’s submissions were
due by 26 November 2011.101 None were filed by
her.102
(h) The order for costs made by Judge Somerville in the sum of $500 had
not been paid.103
98 [citation redacted].
99 [citation redacted].
100 [citation redacted].
101 While I believe that Judge Boshier did intend to give Ms Brown an opportunity to file submissions in reply on the application to debar, I have some doubt as to whether that was made sufficiently clear in the orders that he made. A specific order directed counsel for Mr Sinclair to file submissions in relation to the jurisdiction to debar and the basis on which an order should be sought. But, as to a response, the Judge appeared to limit submissions to the Domestic Violence
Act proceedings and costs: see [citation redacted] set out at para [36] above. Such an
interpretation is also consistent with the Judge’s earlier observation that: “If I am of the view that the law permits [an order debarring] it, and it is fair and just, having regard to all the circumstances, I will make such an order”: ..., set out at para [35] above.
102 [citation redacted].
103 [citation redacted].
[109] Judge Wills analysed the jurisdictional basis for making an order
debarring a party from participating in a proceeding for
non-compliance with
Court orders or directions.104 The Judge identified the factors to
consider, before standing back to determine where the overall interests of
justice lay.105
[110] Judge Wills was not prepared to excuse Ms Brown’s failure to
act in a timely manner in respect of the proceeding.106 She
considered that, in the context of a case where time to file a notice of defence
had been abridged to 10 days, the delay “must
be seen as
inordinate”.107 Further, because of “the very limited
pool of relationship property assets” and the inability of an order for
costs to
address prejudice caused to Mr Sinclair an order debarring Ms Brown
“from further participation in the substantive relationship
property
proceedings” was made, and the proceeding set down for a formal proof
hearing.108
[111] I consider that the applicable legal principles on a decision to debar Ms Brown from participating in the relationship property proceeding are analogous to cases where an “unless” order is made. Judge Wills gave her decision without the benefit of the later judgment of the Court of Appeal, in SM v LFDB, in which it had pronounced on this topic.109 In that case, the Court of Appeal was concerned with an “unless” order which, through non-compliance, had the effect of debarring a party from participating in the proceeding as a result of its self-executing nature. The Court observed that it was the first occasion on which it had been asked to give
guidance on the circumstances in which an “unless” order might be
made in a relationship property case.110 As I have already said, it
is usual for an “unless” order to precede an order debarring because
it signals the final opportunity
for a party to comply with a Court imposed
requirement.
[112] SM v LFDB is a good illustration of the circumstances in which
an “unless”
order should be made. A relationship property proceeding had been
commenced in
105 [citation redacted]. See also para [39] above.
106 [citation redacted], set out at para [103] above.
107 [citation redacted].
108 [citation redacted]. See also, paras [101] and [104] above.
109 SM v LFDB [2014] 3 NZLR 494 (CA).
110 Ibid, at para [1].
Australia. The Australian Court declined jurisdiction on forum non
conveniens grounds. A proceeding was issued in the Family Court in March
2009. Various applications were filed in the context of that proceeding.
Contested applications were heard and determined on issues such as occupation of
the family home, the sale of two relationship
properties, discovery and removal
of a notice of claim.
[113] The Family Court Judge transferred the proceeding to the High Court
in October 2011, observing that some 23 interlocutory
applications had been
made, 53 affidavits filed and seven Court judgments or directions given in
respect of which appeals or applications
had been made to the High
Court.111 By the time the proceeding came to the High Court, a
number of orders for costs had been made. An “unless” order was
made
in respect of them. The costs were paid on the last day for
compliance.
[114] Another costs order was later made in the High Court. Failure to pay
led to a further “unless” order and, ultimately,
an order debarring
the party from participating in the hearing. The debarring order was made on 14
October 2013, some four and a
half years after the proceeding had first been
brought.
[115] The Court of Appeal dismissed the appeal, holding that the order was
appropriate. The Supreme Court gave leave to appeal.112
Ironically, in the context of a grant of leave to enable a party to argue
that an order debarring him from participating in the proceeding
ought not to
have been made, leave was subsequently revoked because the applicant had made a
further default in relation to an additional
order for costs.113
As a result, the Supreme Court did not express a view on the correctness
or otherwise of the approach that commended itself to the
Court of
Appeal.
[116] In SM v LFDB,114 the Court of Appeal approached
the correctness of the
“unless” and “debarring” orders made by the
High Court by reference to case
management principles set out in the High Court Rules. Relevant
factors drawn
111 Ibid, at paras [5]–[8].
112 LFDB v SM [2014] NZSC 131.
113 LFDB v SM [2014] NZSC 197; (2014) 22 PRNZ 262 (SC).
114 SM v LFBD [2014] 3 NZLR 494 (CA).
from that source were identified in the judgment of the Court,
delivered by
Stevens J:115
[26] The starting point is the objective in r 1.2 of the High Court Rules
(the Rules) “to secure the just, speedy and inexpensive
determination of
any proceeding or interlocutory application”. The case management regime
now included (since 2008) in Part
7 of the Rules is designed to achieve that
objective by isolating the issues and trying them fairly, swiftly and
efficiently,
with regard to what is at stake.
[27] Case management plainly matters to the immediate parties in any given
case. It matters to litigants in other cases too, because
it affects the time
their cases will take to come to trial and influences their expectations of the
Court; expectations matter because
they influence the settlements in which the
majority of civil proceedings end. And it matters to potential litigants –
the
public at large – because they should feel confident that the Court
can try cases fairly, quickly and efficiently. From the
perspective of a judge
dealing with any given case, all these interests are relevant; all form part of
the interests of justice.
[28] Obedience is the foundation upon which the Rules operate. From time to
time the Court encounters a party who chooses not to obey,
seeking perhaps to
avoid accountability to the other party or to secure an unfair settlement. In
such a case the interests of justice
require that the Court do whatever is
necessary to enforce obedience to its orders.
[29] Enforcement powers are found in r 7.48, which empowers a judge to
respond to breach of a procedural order by making any order
the judge thinks
just. Rule 7.48(2) sets out examples of orders the judge may make. Although an
“unless” order is not
listed, it is now well-established that r 7.48
permits a judge to make one. As the name suggests, an unless order is
peremptory;
it decrees that unless the specified action is taken by
the specified time, the stated sanction will result. An unless
order takes
effect automatically if it is not complied with. In other words, a party need
not apply to enforce the order. Any confusion
(and there appears still to be
some) as to the automatic effect of an unless order should now be resolved, in
light of Marcan Shipping [[2007] 1 WLR 1864 (CA) at para [13]]. It
follows that the appellant in this case need not have applied to Ellis J to
enforce the
second unless order.
(footnotes omitted)
[117] In articulating relevant principles, Stevens J made a number of
observations relevant to the present case. He said:
[31] The principles are these:
(a) As an unless order is an order of last resort, it is properly
made only where there is a history of failure to comply with earlier
orders.
115 Ibid, at paras [26]–[29].
...
(d) Justice may require that the party in default be relieved of the
consequences of the unless order where the Court is satisfied
that the breach
resulted from something for which that party should not be held responsible. The
party should not assume that belated
compliance will suffice.
...
(f) In deciding whether or not to excuse breach of an unless order the
question for the Judge is: what does justice demand
in the circumstances of this
case? Considerations in answering that question include:
(i) The public interest in ensuring that justice is administered
without unnecessary delays and costs.
(ii) The interests of the injured party, in particular in terms of
delay and wasted cost.
(iii) Any injustice to the defaulting party, although that
consideration is likely to carry much less weight in
the circumstances than
considerations (i) and (ii).
(Emphasis added)
[118] In EBR Holdings Ltd (in liq) v van Duyn,116 I made
the point that the Court of Appeal was “not laying down immutable
rules” as to when an “unless” order
would be justified.
EBR was a civil proceeding that was issued in 2009. I made an
“unless” order in 2016, over the opposition of counsel for
the
defendants, after it proved necessary to abort a lengthy trial due to their
conduct. I said:
[58] ..., read as a whole, I do not understand the judgment in SM v
LFDB to limit the circumstances in which an “unless” order can
be made to those where “there is a history of failure
to comply with
earlier orders”. While in the vast majority of cases that will be so, it
seems to me that such an order is
justifiable if there has been egregious
conduct on the part of a party which has caused significant expense to another,
with a lengthy
adjournment being required in consequence.
(Footnote omitted)
[119] However the test is crafted, the short point is that a Court must take care to ensure that parties are given an adequate opportunity to engage, and be heard, on applications that have the potential to produce a result that will act adversely on the
interests of a particular litigant. More so, care should be taken
before orders are
116 EBR Holdings Ltd (in liq) v van Duyn [2016] NZHC 1169 at para [58].
made that deny a person access to the Courts.117 The guiding
principle is a determination of where the justice of the case
lies.118
[120] With respect, I do not consider that it was open to Judge
Wills, on 22
December 2011 to make an order debarring Ms Brown from participating in the
relationship property proceedings. It was made in undue
haste. In my view,
the decision can be characterised as “unreasonable” in the
administrative law sense.119
[121] My reasons for reaching that view can be stated shortly:
(a) The order debarring Ms Brown from participating in the proceeding
was made before any “unless” order.
(b) Contrary to the Judge’s conclusion, there was no
“inordinate” delay.
Even in circumstances where there has been an abridgement of time to file a notice of defence,120 it is difficult to see how it can be said that a period of about six months from the date of issue of the proceedings can justify a finding that a respondent to a proceeding is guilty of “inordinate delay”. All of the authorities dealing with the question of debarment in similar circumstances involve cases that have been
before the Courts for many years, rather than months.
(c) The fact that Ms Brown was in the United States from September
2011 [occupation and nature of work redacted] ought to have been given much greater weight in assessing whether the delay was inordinate. For a person who is working overseas and has limited means, the ability to comply with orders of the type in issue is much more difficult than the various judgments seem to acknowledge. In my view, too much criticism was made of Ms Brown’s inability to
respond within the times directed.
117 See para [89](a) above.
118 SM v LFDB [2014] 3 NZLR 494 (CA) at para [31](f).
119 See para [85] above.
120 See my reservations about the appropriateness of the order abridging time, expressed at para [27]
above.
(d) There was no serious prejudice to Mr Sinclair, let alone a prejudice that could justify an order debarring Ms Brown from participating in the proceeding. As Ms Brown was out of the jurisdiction, Mr Sinclair had control of items of relationship property. To the extent that he was complaining about Ms Brown leasing the family home from April
2011, the tenants had vacated the property by 4 June
2011.121 Mr
Sinclair did not issue relationship property proceedings until 27
June
2011. The order debarring Ms Brown was made about six months’
later, on 22 December 2011.
(e) In any event, the family home was held in trust. Separate proceedings were brought in this Court in relation to the need to account for rent received. They were determined by Brewer J on 26 June 2015.122 If there were difficulties as at the time the application to debar was pursued, they could have been dealt with through the type of accounting proceeding used in this Court. The parties chose the
ownership model for the family home. No complaint can be made about the
inconvenience of High Court proceedings in that context.
(f) The decision to debar participation in the relationship
property proceeding seems to have been unduly influenced
by the way which Ms
Brown had previously made allegations of domestic violence. This had put
her credibility in issue with
the Family Court Judges.
(g) Standing back, the interests of justice did not demand that Ms Brown be debarred from participating. She was entitled to be heard on questions relating to the “just division” of relationship property. While it may have been necessary to defer a hearing for longer than the Family Court might have liked, the lack of any real prejudice to
Mr Sinclair did not justify the extreme step taken by Judge
Wills.
121 See para [56] above.
122 [citation redacted]. See paras [166]–[170] below.
(h) To the extent that it may have been necessary to do so, Mr Sinclair
could have been compensated in costs. While Ms Brown
lacked the means to make
an immediate payment, that could have been directed by way of adjustment on the
division of relationship
property.
[122] The next issue concerns a decision made on 21 February 2012. Ms
Brown applied for leave to file an affidavit out of time
in the relationship
property proceeding.
[123] Ms Brown’s application for leave was dated 13 February
2012. In her application she explained that she was
not legally represented,
and highlighted the difficulties involved in having affidavits sworn while she
was overseas. At that time,
she was still in the United States. Ms Brown added
that she was unaware of the need to file an affidavit by 2 November 2011. Her
application was put before Judge Wills on 21 February 2012. There does not
appear to have been any hearing. The Judge issued a
Minute in these
terms:
[Ms Brown] has been debarred from defending the proceeding and accordingly
leave to file out of time cannot be granted. There will
be a formal proof
hearing on 6 March 2012 to deal with relationship property matters.
[124] A formal proof hearing took place on 6 March 2012. On 30 May 2012, Judge Wills gave a reserved judgment adverse to Ms Brown.123 After setting out relevant facts, as distilled from the admitted affidavits before her, the Judge outlined the facts and legal issues she had to determine. She said:124
[9] This is a marriage of short duration and it is necessary to determine: (a) The assets that were owned wholly or substantially by each
spouse at the date of relationship commencing.
(b) Whether the contribution of the applicant to the marriage has
clearly been disproportionately greater than the contribution
of the
respondent.
(c) If so, what is the appropriate division of relationship
property?
123 [citation redacted], set out at para [43] above.
124 [citation redacted].
(d) What is the status of assets acquired during the relationship and their
value?
(e) Whether post-separation adjustments are required: (i) For occupancy of the Trust property.
(ii) For sale of chattels at undervalue.
(iii) For compensation for storage costs; and
(iv) For damage to chattels. (f) [redacted].
[125] Having determined those questions, the Judge expressed her conclusion
as follows:125
[37] Orders are made to give effect to these determinations as
follows:
(a) The chattels in the possession of the applicant shall be his sole
and separate property.
(b) The chattels in the respondent’s possession shall be her sole and
separate property.
(c) The respondent shall take as her separate property the proceeds of
chattels sold by her.
(d) The applicant will take as his separate property the one share of
the respondent in [Mr Sinclair’s company]. To
give effect to that order
the respondent shall within 21 days from the date of these orders sign any
documents necessary to transfer
her one share to the applicant.
(e) In the event that the respondent fails to sign the share transfer
and provide it to the applicant, the registrar of the
Family Court is authorised
to sign the transfer on the respondent’s behalf.
(f) The respondent shall take as her separate property all bikes in
her possession.
(g) The applicant shall take as his separate property all assets in
his name, possession or control.
(h) The respondent shall take as her separate property all assets in
her name, possession and control.
(i) Each party shall be solely responsible for any liability in their
name.
125 [citation redacted].
(j) The applicant is to pay to the respondent the sum of $16,837.00.
From that sum may be deducted any costs awarded in this or any other
proceeding in which these parties have been involved.
[126] Counsel agreed that if I were to hold that the decision to debar Ms Brown from participating should be set aside, the subsequent decisions of 21 February
2012126 and 30 May 2012127 should suffer the
same fate. Both were made in
consequence of the decision to debar, and each was infected by the error that
led to that decision being reached.128 The decision to award costs
in favour of Mr Sinclair on 17 December 2012129 falls into the same
category.130
(ii) CIV 2013-470-424 and CIV 2013-470-485: Decisions of
30
March 2012 and 21 May 2012
[127] Ms Brown applied for leave to file and serve a notice of defence in the Domestic Violence Act proceedings and an affidavit in response to that of Mr Sinclair.131 When her application was made, Ms Brown was in the United States. Around this time, Ms Brown had attempted on a number of occasions to file documents from that country by email and courier, but not all of these were accepted for filing by the Registrar. One example is a lengthy affidavit in response to Mr
Sinclair’s application for a protection order. It contained a
detailed account of relevant events from Ms Brown’s perspective,
but was
never put before a Family Court Judge. The affidavit had been sworn in Nevada,
8 February 2012. Probably correctly, the
Registrar took the view that they did
not fully comply with the applicable rules of court. In any event, Judge Coyle
had no reason
to believe that this relevant evidence existed.
[128] For reasons I have already outlined, Judge Coyle declined to grant
leave.132
In my view, it was inappropriate for the Judge to do so. Ms Brown remained overseas and it does not appear that anything had occurred after Judge Wills decided
that the application must be heard on notice to require permanent
relief, by way of a
126 See paras [40]–[42] above.
127 See para [43] above.
128 See paras [40]–[43] above.
129 See para [44] above.
130 See paras [44] and [45] above.
131 See paras [51]–[53] above.
132 See para [52] above.
protection order. In addition, while absolving Judge Coyle from any blame
for this,133 he did not take into account the detailed response
provided earlier by Ms Brown. Had he been able to do so it would have been
clear
that there were facts in issue that required the evidence of both parties
to be tested by cross-examination. In those circumstances,
and without
opposition from Mr Sinclair, the order refusing leave to defend must be set
aside and the protection order discharged.
[129] Once Judge Coyle had refused Ms Brown the opportunity to be heard, I
have no doubt that, on the basis of the untested affidavit
evidence of Mr
Sinclair, it was open to him to make a protection order on 30 March 2012.
However, that order must be set aside because
it was improperly made without
hearing from Ms Brown, for the reasons I have given.
[130] On 21 May 2012, Judge Coyle determined questions of costs on the
Domestic
Violence Act application. He did so in chambers, on the papers. The
decision of 21
May 2012 represented Judge Coyle’s determination of costs on Mr
Sinclair’s successful application for a protection order
and Ms
Brown’s discontinuance of her second application for such an order. The
Judge ordered that she pay costs in the sum
of $2,290, together with a sum of
$862.50 that was ordered in respect of her discontinued application. The orders
were made in the
context of Ms Brown being in receipt of legal aid. Ms Brown
applies to set aside those decisions as to costs.
[131] Ought the Judge to have made orders for costs against Ms Brown on 21
May
2012? As I have held that the Judge ought to have allowed Ms Brown to have
been heard on Mr Sinclair’s application, that order
for costs must fall
away. But, in my view, the position is different so far as costs
ordered on discontinuance of Ms
Brown’s own application for a
protection order are concerned.
[132] In my view, the order that Ms Brown pay $862.50 on her discontinued application should stand. I do not consider the amount in respect of which costs was ordered was unreasonable. However, there is a further question: did the Judge have
grounds to find “exceptional circumstances” of a type that
would enable costs to be
133 See para [127] above.
awarded against Ms Brown personally, notwithstanding her grant of legal aid?
On that point, Judge Coyle said:134
[26] The issues here are similar to that of the issues to be considered under the Legal Services Act 2011. It is my view that [Ms Brown] has pursued an application that lacks merit and that coupled with the fact that the second application was, in essence, a re-statement of the first application, and given the failure to disclose that the first application was struck out, a clear inference can be drawn in my view that the filing of the application was simply to provoke and harass [Mr Sinclair]. Given the particular facts of this case I am satisfied that indemnity costs are appropriate. The case law in relation to indemnity costs makes it clear that such costs are exceptional (see: Radfords Ltd v Advertising Works New Zealand Ltd HC Auckland CIV-
2006-404-325, 6 April 20-0-6) but I have reached a clear view that the facts of this case justify such an exceptional situation to justify indemnity costs
and I make an order that [Ms Brown] pay [Mr Sinclair’s] costs in the sum of
$862.50.
[133] While the Judge’s response to the discontinued application might be seen as stern, I cannot say it was unjustified. There had been a prior application which Ms Brown had been forced to withdraw after an allegation had been made that she had given false evidence.135 In that situation, a personal order for costs in a sum of
$862.50 was open to the Judge. This aspect of the application for judicial
review must fail.
(iii) CIV 2013-470-419: Decision of 14 May
2013
[134] On 14 May 2013, Judge Geoghegan gave judgment on two applications made by Mr Sinclair. The first sought an “unless order” to prevent Ms Brown from taking further steps in any of her Family Court proceedings until she had paid costs to Mr Sinclair in the sum of $12,478. That amount represented the total of costs awarded against Ms Brown in various judgments given to that time. The second was for an order for security for costs in relation to one of Ms Brown’s applications, for a
protection order.136 The Judge made orders that Ms Brown give
security for costs to
Mr Sinclair in the sum of $10,000 and made an order staying all applications
by
Ms Brown until she paid all outstanding costs to Mr
Sinclair.137 Ms Brown contends
134 [citation redacted].
136 [citation redacted].
137 [citation redacted]. ..., set out at para [60] above.
that those decisions were ultra vires the powers of the Family Court,
or alternatively unreasonable.
[135] Judge Geoghegan heard this application on 8 May 2013, and gave
judgment on 14 May 2013. Mr Sinclair was represented by counsel,
at the
hearing, while Ms Brown appeared on her own behalf. In his reserved judgment,
the Judge chronicled the proceeding to that
date, highlighting various orders
for costs that had been made against Ms Brown.
[136] In determining whether to make an “unless” order, the
Judge considered his jurisdiction to do so. Rightly, he
concluded that
jurisdiction did exist.138 In determining that the applications
should be granted, Judge Geoghegan said:139
[62] A decision in these proceedings must not only focus on
the submission of [Ms Brown] that she has a right to prosecute
her application
for a protection order. It must also focus on [Ms Brown’s] conduct and
the rights of [Mr Sinclair] to enjoy
the fruits of any costs award in his
favour. Call it what you may, natural justice, rights to justice or access to
justice does not
permit an individual to assert an inviolable right to prosecute
a claim in circumstances where that individual has consistently
failed
or refused to comply with Court orders and directions or their obligations to
another party imposed through an award of
costs. The Court is required to
balance the various rights and obligations of the parties in determining an
application of the kind
being considered in this case.
[63] There are a number of reasons why I consider the balance in this
case to weigh in favour of the applications being granted.
They are as
follows:
(a) [Ms Brown] has consistently failed or refused to meet
previous orders made in respect of costs. That failure
or refusal has taken
place since 10 November 2011 when she was ordered to pay [Mr Sinclair] the sum
of $500 costs forthwith. It
appears unlikely that she will meet those costs at
any time in the near future, whether that is because she has no intention of
meeting
those costs or whether she is simply unable to.
(b) The approach of [Ms Brown] to the variety of applications before
the Court and to which I have already made reference is
to consistently fail to
comply with any directions made by the Court.
(c) I regard the application by [Ms Brown] for a protection
order to be largely a revisiting of matters which have
been
138 Applying Haden v Wells [2010] NZCA 591.
139 [citation redacted].
the subject of two previous applications made by her, both of those applications having been subsequently withdrawn by her at her request. The allegations are vague and it is clear that at least in respect of one allegation of violence made by [Ms Brown], that allegation and subsequent complaint to the police was false, resulting in a criminal prosecution against her and her subsequent conviction. These matters must weigh heavily against any prospect of success in respect of her application. My assessment of the application, based on the evidence currently before the Court is that there is little prospect of [Ms Brown] being successful. I acknowledge that this assessment comes without the benefit of having heard any evidence and is necessarily limited to that.
(d) [Ms Brown] has advised me that she proposed to call
evidence from 20 witnesses. No details were provided as to
the nature of the
evidence of those witnesses and indeed no request was made of [Ms Brown] for
those details. On the face of it
and assuming that that number of witnesses
were to be called by [Ms Brown] the Court could conservatively estimate a
hearing of no
less than three days in duration. [Ms Brown] has acknowledged
and confirmed that she would not be in a position to meet any
costs award and
I consider that in the event of [Ms Brown] being unsuccessful, an award of costs
in favour of [Mr Sinclair] would
be highly likely. In those circumstances, and
taking into account the history of the proceedings between the parties I
consider
an order for security for costs to be entirely appropriate.
(e) While the Court should be reluctant to provide any barrier to a
party seeking protection from domestic violence that does
not mean that the
Court should not impose appropriate measures for security for costs or by way
of making an unless order in appropriate
circumstances. In that regard the
Court is also required to take into account the impact both emotionally and
financially of the
proceedings upon a respondent. While the Court should, I
suggest, only take these steps in exceptional cases I regard this as one
such
case. There is a point at which the repeated filing of applications followed
by their withdrawal becomes an abuse of process
of the Court. I consider [Ms
Brown] to have reached that point in these proceedings.
(f) While [Ms Brown] is currently unrepresented I take into account the fact that on both previous occasions when she has applied for a protection order she has been represented by counsel. There is a point at which it is completely appropriate for the Court to endeavour to impose order in respect of protracted proceedings particularly where proceedings were initiated by a party who has been unwilling to comply with any Court directions or orders. This is such a case.
[137] As was the position when Judge Wills debarred Ms Brown from defending
the relationship property proceedings, the Court of
Appeal had not given
judgment in SM v LFDB,140 when Judge Geoghegan made his
decision on the “unless” order application. I have already set out
in some detail the principles
applied by the Court of Appeal in SM v
LFDB.141 I need not repeat them.
[138] In my view, on the application of those principles, the
“unless” order and the order for security for costs cannot
stand.
Having said that, Judge Geoghegan’s response to the applications is
mitigated somewhat by absence of guidance of the
type given by the Court of
Appeal in SM v LFDB, and the need for the Judge to proceed on the basis
that the earlier orders for costs had been validly imposed.
[139] Although Ms Brown had become involved in a wealth of proceedings in
the Family Court, they had been initiated both by Mr Sinclair
and her. Many of
the applications can be traced back to the sense of injustice that she felt from
orders that prevented her from
being heard on the relationship property
proceeding, and a Domestic Violence Act proceeding brought by Mr Sinclair.
The
first proceedings had been issued on 27 June 2011. By the time Judge
Geoghegan made the “unless” order in issue on 14
May 2013, they had
been on foot for less than two years.
[140] Although I recognise that Judge Geoghegan was obliged to treat all
extant orders for costs as having been validly imposed,
given the findings I
have made and the orders for costs that I will quash, the order for security for
costs made by Judge Geoghegan
cannot be justified. The relationship property
issues had already been resolved and the effect of the order that Judge
Geoghegan
made was to prevent Ms Brown from pursuing domestic violence issues
and maintenance applications. The order for security for costs
had a draconian
effect and, notwithstanding the Judge’s reasoning, meant that she was
denied access to justice on
insufficient grounds.
[141] The breadth of the “unless” order is also problematic.
It purported to relate to
all proceedings brought by Ms Brown in the Family Court. As is
explained in SM v
140 SM v LFDB [2014] 3 NZLR 494 (CA).
141 See paras [112]–[117] above.
LFDB, an unless order is a remedy of last resort and is directed to a particular application. The order made by Judge Geoghegan purported to go wider than the particular application with which he was dealing. That was inappropriate. Other proceedings were yet to be resolved, and how they would be determined on their individual facts could not be known. A useful analogy can be drawn with declarations that a person is a vexatious litigant, an order that can only be made by the High Court. Where such an order is made, proceedings may still be commenced
with leave of the High Court.142 On an application to have a
person declared a
vexatious litigant, the High Court will consider whether a declaration is
appropriate against the background of the circumstances
in which the relevant
proceedings were issued, and the extent to which a complaint about the
litigant’s participation arose
in the context of a proceeding or
application commenced by another person. For example, see Attorney-General
v Siemer.143
[142] In my view, both the order for security for costs and the unless
order should be set aside. In context, both orders were
unreasonable.
(iv) CIV 2013-470-495: Decision of 12 June 2013
[143] On 12 June 2013, Judge Geoghegan made an order dissolving Mr
Sinclair’s and Ms Brown’s marriage.144 Ms Brown does
not dispute the appropriateness of the dissolution order. Her complaint is
with the Judge’s finding
that the parties separated on 25 February
2011, rather than some time during the period between 7 and 13 March
2011.145 Duffy J did not consider that the grounds advanced by Ms
Brown were sufficient to interfere with the order for security for costs
that
the Associate Judge had previously made in respect of this judicial review
proceeding.146
[144] When the judicial review proceedings were called on 31 October 2016, I inquired of Mr Eggleston whether his client was prepared to waive the benefit of the stay granted by the Associate Judge to enable me to deal substantively with this, as
well as all other judicial review proceedings. Mr Eggleston took
instructions from
142 Judicature Act 1908, s 88B.
143 Attorney-General v Siemer [2014] NZHC 859 (Ronald Young and Brown JJ).
144 [citation redacted]. See paras [62] and [63] above.
145 See para [14] above.
146 [citation redacted]. The Judge declined an application to recall this judgment: [citation redacted].
Mr Sinclair, who was present in Court. On the basis that Mr Sinclair has
waived the benefit of the stay, I deal with this challenge
on its
merits.
[145] Judge Geoghegan heard evidence from both Mr Sinclair and Ms Brown on
the dissolution application. Each appeared in person
and cross-examined the
other. The Judge correctly directed himself on the law. He then considered the
competing evidence on the
date of separation.
[146] The Judge accepted Mr Sinclair’s evidence that the parties had
separated on
25 February 2011, as asserted by Mr Sinclair.147 The
Judge’s discussion of the
evidential issue was in these terms:
[8] The evidence of [Ms Brown] was that the parties continued
to maintain a domestic relationship, that they slept
in the same bed most nights
until 13 March 2011, that they ate meals together and that they both lived at
her parents’ home.
She stated that they also spent time at the [location
redacted] property together.
[9] I have significant concerns in relation to the evidence given by
[Ms Brown]. [Ms Brown] acknowledged during this hearing
that she had sworn two
affidavits where she had referred to the date of separation. In one affidavit
she had stated at paragraph
3(c), “We separated on or about late February
2011”. In another affidavit sworn on 20 February 2012 she stated at
paragraph
2(b), “I accept 26 February 2011 as being the date of
separation”. She then described in some detail in that
paragraph what had
happened on that day.
[10] While [Ms Brown] asserted today that the reason that she made those
statements was because she did not truly appreciate
the nature of separation, I
simply do not accept that evidence. Most people consider separation for what
it is, a cessation
of a relationship between two individuals. They do
not tend to consider the legal niceties of separation. I think that the
affidavit evidence previously sworn by [Ms Brown] in fact depicts her view of
the reality of the position, namely that
separation between these parties
occurred in late February 2011.
[11] I was also concerned by [Ms Brown’s] assertion made in the
course of her giving oral evidence today that the parties
were sleeping in the
same bed most nights until 13 March. That of course had never been asserted by
[Ms Brown] in her affidavit
evidence before the Court. When I put that to her,
she stated that it was simply too difficult for her to talk about. It was an
issue which is apparently too personal for her to contemplate. That,
however, does not explain why she was able to refer
to one specific occasion
where she alleges that on 13 March the parties were in bed
together.
147 [citation redacted].
[12] [Mr Sinclair] for his part does not accept that allegation and I
need to say that because of my concerns around [Ms Brown’s]
credibility, I
prefer [Mr Sinclair’s] evidence to that of [Ms Brown]. While [Mr
Sinclair] has accepted many of the things
which [Ms Brown] has said such as
payment of funds into a joint account and payment of half of the power account,
those matters do
not detract from my very clear assessment that the relationship
between these two parties had come to an end on 25 February 2011.
The fact that
there may have been intermittent contact between them after that date does not
mean that they ceased to be separated.
[147] The first reason why this application should be dismissed is that the
Judge heard evidence from the parties and made a finding
open on the evidence.
The fact that Ms Brown does not approve of the finding made cannot affect its
validity for judicial purposes.
There is no basis on which judicial review of
this decision could lie.
[148] A second reason for dismissing this application is that the order made is not challenged in itself. To that extent, the finding of fact is collateral to the order for dissolution of marriage. While Ms Brown has concerns that it may adversely impact on her ability to claim in respect of relationship property proceedings, the Family
Court maintains a general discretion as to the date of valuation of any
assets.148 If
the finding would otherwise cause hardship to Ms Brown, the Family
Court’s
discretion to adjust the date of valuation should protect her
adequately.
[149] A third reason is that if Ms Brown were successful, the dissolution
order would need to be set aside. I suspect Ms Brown
did not appreciate the
possibility that that might occur.
[150] Section 39(2) of the Family Proceedings Act 1980
provides:
39 Grounds for dissolution
...
(2) The ground for the order is established in law if, and only if, the court
is satisfied that the parties to the marriage or civil
union are living apart,
and have been living apart for the period of 2 years immediately preceding the
filing of the application
for an order dissolving the marriage or civil union;
and no proof of any other matter shall be required to establish the
ground.
....
148 Property (Relationships) Act 1976, s 2G.
[151] Mr Sinclair filed the application for dissolution of marriage on 26
February
2013. He asserted that the date of separation was 25 February 2011. Ms
Brown contended it was sometime in March 2011. In terms
of s 39(2) of the
Family Proceedings Act, no order for dissolution could have been made if Ms
Brown’s evidence on the date
of separation had been correct. That is
because the parties would not “have been living apart for the period of
two years
immediately preceding the filing of the application for an order
dissolving the marriage” in terms of s 39(2).
[152] Ms Brown’s application for judicial review of the dissolution
decision will be
dismissed.
(v) CIV 2015-470-050: Decisions of 11 July 2014, 6 August 2014,
22
August 2014, 19 September 2014, 20 November 2014 and 6 March
2015
[153] A case management conference was held on 11 July 2014, over which Judge Wills presided. This took place in the context of the Domestic Violence Act application brought by Ms Brown. By that stage, Mr Sinclair had sought a further “unless” order, in relation to proceedings filed after Judge Geoghegan’s directions of
14 May 2013.149 Judge Wills considered directions
previously made by Judge
Somerville on 25 June 2014, in relation to Ms Brown’s ability to seek
an administrative variation of the attachment order.
As a result of Judge
Somerville’s intervention Ms Brown had made an application after that
hearing and was awaiting the outcome.
[154] Judge Wills also considered the spousal maintenance application which, Ms Brown told her, arose from her inability to live on income from which moneys subject to the attachment order were to be deducted. Because of other extant applications in both the High Court and the Family Court, Judge Wills suspended the attachment order for a period of one month and directed a further conference on 13
August 2014.
149 See para [60] above.
[155] Mr Sinclair was concerned about additional proceedings that had been filed by Ms Brown and the likelihood there might be more before the next conference. In her judgment of 11 July 2014, as a result of submissions made before her, Judge Wills recorded:150
[18] Mr Eggleston [for Mr Sinclair] has drawn my attention to his
request that no further applications be filed prior to 13 August.
There have
been a veritable flood of applications and quite frankly every application that
could be contemplated has been filed
in this Court or in the High Court. It is
time for everyone to take a step back and deal with what is in front of the
Court now
and I direct that there be no further applications filed until this
matter is the subject of the next conference on 13 August.
[19] I particularly note that [Ms Brown] opposes that order. She has
raised the spectre of behaviour on the part of [Mr Sinclair]
which might warrant
or require the filing of a without notice application under the Domestic
Violence Act 1995. I have seen
in this Court a number of
applications of that nature made. Those have, in general, not been dealt with
on a without notice
basis, certainly not in the last year or two.
[20] Applications under the Domestic Violence Act, if
contemplated, should not, in my view, warrant any without
notice
proceeding. I am satisfied that the parties should file no further
applications until 13 August and until a decision
can be made. I have been
asked by [Ms Brown] to record her objection to this specifically and I have done
so.
[21] [Ms Brown] has raised the issue of her current application for a
protection order – in fact there is a protection
order application before
the Court already. There would clearly not be any further need for another
protection order to be filed.
[156] Ms Brown also challenges subsequent decisions in relation to the Domestic Violence Act application that was before Judge Wills. The additional decisions in issue were given by Judge Somerville on 6 August 2014, Judge Wills on 22 August
2014, Judge Twaddle on 19 September 2014 and Judge Geoghegan, on 20
November
2014 and 6 March 2015 respectively:
(a) On 6 August 2014, Judge Somerville adjourned a judicial
conference
scheduled for 13 August 2014 for a Registrar’s review on 18
August
2014, at which time other applications were to be addressed. Directions made on 11 July 2014 continued in effect pending the
review.
150 [citation redacted].
(b) It is unclear what happened at the Registrar’s review on 18
August
2014. But, on 22 August 2014, Judge Wills, after indicating an “appeal” had been set down for 4 September 2014, adjourned the proceeding until 22 September 2014. It appears that the Judge intended to refer to Ms Brown’s application for judicial review of orders for security for costs made by Associate Judge Doogue, the hearing for which began on 4 September 2014.151 As it happened, the hearing of the judicial review application took two sitting days to complete. The delay in Duffy J delivering her judgment is explicable
by reference to both the complexity that had attended the applications and
the many post-hearing submissions and memoranda that were
filed between 8
September 2014 and 19 December 2014.152 The Family
Court’s directions that followed the adjournment granted by Judge Wills on
22 August 2014 must be considered in that
context.
(c) On 19 September 2014, both Ms Brown and counsel for Mr Sinclair appeared before Judge Twaddle for a case management conference. That conference had been convened with regard to Ms Brown’s application for “lump sum spousal maintenance and ... an interim maintenance order”.153 The Judge referred to other proceedings in the Family Court, and recorded Mr Eggleston’s submission that a fixture allocated for 3 October 2014 in respect of the maintenance applications should be deferred until (among other things) the High Court judicial review application had been determined.154 Judge Twaddle vacated the 3 October hearing date. A further conference was to be convened in November 2014 to monitor progress in the
High Court proceeding.
151 [citation redacted].
152 Post-hearing submissions and memoranda were filed on 8 and 11 September by Ms Brown, on
29 September by Mr Sinclair, on 7, 10 and 13 November by Ms Brown, on 18 November by Mr Sinclair, on 25 November by Ms Brown, on 28 November by Mr Sinclair, on 5 December by Ms Brown, on 18 December by Mr Sinclair, and on 19 December by Ms Brown.
153 [citation redacted].
154 [citation redacted].
(d) On 20 November 2014, Judge Geoghegan recorded that he had “forwarded a request to Judge Druce as to whether he still wishes to deal with this matter”. The maintenance application had come before Judge Druce after it had been filed in Auckland.155 The application was later transferred to Tauranga. For present purposes, it is the indefinite adjournment of the applications before the Court that is of
concern to Ms Brown.
[157] I have already outlined the nature of each of the decisions in
issue.156 The substance of Ms Brown’s complaint is that the
Court consistently adjourned her applications without any hearing because
of the
outstanding judicial review proceedings, with which I am now dealing. Indeed,
on 11 July 2014, Judge Wills commented that
any contemplated applications under
the Domestic Violence Act “should not ... warrant any without notice
proceeding”
and that “the parties should file no further
applications until 13 August and a decision can be made”. That was the
date of the next conference fixed for the proceeding.
[158] Undoubtedly, the difficulties encountered by all concerned in
relation to these proceedings had reached the point at which
the Family Court
Judges considered they were being swamped by unnecessary applications, not all
of which justified their attention;
particularly, on a without notice
basis.
[159] But, standing back, it was wrong in principle to put off
indefinitely proceedings brought under the Domestic Violence
Act. That statute
contemplates that every application will be determined on its own merits. That
is emphasised by s 18 which makes
it clear that when a protection order is
granted in favour of one party, the Court is not entitled to make a reciprocal
order unless
a proper application has been made by that other party and
determined in accordance with the Act.157
[160] The laudable objects of the Act are to reduce and prevent
domestic violence.158 What happens when one party to a
relationship abuses the process to
155 See paras [64] and [156](d) above.
156 See paras [155] and [156] above.
157 Domestic Violence Act 1995, s 18.
158 Ibid, s 5(1).
harass the other? And, at what point can a Court validly determine that
persistent applications amount to an abuse of process? The
perennial problem of
a person who “cries wolf” raises problematic issues for the Court in
deciding whether it can ignore
any particular application of this type. Unlike
property, it is the safety of a person that is at risk. No Judge would want to
ignore an application of this type when to do so may bring about tragic
consequences.
[161] No person will be allowed to abuse the processes of the Court. But, preventing someone from pursuing an application (whether by debarring or through not allocating a hearing date) is not a remedy contemplated either by the Domestic Violence Act or those specific provisions of the Family Courts Rules that deal with applications under that Act.159 The question is whether there are any other means available to a Family Court Judge who is faced with a party who persistently brings proceedings out of spite. Or, more likely in this case, out of a perception by Ms Brown that she is being psychologically abused by Mr Sinclair when, objectively,
that perception may not be justified.
[162] This type of situation causes a dilemma for Judges at all levels of
the judicial system. Short of having someone declared
a vexatious litigant, the
Court remains obliged to deal with all applications filed before it, however
lacking in merit they might
be.
[163] Some solace may be found in a provision in the Senior Courts Act
2016, which comes into force on 1 March 2017. Section 166
gives jurisdiction to
a Judge of the High Court to make an order restricting someone from commencing
or continuing a civil proceeding.
That jurisdiction may be exercised in
respect of Courts other than the High Court. The order may be
“limited”, “extended”
or “general” in
nature. The grounds on which an order might be made are set out in s 167 of the
Senior Courts Act:
167 Grounds for making section 166 order
(1) A Judge may make a limited order under section 166 if, in
civil proceedings about the same matter in any court
or tribunal, the
Judge
159 Family Courts Rules 2002, rr 304–332.
considers that at least 2 or more of the proceedings are or were totally
without merit.
(2) A Judge may make an extended order under section 166 if, in at least 2
proceedings about any matter in any court or tribunal,
the Judge considers that
the proceedings are or were totally without merit.
(3) A Judge may make a general order if, in at least 2 proceedings about any
matter in any court or tribunal, the Judge considers
that the proceedings are or
were totally without merit.
(4) In determining whether proceedings are or were totally without merit, the
Judge may take into account the nature of any interlocutory
applications,
appeals, or criminal prosecutions involving the party to be restrained, but is
not limited to those considerations.
(5) The proceedings concerned must be proceedings commenced or
continued by the party to be restrained, whether against the
same person or
different persons.
(6) For the purpose of this section and sections 168 and 169, an appeal in a
civil proceeding must be treated as part of that proceeding
and not as a
distinct proceeding.
[164] I mention these provisions not because I find that Ms Brown has
engaged in conduct that would justify such an order
at this stage, but
to emphasise that Parliament has recently taken steps to arm the High Court
with a power to address persistent
and meritless attempts to engage Courts in
proceedings that are brought for improper purposes.
[165] For present purposes, I must hold that the Family Court ought not to
have declined to engage Ms Brown’s application
for a domestic violence
order, pending determination of applications for review in this Court in other
proceedings. As a result,
the decisions in issue must be regarded as wrong in
law. There was no basis on which the Court could exercise a jurisdiction to
defer consideration of a fresh application for a protection order while
process challenges in respect of earlier applications
were pending before
this Court.
(vi) CIV 2015-470-105: Decision of Tenancy Tribunal of 10
April 2012
[166] Ms Brown’s challenge to the decision of the Tenancy Tribunal is
different in
character, as it involves other parties. The defendants are the three tenants,
Mr Sinclair and the Tribunal. It appears that the three tenants chose not to
take any steps in relation to the proceeding. Mr McKillop
appeared for the
Tribunal.
[167] I have outlined the issues that were before the Tenancy Tribunal when it made an order on 10 April 2012 that Ms Sinclair pay a sum of money to the former tenants.160 Judicial review is sought in relation to that decision, on the grounds that the Adjudicator made reviewable errors that caused prejudice to her. The prejudice is said to have arisen out of a separate judgment given by Brewer J in this Court on
26 June 2015.161
[168] In the proceeding heard by Brewer J, Mr Sinclair brought a claim
against
Ms Brown for $18,900 for rent in the period between 26 February 2011 and
16
December 2011, and against himself and Ms Brown (as trustees of the Trust),
as owners of the family home. Ms Brown counterclaimed
for $43,965 for
occupation rent in the period between 17 December 2011 and 1 November 2013,
together with consequential losses.
[169] Importantly, for present purposes, Ms Brown alleged that Mr Sinclair
should pay to the Trust a sum of $16,800 “for wrongfully
causing tenants
of the property to break a 12 month’s fixed tenancy after two
months’ of occupation”. She also
alleged that $1,050 was owing to
her “because, as a result of [Mr Sinclair’s] wrongful actions, the
Tenancy Tribunal
ordered her to refund the tenants’
bond”.162
[170] Brewer J expressed his conclusions by saying:
[68] [Mr Sinclair] and [Ms Brown] both succeed in their occupation rent
claims against one another.
(a) [Ms Brown] owes [Mr Sinclair] $9,450 in occupation rent.
(b) [Mr Sinclair] owes [Ms Brown] $21,982.50 in occupation rent.
I set off these amounts against each other and direct [Mr Sinclair] to pay [Ms
Brown] $12,532.50 in occupation rent.
160 See para [57] above.
161 [citation redacted].
162 [citation redacted].
[69] [Mr Sinclair] is successful in his claims against the Trust. I
direct that the Trust pay [Mr Sinclair]:
(a) $7,168.73 interest on the loan of $356,000.00.
(b) $9,284.00 for outgoings and repairs in respect of the Trust property and
interest of $849.55.
A total of $17,302.28.
[70] [Ms Brown] is unsuccessful in her claim against [Mr Sinclair] for
wrongfully inducing a breach of contract and in her claim
against the Trust for
reimbursement of payments made in respect of the house.
[171] The circumstances in which Ms Brown challenges the Tenancy
Tribunal’s decision have been detailed earlier.163 As Mr
McArthur did not have instructions to act for Ms Brown on this particular
application, no submissions were filed. In a memorandum
provided to the
Court after the judicial review applications were heard, Mr McArthur made
it clear that while no steps
had been taken by the tenants to recover the
damages of $860.44 ordered to be paid by Ms Brown to them,164 she was
still concerned that they may do so. Mr McArthur sought leave to file
additional papers to which Ms Brown had referred in
her memorandum of 31 October
2016. In that memorandum, Ms Brown simply asks for leave to file evidence in
relation to the Tenancy
Tribunal hearing.
[172] As a matter of law, I am not entitled to interfere with the decision
of the Tribunal if it made an order within its jurisdiction
on the basis of
evidence available to it, and on which it was entitled to act. As Ms
Brown’s application could not succeed
on any basis, there is no reason to
adjourn for further evidence to be given. The Adjudicator heard such evidence as
was available
and formed his own view of it. Had I thought that further
evidence might assist, I would have adjourned the application. I would
also
have ensured that the tenants had adequate notice of a new date, so that they
could be heard if they wished.
[173] The Adjudicator wrote a detailed decision which set out the history in some detail. Ms Brown contended that the Tribunal had no jurisdiction to deal with the
tenants’ claims because of s 5(n) of the Residential Tenancies Act
1986. That states:
163 See paras [166]–[170] above.
164 See para [57] above.
5. Act excluded in certain cases
(1) This Act shall not apply in the following cases:
...
(n) where the premises, not being a boarding house, continue to be used,
during the tenancy, principally as a place of residence
by the landlord or the
owner of the premises or by any member of the landlord’s or owner’s
family:
....
[174] Sections 10 and 78(1) of the Residential Tenancies Act are also
relevant. They were considered by the Adjudicator. Those two
provisions
state:
10 Onus of proof
Where, in any proceedings before the Tribunal, any party contends that this
Act does not apply in respect of any tenancy of any residential
premises, it
shall be for that party to establish the facts upon which it is contended that
this Act does not apply.
78 Orders of Tribunal
(1) Without limiting the generality of section 77 or the nature or extent of
orders that the Tribunal may make in the exercise of
its jurisdiction, the
Tribunal may, in respect of any claim within its jurisdiction, make 1 or more of
the following orders:
(a) an order in the nature of a declaration, whether as to the status
for the purposes of this Act of any premises or of any
agreement or purported
agreement, or as to the rights or obligations of any party, or
otherwise:
(b) an order that a party yield possession of any premises to any
other party:
(c) an order that a party deliver any specific chattels to any other
party:
(d) an order that a party pay money to any other party: (e) a work order:
(f) where it appears to the Tribunal that an agreement between the
parties, or any term of any such agreement, is harsh or
unconscionable, or
that any power conferred by an agreement between them has been
exercised in a harsh or unconscionable
manner, an order varying the agreement,
or setting it aside (either wholly or in part):
(g) where it appears to the Tribunal that an agreement between the parties has been induced by fraud, misrepresentation, or mistake, or that any writing purporting to express the
agreement between the parties does not accord with their true agreement, an
order varying, or setting aside, the agreement or the
writing (either wholly or
in part):
(h) any other order that the High Court or a District Court may make
under any enactment or rule of law relating to
contracts:
(i) an order dismissing an application.
[175] Ms Brown contended that she lived in the property and
therefore the Residential Tenancies Act could not apply.
As a result, she
contended that the Tribunal lacked jurisdiction to make any order.
[176] Ms Brown attended the hearing by telephone. She was given an
opportunity
to respond to the tenants’ position. The Adjudicator found:
37. [One of the tenants] ..., gave his evidence in a frank
and straightforward manner. Although there were minor
discrepancies in his
evidence regarding dates and amounts paid, that is not surprising given the
lapse of time since the end of the
tenancy, and his likely nervousness at
appearing in the Tribunal. Despite the landlord’s claims to the
contrary, my clear
impression of [the tenant who gave evidence] was of an honest
and reliable witness. The landlord’s reference to the tenants
being
“sneaky” was a little unfair. There is nothing untoward
about the tenants applying to the Tribunal for refund of the bond; and the
landlord
herself made a ‘one party’ application for bond refund to
the Bond Centre.
38. Because the landlord attended the hearing by telephone; it was more
difficult to assess her reliability from the manner
in which she gave her
evidence. She presented as a very forceful and forthright person. However, when
I compare the evidence given
by both parties against the background
‘matrix of facts’, I have reached the clear
conclusion that the landlord did not tell the tenants, prior to signing the
agreement, that she intended
to live in the property. Whatever her real
intention may have been at that time, she did not communicate it to the tenants,
and
they were misled into believing that they were signing a standard
residential tenancy agreement for their exclusive occupation of
the
premises.
...
40. Having considered the evidence as a whole, despite the unusual circumstances, I am satisfied that: the parties signed a standard residential tenancy agreement; the landlord did not disclose her intention to live at the premises prior to signing the agreement; the landlord’s failure to disclose her intention misled the tenants into believing that they would have exclusive occupation of the premises; and the landlord breached the tenancy agreement and the Act by living at the premises after the commencement of the tenancy. It
follows from those findings of fact that the agreement between the parties as
not excluded by section 5(n) of the Act. The landlord
cannot bring that
section into operation by virtue of her breach of the agreement.
(Emphasis added)
[177] I can discern no error of law in the Tribunal’s approach. The
Adjudicator, whatever view a party may take of it, was
entitled to come to the
conclusion he did on the evidence. As a result, it cannot be said
that the Adjudicator made
an unreasonable decision that could be set aside on
an application for judicial review.
[178] I decline leave for further evidence to be adduced or for the
statement of claim to be amended. This application for judicial
review will be
dismissed.
(vii) CIV 2015-470-104: Attachment order of 19 June
2014
[179] On 25 June 2014, Judge Somerville heard from Ms Brown and Mr
Eggleston on her application for an interim maintenance
order.165
That application was opposed. Ms Brown was concerned about her
financial situation because, at that time, about 40 percent of
her income was
subject to an attachment order granted in favour of Mr Sinclair in respect
of costs ordered to that time.166 The Judge adjourned the
proceeding for three months “to monitor determination of the application
by Mr Sinclair for a stay
of proceedings”.167 It appears
that the Judge thought that Ms Brown’s applications for judicial review
might have been resolved by that time.168
[180] In this proceeding, Ms Brown seeks judicial review of the attachment
order itself. She contends that she was not given adequate
notice of the
application and was prevented by the approach taken by Judge Somerville from
obtaining relief from the financial hardship
caused to her.
[181] Ms Brown seeks a declaration that the attachment order is unlawful
and unenforceable and orders that the moneys attached be
reimbursed by Mr
Sinclair,
165 Family Proceedings Act 1980, s 82.
166 See paras [70]–[72] above.
167 [citation redacted].
168 [citation redacted].
together with interest at 5 percent. She also seeks an order against the
District Court that it pay damages for breach of s 27 of
the Bill of
Rights.169
[182] Mr McKillop, for the District Court, initially filed an application
to strike out this particular claim, though that did not
proceed because he
recognised it was capable of being re-pleaded. Two other parties were initially
named as defendants, the Tauranga
Collections Unit and the National Office of
the Ministry of Justice. Both of those parties were struck out. No amended
pleading
has been filed in respect of this application. At the hearing on 31
October 2016, the application to strike out was withdrawn.
[183] Now that the District Court is the sole defendant, Mr McKillop abides my decision on Ms Brown’s application for review but submits that her claim for damages for breach of her right to justice conferred by s 27 of the Bill of Rights should be refused. In support of that submission, he relies on a recent judgment of
the Supreme Court in Attorney-General v Chapman.170
[184] Apart from the order made on discontinuance of Ms Brown’s first
application for a protection order in the sum
of $862.50, the costs
awarded in favour of Mr Sinclair are to be set aside. Without going into the
merits of the application
so far as the District Court’s attachment order
is concerned, I am satisfied that it has no present utility and ought to be
set
aside. I record Mr Sinclair’s agreement with that proposition. There is
no lawful basis on which I could make any order
for damages against Mr Sinclair,
who used the Court’s process in an appropriate way. Ms Brown is
protected by the fact
that adjustments can be made in the context of
the relationship property proceeding in respect of costs that remain outstanding
and claims by Ms Brown for reimbursement from Mr Sinclair of funds paid to him
following the attachment.
[185] There is another reason why it is unnecessary to deal with the merits
of the application to set aside the attachment order
because the second aspect
of the claim
169 In reliance on Simpson v Attorney General [1994] 3 NZLR 667 (CA).
170 Attorney-General v Chapman [2011] NZSC 110; [2012] 1 NZLR 462 (SC) at para [97]. Subsequently, in Thompson v Attorney-General [2016] NZSC 134, the Supreme Court refused leave to appeal on a point involving the scope of its decision in Chapman.
which seeks damages for breach of the Bill of Rights against the District
Court cannot succeed, as a matter of law. Assuming (without
deciding the point)
that there was such a breach, the law does not permit a claim for public law
compensation for alleged breaches
by the judicial branch of Government. In
Chapman, that view was taken by a majority of three to
two.171
[186] In Chapman, McGrath and William Young JJ took the view that
Simpson v Attorney-General [Baigent’s Case]172 was
not authority for the proposition that public law damages could be awarded
in such circumstances. Their Honours also held
that Maharaj v
Attorney-General of Trinidad and Tobago (No 2)173 was not
“of controlling significance”. They said:174
[97] But although we will engage with the cases relied on by [counsel
for Mr Chapman] – and in some detail – the
reality is that the case
also turns on a policy judgment. Judicial immunity gives effect to systemic
public interest considerations,
the most important of which is judicial
independence. As we will explain, allowing a claim of this kind to proceed would
be as inimical
to those public interest considerations as allowing a personal
claim against judges. Given this and our view that there is no particular
need
for the provision of financial remedies for judicial breaches of the Bill of
Rights Act, we conclude that the claim is not available.
[187] Gault J agreed. He added:
[213] I consider that the independence of the judiciary and its concomitant principle of judicial immunity are fundamental elements of our constitutional structure. They are not to be interpreted away by importing a different context. The immunity with which this case is concerned is, in any event, of a different order of importance from that in Baigent’s case.
[214] On these matters, and whether the Baigent cause of action should apply
in respect of breaches of rights by judges, I am content
to express agreement
with the reasons and decision in the joint judgment of McGrath and William Young
JJ.
[188] In those circumstances, the claim against the District Court, as a
judicial tribunal, must be dismissed.
171 McGrath, William Young and Gault JJ, Elias CJ and Anderson J dissenting.
172 Simpson v Attorney-General [Baigent’s Case] [1994] 3 NZLR 667 (CA).
173 Maharaj v Attorney-General of Trinidad and Tobago (No 2) [1978] UKPC 3; [1979] AC 385 (PC).
174 Attorney-General v Chapman [2011] NZSC 110; [2012] 1 NZLR 462 (SC) at para [97].
(viii) CIV-2015-470-69: Decision of 18 March 2014, 25 June
2014, 11
July 2014, 6 August 2014, 22 August 2014, 19 September 2014,
20
November 2014 and 6 March 2015
[189] This proceeding is directed to a number of orders with which I have
already dealt, or have been set aside in consequence of
other decisions. Any
remaining aspects are of no practical significance because no orders were made
that can affect the overall
outcome. In that situation, I propose to treat this
application as moot. It will be dismissed on that basis.
(d) Subsequent transfer order of 15 July 2016
[190] During the hearing, I learnt of a decision made by Judge Coyle of his
own motion on 15 July 2016, pursuant to which he purported
to transfer three
sets of Family Court proceedings to the Family Court at Auckland.175
The parties were not heard on this point.
[191] Judge Coyle reasoned:
That is the Court where the proceedings can be more efficiently and
conveniently dealt with on the basis that the parties reside in
Auckland, but
more importantly, there is a greater pool of Family Court Judges who are not
conflicted out of dealing with these proceedings
when they are returned to the
Family Court from the High Court.
[192] With respect, such an order should not have been made without hearing
from the parties. To avoid unnecessary further proceedings,
I set aside that
order, of my own motion. The difference between the order made by Judge Coyle
and the one that I shall make is
that both parties indicated at the hearing
before me that they expected any proceedings that required further attention to
be dealt
with in Tauranga.
[193] Any application to transfer that either party may wish to make should be made in the first instance to the Family Court at Tauranga. I am aware that, owing to a pending retirement and a secondment overseas, next year there will be two resident
Family Court Judges in Tauranga, who have had no involvement in the
litigation
175 [FAM case numbers redacted].
between Ms Brown and Mr Sinclair. Ideally, remaining aspects of the
proceeding should be assigned to one or the other.
Result
(a) The applications for judicial review
[194] For those reasons:
(a) In CIV-2013-470-425:
(i) I make orders setting aside the decisions made by Judge Wills on 22 December 2011, 21 February 2012, 30 May 2012 and 17
December 2012.
(ii) I remit the relationship property proceeding to be reheard in the
Family Court.
(iii) I direct the Family Court to allocate a case management conference
so that timetabling directions can be made for the substantive
relationship
property proceeding as soon as practicable.
(iv) I direct the Family Court to give consideration to the
assignment of a single Judge to deal with all outstanding
applications in that
Court.
(b) In CIV-2013-470-485:
(i) I make an order setting aside Judge Coyle’s first decision of
30
March 2012 refusing leave for Ms Brown to file a notice of defence to Mr Sinclair’s application under the Domestic Violence Act.
(ii) I make an order setting aside Judge Coyle’s second decision
of
30 March 2012 in which he granted a protection order in favour of
Mr Sinclair.
(iii) I make an order setting aside the order for costs made by Judge
Coyle on 21 May 2012 on Mr Sinclair’s application
for a protection
order, in the sum of $2,290.
(iv) The application for judicial review of Judge Coyle’s decision
of 21 May 2012 to order costs to be paid by Ms Brown
to Mr Sinclair in the
sum of $862.50 on her discontinued application for a protection order is
dismissed.
(c) In CIV-2013-470-419, I make orders setting aside the
“unless” order made by Judge Geoghegan on 14 May 2013, and the order
for security for
costs.
(d) In CIV-2013-470-495, the application to set aside Judge
Geoghegan’s decision of 12 June 2013 (on the dissolution application) is
dismissed. Any
issues arising out of the point raised by Ms Brown in relation to
the date of separation shall be addressed in the context
of any
financial adjustments that may be required to secure a “just
division” of relationship property.
(e) In CIV-2015-470-050, I make a declaration that the Family
Court ought to have allowed Ms Brown to proceed with her application for a
protection order
that was filed in the Family Court at Auckland. No other order
is required.
(f) In CIV 2015-470-105, the application to review the decision of
the
Tenancy Tribunal of 10 April 2012 is dismissed.
(g) In CIV-2015-470-104, the attachment order of 19 June 2014 is set aside, on the basis that the order for costs of 21 May 2012 in the sum
of $862.50 and the question of reimbursement of payments made to Mr Sinclair
under the attachment order shall be addressed in the
context of any financial
adjustments that may be required to secure a “just division” of
relationship property.
(h) The application for judicial review in CIV-2015-470-69 is
dismissed.
That application has been adequately determined by reference to the
overlapping application under CIV-2015-470-050. It is moot.
[195] The outcome is that the Family Court remains seized of the
relationship property application, the application for a protection
order made
by Ms Brown, her application for spousal maintenance and competing applications
in respect of contempt proceedings.
For completeness, I indicate that if I
have overlooked any live applications they too will be able to proceed. All are
to be considered
by the Family Court. Any outstanding interlocutory issues
in respect of any of those proceedings remain on foot.
[196] I am conscious that Ms Brown has asked the Court to deal with a wider range of issues than those I have addressed. For example, I have no jurisdiction to deal with complaints about the conduct of Mr Eggleston, and I decline to do so. Nor is it appropriate in a proceeding of this type to consider whether Mr Sinclair may or may not have given false evidence on any particular issue. I have explained my
perception of why the problems emerged.176 I say no more about
that.
[197] Mr Sinclair sought an order that relationship property proceedings be retained in the High Court. The issues are such that a Family Court Judge coming afresh to the proceeding should be able to address the outstanding issues competently and efficiently. In any event, the jurisdiction to transfer to the High Court lies with the
Family
Court.177
176 See paras [1]–[12] and [76]–[83] above.
177 Property (Relationships) Act 1976, s 38A.
(b) Costs
[198] I make no order as to costs in this Court. Questions of costs
arising out of the orders made in the Family Court are to be
addressed in that
jurisdiction.
[199] Each party has suffered hardship in the costs they have incurred. I see no benefit in ordering costs either way. Although Ms Brown has been successful on many of her applications, Mr Sinclair did not, in the end, offer resistance. While the strident stance he took in the early part of the proceeding played its own part in bringing about the complex situation that arose, I do not consider he ought to bear all costs that resulted. There were a number of contributing factors to the problems that
arose.178
[200] I am sure that neither party will be happy with that outcome.
Nevertheless, I hope that they will accept it so that they
can move on to
resolve outstanding issues promptly. This will be the best opportunity for that
to be done. If it were not, their
lives will be ruined even more than they have
been already. There are many better ways to spend one’s life than
participating
in bitterly fought litigation in Court.
(c) Public distribution of judgment
[201] There are systemic issues that require this judgment to be publicly
available. That is a matter of the public interest overriding
the parties’
rights to privacy. If improvements can be made to Court processes as a result
of the difficulties encountered
in this case, there will be a small silver
lining.
[202] I make an order prohibiting publication of the names and any identifying particulars of the parties. I make a further order prohibiting search, copy or inspection of the Court files in respect of which this judgment has been given without leave of a Judge on an application made on notice to all parties. These orders have been made to protect the privacy interests of the parties given the nature of publicity that might follow debate about the systemic issues. I am satisfied that extreme hardship could be caused to the mental health of both Mr Sinclair and Ms
Brown if such an order were not made. This version of the judgment has
been
178 See para [9] above.
anonymised so that the Registrar can distribute it publicly. Although this
judgment is anonymised, any reporting of it must avoid
any information that
could identify the true identity of the parties.
[203] I shall arrange for a copy of the judgment in both redacted and unredacted form to be sent to the Chief District Court Judge and the Principal Family Court Judge for their consideration.179 Copies will also be sent to the Judges from whose decisions the applications for review were brought. Any further dissemination from any of those Judges is confined to this anonymised version. [The tenants] did not take any steps in respect of the proceeding and their interests have not been
adversely affected by this judgment. In that circumstance, I direct the
Registrar not to send a copy of the judgment to them. I
make that direction to
preserve privacy interests of Mr Sinclair and Ms Brown.
Where to from here?
[204] I propose to offer some thoughts on how proceedings might
best be progressed in the Family Court. That Court is
free to accept or reject
what I say. I am making these comments as a result of similar experiences that
I have encountered in this
Court.
[205] If practicable, a Judge without prior involvement in the proceedings, should be assigned to deal with all outstanding applications. A case management conference should be convened. Sufficient time should be allocated for that conference to ensure that the parties are able to discuss constructively all relevant procedural issues. It will be necessary to make arrangements for the hearing that minimise any friction that remains between Ms Brown and Mr Sinclair. A telephone conference in the first instance might assist in resolving procedural issues of that type. A fixture should not be allocated until a Judge is confident that the parties are ready, and an accurate estimate of its likely duration can be made. It is in the
interests of both parties to co-operate in having outstanding issues
resolved promptly.
179 See para [12] above.
[206] Mr Sinclair and Ms Brown need to be aware that compliance must be made with timetabling directions made after input from each. It is necessary that this dispute be resolved finally. While the interests of justice should always rule the procedural orders required, the Family Court must also be astute to ensure that its processes are not abused. I have already indicated one potential remedy that may be
available after 1 March 2017.180 I trust that it will not be
necessary for anyone to
make an application of that type.
[207] I have already made an order for Mr Scott’s costs and
disbursements as
amicus to be paid out of funds appropriated by Parliament for the
purpose.
P R Heath J
Delivered at 3.00pm on 22 December
2016
Solicitors:
Holland Beckett, Tauranga Crown Law, Wellington Counsel:
G C McArthur, Tauranga
S T Scott,
Tauranga
180 See para [162] above.
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