Insights & Articles

As well as potential changes to the Holidays Act, see last year's article Changes on the way for the Holidays Act, there are potential changes on the horizon in relation to sexual harassment claims and restraint of trade provisions. We have outlined the details below.

Awards of costs in civil proceedings are at the court’s discretion. The general costs rule is simple: the unsuccessful party is required to pay costs to the successful party. The award of costs is normally made on a 'scale' basis – the scale comprising certain daily rates and certain time allocations for certain steps in a proceeding, both prescribed in schedules to the courts publishes rules of procedures. This, in practice, means that a party to a proceeding will always incur irrecoverable costs to some extent. Much less frequently, awards of costs are made on an indemnity basis, so the unsuccessful party must pay the actual legal costs incurred by the successful party.

The recent fall in property values across New Zealand has led to numerous purchasers being unable to obtain finance and complete settlement. This leaves both vendor and purchaser in an awful position, with lawyers scrambling to minimise the losses suffered on each side.

The Trusts Act 2019 ("the Act") outlines the obligations of trustees in managing family trusts. Information disclosure requirements to beneficiaries are significantly more demanding than previously applied.

The countdown to Christmas is on. Many workplaces in New Zealand are planning their annual closedown over the Christmas period. This will likely mean that many employers are attempting to navigate the complexities of the Holidays Act 2003. We have set out to answer some frequently asked questions during this time of the year.

If the purchaser discovers a defect with the property or breach of the sale and purchase agreement by the vendor just days before settlement is due, what can the purchaser and vendor do in that situation? Can the vendor force settlement? Should the purchaser be allowed to claim a reduction in the purchase price? The claim for compensation provisions were designed to achieve both objectives, requiring settlement to occur subject to some adjustment of the purchase price payable on settlement.

Mergers and acquisitions ("M&A") are often used as critical methods for expansion. Some companies may plan successful M&A strategies such as using good economic times to strengthen their finances (paying down debt and accumulating cash reserves), and when a recession or slowdown comes, buying at low valuations.

The new Incorporated Societies Act 2022 ("Act") received Royal Assent on 5 April 2022, in replacement of the Incorporated Societies Act 1908 ("old Act") and is coming into force in stages. The Act significantly changes governance and accountability obligations for incorporated societies. Re-registration under the new Act is required for all existing incorporated societies to continue to exist.

No matter your age, it is essential that all adults have in place lawful and enforceable Enduring Powers of Attorney ("EPA"). Sudden accidents or illnesses affecting your metal capacity can happen unexpectedly, and if the time comes that you require an EPA and you have not already set one up, it will be too late.

The construction industry often engages independent contractors, rather than employees. There is clearly a need for contractors in the industry, but in some situations, contractors are engaged because they are often seen as easier to engage than employees. This is often because a company can end a contractor's contract by giving notice, contractors do not receive annual leave or sick leave and are not entitled to minimum wage.

The Employment Court recently issued a decision relating to whether employers were entitled to require employees to take annual leave during the Covid-19 lockdown in April 2020. Three employees brought a case against Carter Holt Harvey LVL Limited ("the Company") after the Company told staff that they would need to take eight days leave during the lockdown in April 2020.

Exploitation in the workplace could exist in many forms and could happen to any employee, whether you are a migrant or otherwise. However, it is observed that foreigners are more vulnerable to becoming victims of exploitation due to their unfamiliarity with the relevant laws and not knowing their rights as employees in New Zealand. This is why workplace exploitation is more commonly referred to as 'migrant exploitation'.