Who can receive a commission as a real estate agent?

Cornerstone Group Ltd v OPM Financial Solutions Ltd (Court of Appeal, CA 11/05, 20 March 2006, Robertson, Randerson and Panckhurst JJ)

Can anyone who has helped you sell your property ask you to pay them a commission?

This concerned a number of issues arising from the development of a block of apartments at Orewa, north of Auckland, known as the “Nautilus”. The developer was Cornerstone Group Ltd. The only issue of concern here is whether OPM Financial Solutions Ltd (“OPM”) was entitled to recover commission for its part in selling the apartments. Continue reading

How can a landlord raise rent price?

Trace Investments Ltd v Prince’s Wharf Property Fund Ltd (High Court, Auckland CL13/02, 5 July 2002, Fisher J)

With rising rental price, you as a landlord may want to raise the rent of your rental property. How can you do this effectively?

The decision involves an application by the tenant for a declaratory order that the notice given by the landlord purporting to initiate the rent review was invalid. Continue reading

Can a land use consent affect valuation of ground rental?

Viaduct Harbour Holdings Ltd v Westhaven Properties Ltd (2005) 5 NZCPR 730

The characteristic feature of a ground lease is that the rental is assessed on the value of the land alone, ignoring the value of any improvements. If the lessee has obtained a land use consent which makes it possible to use the land more profitably, can this be taken into account in a valuation for rental review purposes? Continue reading

How much can you get from suing for leaky building?

La Grouw v Cairns (High Court, Auckland CIV-2002-404-156, 16 February 2004, O’Regan J)

With the growing number of leaky building cases, there are many house owners who suffer constantly from issues to do with leaky buildings. La Grouw was the purchaser in May 1997 of a residential property in Auckland. Continue reading

If you fail to renew a lease by mistake, what are the options?

Ponsonby Mall Trust Ltd vs New Zealand Food Industries Ltd.

(High Court, Auckland CIV 2005-404-3631, 5 December 2005, Asher J)

When conducting a business in New Zealand, you may become so busy or things happen so fast that you may forget to renew the lease by mistake. What can you do if the landlord wants you out of the premise for this mistake? This may cost your business dearly. Continue reading

The New Zealand – China FTA

Background

A free trade agreement is a trade treaty between two or more countries. A free trade agreement is usually designed to reduce or completely remove tariffs between the participating nations.

The New Zealand – China Free Trade Agreement (theFTA)is a bilateral free trade agreement signed by the People’s Republic of China and New Zealand in April 2008. It is New Zealand’s largest trade deal since the 1983 Closer Economic Relations agreement with Australia. The FTA will be phased in gradually over 12 years, fully coming into force in 2019. Continue reading

Investment in New Zealand

Purchase of Farm Land in New Zealand by Overseas Persons 

Recently there has been keen interest shown by overseas persons to acquire farm land in New Zealand, especially dairy farm land. In New Zealand large farm lands are considered “sensitive land”. If an overseas person wishes to successfully acquire such land in New Zealand he or she must ensure that certain procedures are followed. As such advance planning is vitally important. Continue reading