Business Law

The Consumer Law Reform Bill 2011 passed its first reading in Parliament last month and has been referred to the commerce select committee.

The abolition of gift duty in October 2011 generated much public interest given the number of family trusts that have been established in New Zealand. The abolition essentially means that, from October 1 last year, it is possible to make gifts of unlimited value.

Renewal clauses in commercial leases can create pitfalls for both landlords and tenants.

Last month, the Supreme Court granted investors in the failed Blue Chip schemes leave to appeal a decision of the Court of Appeal on the question (among others) of whether marketing by Blue Chip companies and their sales agents of investment products amounted to "offers of securities to the public", thereby triggering the requirements of the Securities Act 1978.

Parties to a joint venture may owe fiduciary duties to each other in addition to the legal structure of their joint venture.

Last month saw the High Court and Court of Appeal issue two important decisions in relation to prosecutions of company directors in the wake of the collapse of Nathans Finance and Bridgecorp.

As a commercial solicitor, I regularly see clients who are required to provide a personal guarantee in respect of transactions connected with their business.

Landlords of commercial properties need to proceed with caution if they wish to cancel a lease on the basis of a breach by the tenant.

While the Dunedin economy is tipped to greatly benefit from the extra England pool game in the city and an expected influx of English rugby supporters, retailers will need to keep in mind the restrictions of the Major Events Management Act 2007 that accompany the Rugby World Cup (RWC).

We have previously commented on issues that commonly arise in residential and commercial property transactions. The recent Auckland case of Connell Street Limited v Purewal BS & JK Limited is another opportunity to consider the obligations arising under conditional contracts.