The Wanaka property owner awaiting criminal verdicts on five Building Act charges against her and nine charges against her company has been permitted to use 155 Tenby St as a residence after a civil hearing.
Defendant Dr Fiona Caroline Graham, of Wanaka, also director of Wanaka Gym Ltd, her counsel David More, of Dunedin, plus Queenstown Lakes District Council solicitor Michael Parker and Lakes Environmental building manager Peter Laurenson, heard Judge Paul Kellar, of Dunedin, make a variation to the 2008 injunction, after a two-hour hearing at the Queenstown District Court last week.
"It means subject to the building complying in terms of consents, she can now have occupants in," Mr More said yesterday.
"The court documents show the building has been occupied by paying tenants in the past."
Mr Parker, for the council, opposed the lifting of the civil injunction as all work on the property had not been completed to comply with consent requirements.
However, Graham and Mr More sought the full lifting of the injunction because the work had been done to those requirements.
Mr Laurenson yesterday said Judge Kellar's intent was 155 Tenby St "could be used for residential purposes for a single household, in accordance with a judgement by Judge [Raoul] Neave, on October 8, 2008.
"The building was dangerous to any sleeping occupant, but the windbreak cloth and electrical wires have been corrected."
The District Court imposed the injunction on August 11, 2008 after the council alleged Graham continued to allow the occupancy of the building, despite the council's dangerous building notice and notice to fix.
The injunction had been imposed as an interim measure, pending the substantive criminal decision, Mr More said.
Evidence last Thursday had been submitted by affidavits and legal submissions were given by both counsels at the hearing.
Mr More said the variation of the injunction was a "compromise decision acceptable to both parties" and took immediate effect.
The civil ruling did not have any bearing on the criminal proceedings, Mr More said.
Judge David Holderness reserved his decision on the five charges by the council against Graham and the nine charges by the council against Wanaka Gym Ltd, on December 8, 2009, following hearings on that day and other hearings held between November 2 and November 6, in 2009.
Charges related to Wanaka Gym using the former gymnasium as backpacker-style accommodation, when it was not safe in the event of fire, for unapproved changes to the building consent and for failure to correct the changes.
Four charges against Graham mirrored charges against Wanaka Gym and the fifth charge was she willfully removed the council's dangerous building notice from the property.
Graham said during the criminal hearing the property was a "single-household unit" and not visitor accommodation.
Council inspectors were aware handymen were scheduled to fix the property to meet consent requirements, but had not specified to her clearly what needed to be remedied and had decided to "evict" her tenants with the notices and injunction, she told the court last year.
Mr Laurenson said he anticipated Judge Holderness' decision in April.
Graham could not be reached for comment yesterday.
