legal
The High Court has allowed recipients to withhold millions of dollars to combat legal claims from wine industry pioneers.
After paying off the debt, the recipient of the Villa Maria Wine Empire reserves $ 5 million from the surplus and pains Sir George Fistnich, the former owner of the business, to fund the legal defense. ..
Despite the setbacks, Fistnitch continues the legal battle between Caliber Partners’ Blendon Gibson and Neil Jackson, the appointed recipient of FFWL, the only shareholder of Villa Maria’s former parent company. I swear.
“I was disappointed [the receivers] To protect myself from the legal actions I may take, I am allowed to maintain $ 5.1 million from the sale of Villa Maria, “Fistnitch said in writing.
“But I won’t let me decide from seeking justice for the sale of Villa Maria, which is clearly undervalued.”
In a ruling released today, Judge Gerald van Bohemen will receive $ 5.16 million from a surplus of approximately $ 40 million to protect against the number of current and future legal issues raised by Fistnitch. Judging that it can be retained.
The decision follows a hearing in Auckland’s High Court earlier this month, as Fistnitch lawyer James Farmer QC will use the funds to defend the Fistnitch’s allegations of negligence. Insisted that the recipient’s bid to retain the should be rejected. Or a breach of duty.
Farmer also challenged the rationality of recipients holding as much as $ 5 million.
However, Judge Van Bohemen upheld the defendant’s lawyer, Adam Ross QC, and granted the application.
According to Van Bohemen, if not, “… not only in violation of public policy, the recipient is usually entitled to compensation and immunity for the costs incurred in performing his duties as a recipient. It goes against the generally accepted principle of being.
“I am pleased that the recipients have the right to hold reservations to defend allegations of negligence, default or breach of duty against them,” the judgment said.
Van Bohemen also dismissed Fistonich’s claim that $ 5 million was too much to hold.
Last May, Villa Maria’s parent company, FFWL, became the trustee. Receiver reports that the company has a debt of approximately $ 212 million to Rabobank and ANZ, and Indevin New Zealand has acquired the Villa Maria Estate business for $ 190 million.
The winery’s treasured Mangeresite, which doubles as a concert venue, was eventually handed over to the Goodman Property Trust for $ 75 million, but Fistnitch believes the land is valued at a much higher price. I did.
Fistnitch has launched a number of legal claims against its recipients. One challenged their actions on the sale of land and the other requested all documents related to the sale of Manguere’s vineyards.
He intends to submit another claim that the beneficiary was negligent and sold the land at a price less than its value.
The recipient denies that claim.