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MVH Trustee Ltd v Sharma [2019] NZDC 3246

Published 22 October 2019

Summary judgment — rent arrears — liquidation — Agreement of Lease — notice — no arguable defence. The plaintiff sought summary judgment against the defendants, who were former tenants of the plaintiff's property. It was alleged by the plaintiff that the rent arrears totalled $42,104.31, plus interest. The defendants argued that a proper lease wasn't signed and that they were granted two months free of rent as an incentive for them not to look for other premises. In order for a successful summary judgment application, the defendants must not have a reasonably arguable defence. The Judge examined the assertions made by the defendants and those of the plaintiff, which had supporting witnesses and documentation. This included the Deed of Lease that provided even where the Agreement to Lease was not executed, the parties shall be bound as if the lease had been duly executed. The Judge found that the defendants did not have an arguable defence and were clearly liable. The Judge ordered the defendants pay $42,104.31 with costs subject to written submissions. Judgment Date: 27 February 2019.

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