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Wilson v Whitianga Marina Society Inc [2021] NZDC 13763

Published 07 November 2024

Breach of contract — failure to give reasonable notice — termination of contract — damages — yacht mooring — Maui Farms Ltd v Impress Company Ltd [2018] NZHC 1053. The plaintiff sought damages against the defendant for failing to give him reasonable notice to remove his yacht from the defendant's marina, causing loss. The parties had a contract whereby the plaintiff could moor his yacht at the marina on a month-to-month tenancy. While the plaintiff was overseas for a period of time the berths used by the plaintiff had been sold and the plaintiff was informed he would have to remove his yacht within the month. The plaintiff submitted that his belief was that the agreement was for a longer term basis, and the defendant submitted that the agreement was, in the manager's mind, a shorter term arrangement. As such, the Judge determined there was no mutual agreement between the parties. Looking at the facts, the Judge was satisfied that the marina's manager knew at the time the arrangement was entered into that the plaintiff would be overseas for several months. The Judge therefore concluded that a reasonable notice period would have been one of four months. The plaintiff therefore succeeded on the second cause of action, being failure to give reasonable notice. On the five other causes of action (two of breach of contract, one of breach of good faith, one of estoppel and one of breach of the Fair Trading Act), the plaintiff did not succeed. The calculated loss suffered by the plaintiff was the difference between the cost of berths from the day prior to the date the yacht was removed, totaling $3,658.95. The Judge also awarded costs in favour of the plaintiff. Judgment Date: 3 August 2021.

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