Summary Judgment

Farrand v Farrand relates to an application for summary judgment by a party to a mediation agreement for part performance of the agreement. The genesis of the application was proceedings under s 133 of the Trusts Act 2019 for a direction to wind up a family trust (the Trust). Along the way a mediated outcome was achieved. The mediated outcome has not resolved matters as one party claims not to be bound by the mediation agreement while the others maintain that the agreement is binding accepting that if Court approval of mediation agreement is required, the approval would relate to the terms of a winding up and distribution in accordance with the mediation agreement. Against this backdrop one party to the mediation agreement sought specific performance of part of the mediation agreement. While the decision turns on its own facts, it highlights the risk of summary judgment in the context of an application to wind up a trust. Associate Judge Taylor’s reasons for dismissing the application included:

• a discrete part of the mediation agreement was not enforceable while the validity of the entire agreement is extant before the Court, and
• the terms of the constructive trust put before the Court were unclear and not capeable of resolution in the context of a summary judgment application for specific performance.

References

• Farrand v Farrand [2025] NZHC 1527
• The Cornwall Park Trust Board v Chen HC Auckland, CIV-2013-404-8 [13 May 2013] at [41] and [43] to [44].
• Pemberton v Chappell [1987] 1 NZLR 1 (CA) at 3.
• SH Lock (NZ) Ltd v Oremland HC Auckland, CP641/86, 19 August 1086.
• Middleditch v New Zealand Hotel Investments Ltd (1992) 5 PRNZ 392 (CA) at 613.