Court orders removal of Philpott caveats

Press, 7 September 1989, Page 22

Court orders removal of Philpott caveats

PA Wellington The Court of Appeal has ordered the removal of caveats NZI Bank placed on three properties owned by former CoryWright and Salmon managing-director, Mr Robert Philpott. The court on Tuesday heard an appeal by Mr Philpott and his wife against a High Court judge’s refusal in November to remove the caveats. NZI Bank claimed the Philpotts owed the bank about $l2 million. The debt is disputed and other legal action is under way over it. The caveats were against a property in Karori and two properties in the Taupo area. Court of Appeal president, Sir Robin Cooke, said the bank claimed an interest in each parcel of land as mortgagee, by

virtue of a banking term agreement. He said the agreement was that securities would not be given until there was a request and. requirement by the bank. He said that although the bank inquired about a mortgage over the Karori home, it was not a request, still less a requirement. The court had not heard full argument on whether the bank could now make a request and requirement, so it could not say whether the order that the caveats had to be removed was of practical importance, Sir Robin said. He said there were other mortgages on the titles. The court awarded the Philpotts $l5OO costs to cover the case in the Court of Appeal and the High Court.