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{\title IN THE COURT OF APPEAL OF THE COOK ISLANDS}{\author ruddley_e}{\operator sam_f}{\creatim\yr2011\mo2\dy2\hr8\min20}{\revtim\yr2011\mo6\dy8\hr10\min6}{\version7}{\edmins23}{\nofpages2}{\nofwords650}{\nofchars3057}{\*\company scims}{\nofcharsws3686}
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\qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 \fs20\lang1033\langfe1033\cgrid\langnp1033\langfenp1033 {\b\fs24\insrsid10241787\charrsid15428008 IN THE COURT OF APPEAL OF THE COOK ISLANDS
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid10241787\charrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid10241787\charrsid15428008 CA2/92}{\fs24\insrsid10241787 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008\charrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\b\fs24\insrsid10241787\charrsid15428008 IN THE MATTER of the Arbitration Act 1908
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008\charrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid10241787\charrsid15428008 BETWEEN}{\fs24\insrsid4006404 :}{\fs24\insrsid15428008 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\b\fs24\insrsid10241787\charrsid15428008 MA}{\b\fs24\insrsid15428008\charrsid15428008 INLINE BROWN CONSTRUCTION (PACIF}{\b\fs24\insrsid10241787\charrsid15428008 IC) LIMITED

\par }{\fs24\insrsid10241787\charrsid15428008 First Appellant}{\fs24\insrsid10241787 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008\charrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid10241787\charrsid15428008 AND}{\fs24\insrsid4006404 :}{\fs24\insrsid15428008 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\b\fs24\insrsid10241787\charrsid15428008 DAVID BROWN CONSTRUCTION LIMITED
\par }{\fs24\insrsid10241787\charrsid15428008 Second Appellant}{\fs24\insrsid10241787 
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\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008\charrsid15428008 AND}{\fs24\insrsid4006404 :}{\fs24\insrsid15428008 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\b\fs24\insrsid10241787\charrsid15428008 ISLAND HOTELS LIMITED
\par }{\fs24\insrsid10241787\charrsid15428008 Respondent}{\fs24\insrsid10241787 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid15428008\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 Hear}{\fs24\insrsid11164025 i}{\fs24\insrsid10241787\charrsid15428008 ng: Counsels}{\fs24\insrsid15428008\charrsid15428008 '}{\fs24\insrsid10241787\charrsid15428008  Memoranda of 4th & 30th September.}{
\fs24\insrsid11164025 
\par }{\fs24\insrsid10241787\charrsid15428008 29th October, & 17th & 24th November 1992}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 C}{\fs24\insrsid11164025 ounsel:}{\fs24\insrsid10241787\charrsid15428008  Mr }{\fs24\insrsid11164025 G}{\fs24\insrsid10241787\charrsid15428008  Christie for Appellants}{\fs24\insrsid11164025 
\par }{\fs24\insrsid10241787\charrsid15428008 Mr G.B. Chapman for Respondent}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid11164025 {\b\fs24\ul\insrsid10241787\charrsid11164025 ORDER OF}{\b\fs24\ul\insrsid11164025\charrsid11164025  ROPER C.J}{\b\fs24\ul\insrsid4006404 .}{
\b\fs24\ul\insrsid11164025\charrsid11164025  RE COSTS}{\b\fs24\ul\insrsid10241787\charrsid11164025 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 On the 18th June 1991 Mr John D. Sutherland, Architect of Auckland, issued }{\fs24\insrsid12400432 his 80 page award on a building}{\fs24\insrsid10241787\charrsid15428008 
 dispute concerning additions to the Edgewater Hotel in Rarotonga which is owned by the Respondent.}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 In the result Mr Sut}{\fs24\insrsid12400432 herland held that $214,922 was o}{\fs24\insrsid10241787\charrsid15428008 
wing to the Respondent after allowing the appellants $109,452 in respect of claims on which they succeeded.
\par 
\par The Appellants then applied to the High Court for an order setting aside the award or remitting
 it to the Arbitrator for reconsideration. The grounds advanced were errors of law on the face of the award and misconduct by the Arbitrator because of inconsistencies in his findings. The applic}{\fs24\insrsid12400432 ation was heard by Chilwe}{
\fs24\insrsid9792030 l}{\fs24\insrsid12400432 l J. i}{\fs24\insrsid10241787\charrsid15428008 n Auckland on the 17th, 18th 
& 20th February 1992. In a detailed judgment, which covered a variety of issues, some of them complex, he found against the Appellants on every issue and reserve}{\fs24\insrsid11164025 d the question of costs.}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 The Appellants then appealed to this Court and }{\fs24\insrsid12400432 the Respondent cross a}{\fs24\insrsid9792030 ppealed.}{\fs24\insrsid12400432  }{\fs24\insrsid9792030 Both}{
\fs24\insrsid10241787\charrsid15428008 
 appeal and cross appeal dealt with only one issue but an important one, for the sum awarded the Respondent under it was $119,700. The appeal was heard on the 16th July 1992 and in our judgment of the 6th August we dismissed the appeal and in 
effect allowed the cross appeal, which only had the effect of maintaining the status quo.}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 The question of costs on the appeal was again reserved with a direction that "memoranda be presented to the Chief Justice"}{\fs24\insrsid12400432 .}{\fs24\insrsid10241787\charrsid15428008 
 It is accepted that I should fix costs both for the hearing be}{\fs24\insrsid11164025 fore Chilwell J. and the appeal.}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 Counsel are poles apart on the issue.}{\fs24\insrsid15428008  }{\fs24\insrsid10241787\charrsid15428008 Mr Chapman submitted that $15,000 would be an appropriate order, being $10,000 for the High }{
\fs24\insrsid9792030 C}{\fs24\insrsid10241787\charrsid15428008 ourt hearing and $5,000 for the Court of Appeal; while Mr Christie has suggested $5,000 in total on the ground that an award amounting to something like $5,000 a day in}{\fs24\insrsid11164025 
 }{\fs24\insrsid10241787\charrsid15428008 the Cook Islands jurisdiction would be unheard of. I do not agree that $5,000 per sitting day is necessarily the scale proposed by Mr Chapman because I imagi
ne a good deal of detailed preparation was necessary particularly for the High Court hearing. However, I do agree that those who elect to act or appear for residents of island communities cannot expect New Zealand main centre scales of costs, although in 
fairness none of the parties in this case is truly representative of the Cook Islands community.}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 Mr Christie further submitted that some guidance could be obtained from the fact that Dillon J. fixed $10,000 as security for costs, which said Mr Christie, "h
e must have considered to be the maximum possible that could be ordered against the Appellants in regard to the High Court and Court of Appeal hearings". It is clear from Dillon J.}{\fs24\insrsid15428008\charrsid15428008 '}{
\fs24\insrsid10241787\charrsid15428008 s order}{\fs24\insrsid11164025  }{\fs24\insrsid10241787\charrsid15428008 that the $10,000 was security for the appeal only which does not help Mr Christie}{\fs24\insrsid15428008\charrsid15428008 '}{
\fs24\insrsid10241787\charrsid15428008 s submission.}{\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 This was no minor matter. There were some fairly difficult issues and a considerable sum at stake and I conclude that an award to the Respondent of $12,000 would be appropriate and I so order.}{
\fs24\insrsid10241787 
\par }{\fs24\insrsid11164025\charrsid15428008 
\par }{\fs24\insrsid10241787\charrsid15428008 The Respondent is also to have disbursements (if}{\fs24\insrsid11164025  any) }{\fs24\insrsid10241787\charrsid15428008 as fixed by the Registrar.
\par }{\fs24\insrsid12400432 
\par }\pard \qc \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid12400432 {\b\fs24\ul\insrsid12400432\charrsid12400432 Roper C J}{\b\fs24\ul\insrsid12400432  
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid9792030 {\b\fs24\ul\insrsid9792030 
\par }{\fs24\insrsid12400432\charrsid679814 4 Dec 92}{\fs24\insrsid10241787\charrsid679814 
\par }\pard \ql \li0\ri0\widctlpar\faauto\adjustright\rin0\lin0\itap0\pararsid15428008 {\fs24\insrsid12400432 
\par }{\fs24\ul\insrsid10241787\charrsid9792030 Solicitors for the Appellants}{\fs24\insrsid10241787\charrsid15428008  - Mr }{\fs24\insrsid10241787 C. Mitchell & Co., Rarot}{\fs24\insrsid12400432 o}{\fs24\insrsid10241787 nga, }{
\fs24\insrsid10241787\charrsid15428008 as agent for J.}{\fs24\insrsid10241787 G}{\fs24\insrsid10241787\charrsid15428008 . Ross, Whangarei
\par }{\fs24\ul\insrsid10241787\charrsid9792030 Solicitors for the Respondent}{\fs24\insrsid10241787\charrsid15428008  - Clarkes, Rarotonga
\par }}