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	<title>Property Law Archives - Albany Legal</title>
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		<title>Why Trusts Remain Useful</title>
		<link>https://albanylegal.co.nz/why-trusts-remain-useful/</link>
		
		<dc:creator><![CDATA[Chris Hallowes]]></dc:creator>
		<pubDate>Fri, 14 Aug 2020 04:55:50 +0000</pubDate>
				<category><![CDATA[Business Law]]></category>
		<category><![CDATA[Dispute Resolution]]></category>
		<category><![CDATA[Elder Law]]></category>
		<category><![CDATA[Estate Administration]]></category>
		<category><![CDATA[News]]></category>
		<category><![CDATA[Property Law]]></category>
		<category><![CDATA[Relationship Property]]></category>
		<category><![CDATA[Trusts and Estate Planning]]></category>
		<guid isPermaLink="false">http://albanylegal.co.nz/?p=1787</guid>

					<description><![CDATA[<p>The new Trusts Act is coming into force in January 2021. It ushers in a new beginning for trust law and practice in New Zealand. The introduction of the Trusts Act has resulted in a nationwide conversation on the actual purpose underlying Trusts and ultimately...</p>
<p>The post <a href="https://albanylegal.co.nz/why-trusts-remain-useful/">Why Trusts Remain Useful</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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										<content:encoded><![CDATA[<p>The new Trusts Act is coming into force in January 2021. It ushers in a new beginning for trust law and practice in New Zealand.</p>
<p>The introduction of the Trusts Act has resulted in a nationwide conversation on the actual purpose underlying Trusts and ultimately whether they are still worthwhile. We believe the answer is clearly YES.  Whether a Trust is right for you and your family is the question worth exploring.</p>
<p>In one sense, the law introduced by the Trusts Act is not ‘new’ as the common law principles of trust law remain. In another sense however, the law is ‘new’ as after 10 years of reviews, submissions and debates, Parliament has endorsed the unique legal concept of Trusts and its underlying trust relationship Parliament was absolutely clear that trusts play an ‘extremely important part in the framework of our legal and financial system’ in New Zealand, and ‘they have a key role in all aspects of the country’s commercial and financial sectors as they are central to ensuring that assets and wealth can be handed down to the next generation’.</p>
<p><strong>So what purpose do Trusts have in the modern era?</strong><br />
As legal instruments, Discretionary Trusts remain unsurpassed as a mechanism to hold, grow and secure investment assets and to provide benefit of those investments in a planned, flexible and sustained way to family members and other worthy recipients like charities over the long term (which can now be 125 years under the new Act).</p>
<p>Put simply, if properly established and managed, a Trust provides asset and wealth protection against creditors and predators.</p>
<p>A Trust can potentially provide protection for your assets from a claim by a creditor.</p>
<p>Trusts can also ensure that your children, and not their partners, keep their inheritance. They manage the risk of unwanted claims on your estate after death and provide complete confidentiality from the public.</p>
<p>Trusts also provide potential protection against future tax law changes, such as for example, if a wealth tax, a death or inheritance tax is introduced in New Zealand, then trusts may be exempt.</p>
<p><strong>Is Trust worthwhile for me?</strong><br />
Everyone’s circumstances are different. Family trusts cost money to establish and there are generally ongoing annual legal and accounting fees. These costs must be weighed up against what risks you perceive to be applicable to you.</p>
<p><strong>The following queries could be useful in determining this question:</strong></p>
<ul>
<li>Do you run a business that could face claims from creditors?</li>
<li>Is there a potential for a relationship property claim against your assets or your children’s assets?</li>
<li>Could predators come for your wealth?</li>
<li>Is intergenerational wealth management a concern for you and your family?</li>
</ul>
<p>Setting up a Trust and managing it correctly can be a complicated process that requires expertise, if you’re interested in receiving advice on a Trust for you and your family please contact our Trust and Estate specialist, Chris Hallowes on 027 253 1980 or <a href="mailto:chris@albanylegal.co.nz">chris@albanylegal.co.nz</a>.</p>
<p>The post <a href="https://albanylegal.co.nz/why-trusts-remain-useful/">Why Trusts Remain Useful</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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		<title>Oaths, Affirmations and Declarations during COVID-19</title>
		<link>https://albanylegal.co.nz/oaths-affirmations-and-declarations-during-covid-19/</link>
		
		<dc:creator><![CDATA[Chris Hallowes]]></dc:creator>
		<pubDate>Fri, 15 May 2020 04:30:07 +0000</pubDate>
				<category><![CDATA[Business Law]]></category>
		<category><![CDATA[Dispute Resolution]]></category>
		<category><![CDATA[Elder Law]]></category>
		<category><![CDATA[Employment Law]]></category>
		<category><![CDATA[Estate Administration]]></category>
		<category><![CDATA[News]]></category>
		<category><![CDATA[Property Law]]></category>
		<category><![CDATA[Relationship Property]]></category>
		<category><![CDATA[Trusts and Estate Planning]]></category>
		<category><![CDATA[Affirmations and Declarations]]></category>
		<category><![CDATA[Affirmations and Declarations during COVID-19]]></category>
		<category><![CDATA[declaration]]></category>
		<category><![CDATA[declarationS]]></category>
		<category><![CDATA[Oaths]]></category>
		<category><![CDATA[statutory declarations]]></category>
		<category><![CDATA[written affirmation]]></category>
		<category><![CDATA[written declaration]]></category>
		<category><![CDATA[written oath]]></category>
		<guid isPermaLink="false">http://albanylegal.co.nz/?p=1750</guid>

					<description><![CDATA[<p>Many important documents require an oath, affirmation or declaration to validate their authenticity, be used as evidence in Court, or to comply with legislation/rules surrounding their use. It is, under normal circumstances, integral that these oaths, affirmations and declarations are taken in person. With the requirements of COVID-19 Alert Levels - including physical distancing - the ‘normal’ approach is not possible.</p>
<p>The post <a href="https://albanylegal.co.nz/oaths-affirmations-and-declarations-during-covid-19/">Oaths, Affirmations and Declarations during COVID-19</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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			<p>Many important documents require an oath, affirmation or declaration to validate their authenticity, be used as evidence in Court, or to comply with legislation/rules surrounding their use. It is, under normal circumstances, integral that these oaths, affirmations and declarations are taken in person. With the requirements of COVID-19 Alert Levels &#8211; including physical distancing &#8211; the ‘normal’ approach is not possible.</p>
<p>Parliament therefore issued an Immediate Modification Order (IMO) under section 15 of the Epidemic Preparedness Act 2006. IMOs take the form of Orders in Council and essentially rewrite parts of the law where there is a statutory requirement or restriction that is impossible or impracticable to comply with during an epidemic. The IMO relevant to oaths, affirmations and declarations was the <strong>Epidemic Preparedness (Oaths and Declarations Act 1957) Immediate Modification Order 2020.</strong></p>
<p>The purpose of this IMO was to temporarily amend the Oaths and Declarations Act 1957 which sets out the requirements for making oaths, affirmations and declarations. The amendment allows oaths, affirmations and declarations to be taken and witnessed remotely using audio-visual or audio links. Despite this fundamental change, the person taking the oath, affirmation or declaration must still ensure that the person making the oath, affirmation or declaration:</p>
<ul>
<li>Is the person signing the document;</li>
<li>Has read and understood its contents and believes its contents to be true; and</li>
<li>That the exhibits attached to the document are those referred to in the oath, affirmation or declaration.</li>
</ul>

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			<p>This IMO also allows entities that receive statutory declarations to authorise members of their staff to take statutory declarations instead of a lawyer, JP, Deputy Registrar in a Court or other person who would normally do it. This is due to the possible difficulty in finding someone to take statutory declarations as Court counter services are closed to the public and the temporary suspension of Justices of the Peace.</p>
<p><strong>Note</strong> these changes made by the IMO are temporary; once the Epidemic Notice is lifted in New Zealand the law will go back to the position prior to COVID-19.</p>
<p><strong>How can a person take an oath, affirmation or declaration remotely?</strong><br />
The best approach is to set up a meeting for the oath, affirmation or declaration via an audio-visual link such as Skype/Zoom/FaceTime/Messenger. With the audio-visual link it usually becomes possible for the person taking the oath, affirmation or declaration to ensure the identity of the person is established, that the right document is being looked at, that any attachments referred to are attached, and that the person understands it in its entirety.</p>
<p>Since this approach is not as secure as it would be in person, the person taking the oath needs to be satisfied that all usual requirements are satisfied. It’s important that the quality of the audio-visual link enables the oath, affirmation or declaration taker to clearly witness both the person making the oath, affirmation or declaration and the document with attachments (if any).</p>
<p>If the person making the oath, affirmation or declaration is unknown to the person taking it, it is essential they first check reliable photographic identification (normally driver’s licence or passport). It is also vital that both parties are reading the same document(s) and that each page being signed or initialled is clearly visible.</p>
<p><strong>How should a written oath, affirmation or declaration be signed?</strong><br />
The person making the oath, affirmation or declaration should sign the document during the audio-visual or audio link.<br />
The signed document then must be sent to the person taking the oath, affirmation or declaration as soon as possible after the audio-visual or audio link so that they can also sign it. This can be done electronically through scanning or photograph. At Alert Levels 1-3 this could also be done through post or courier. At Alert Level 4 the document can only be posted or couriered if it is an essential “good”.</p>
<p>Although not mandatory, it would be wise for the person taking the oath, affirmation or declaration to note on the document that it was taken by audio-visual link.</p>
<p>If audio-visual communication is not possible?<br />
This IMO also allows the use of an audio-link such as a telephone to take oaths, affirmations or declarations. If this method is used however, precautionary measures are once again necessary to satisfy the usual requirements.</p>
<p>The person taking the oath, affirmation or declaration over the phone should:</p>
<ul>
<li>Read out the document(s) in full;</li>
<li>Be fully informed about the contents of the oath, affirmation or declaration; and</li>
<li>Ensure that the person making the oath, affirmation or declaration is known to them or has some way of verifying their identity.</li>
</ul>

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			<p><strong>Final Notes</strong><br />
It is not necessary for the person taking the oath, affirmation or declaration to also sign a certificate setting out the circumstances in which the oath, affirmation or declaration was made. Nonetheless it might be a good idea to do so to give the entity receiving the oath, affirmation or declaration confidence that the requirements have been complied with.<br />
The New Zealand Law Society has provided a template for lawyers showing what a certificate could look like as well as other guidance on:</p>
<p><a href="https://www.lawsociety.org.nz/practice-resources/the-business-of-law/legal-practice/opinion-administration-of-oaths-and-declarations-in-circumstances-of-mandatory-self-isolation" target="_blank" rel="noopener noreferrer">https://www.lawsociety.org.nz/practice-resources/the-business-of-law/legal-practice/opinion-administration-of-oaths-and-declarations-in-circumstances-of-mandatory-self-isolation.</a></p>
<p>A lawyer has a duty to inform you up front of any costs associated with taking (witnessing) your oath, affirmation or declaration and to charge only a fair and reasonable fee.</p>
<p>If you are still finding it difficult to arrange for an oath, affirmation or statutory declaration you should talk to the entity you are providing the oath, affirmation or declaration too. Some flexibility has been given to some entities to do things a little differently during COVID-19 and your circumstances might be workable.</p>
<p>If you need advice or assistance in dealing with an oath, affirmation or declaration, then contact the Barter Law team.</p>
<p>&nbsp;</p>
<p><em>This blog is published for general information purposes only and is not intended to constitute regulated services under the Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008. The blog posts should not be relied on as legal advice. If you require legal advice you should always contact a lawyer to provide you with specific legal advice on your situation.</em></p>

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</div><p>The post <a href="https://albanylegal.co.nz/oaths-affirmations-and-declarations-during-covid-19/">Oaths, Affirmations and Declarations during COVID-19</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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		<title>Signing and Witnessing Wills during COVID-19</title>
		<link>https://albanylegal.co.nz/signing-and-witnessing-wills-during-covid-19/</link>
		
		<dc:creator><![CDATA[Chris Hallowes]]></dc:creator>
		<pubDate>Sun, 10 May 2020 04:15:00 +0000</pubDate>
				<category><![CDATA[Elder Law]]></category>
		<category><![CDATA[Estate Administration]]></category>
		<category><![CDATA[News]]></category>
		<category><![CDATA[Property Law]]></category>
		<category><![CDATA[Relationship Property]]></category>
		<category><![CDATA[Trusts and Estate Planning]]></category>
		<category><![CDATA[Last wills]]></category>
		<category><![CDATA[Signing and Witnessing of Wills]]></category>
		<category><![CDATA[Signing and Witnessing Wills during COVID-19]]></category>
		<category><![CDATA[Signing Wills]]></category>
		<category><![CDATA[Will-maker]]></category>
		<category><![CDATA[Wills]]></category>
		<category><![CDATA[Wills Act 2007]]></category>
		<category><![CDATA[Witnessing Wills]]></category>
		<guid isPermaLink="false">http://albanylegal.co.nz/?p=1741</guid>

					<description><![CDATA[<p>A cornerstone of the validity of a Will is that it must be signed by the Will-maker in the physical presence of two adult witnesses (section 11 of the Wills Act 2007). The witnesses must not be a beneficiary, or related to any of the beneficiaries, of the Will they are witnessing. The witnesses must each also sign the Will and identify themselves (by name, address and occupation).</p>
<p>The post <a href="https://albanylegal.co.nz/signing-and-witnessing-wills-during-covid-19/">Signing and Witnessing Wills during COVID-19</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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			<p>A cornerstone of the validity of a Will is that it must be signed by the Will-maker in the physical presence of two adult witnesses (section 11 of the Wills Act 2007). The witnesses must not be a beneficiary, or related to any of the beneficiaries, of the Will they are witnessing. The witnesses must each also sign the Will and identify themselves (by name, address and occupation).</p>
<p>A problem therefore arises around the execution of a Will during COVID-19 Alert Levels 3 and 4. Even during level 2, it may be difficult for vulnerable people to properly comply with the witnessing of a Will as they must remain isolated.</p>
<p>In response to this dilemma, Parliament has issued an Immediate Modification Order (IMO) under section 15 of the Epidemic Preparedness Act 2006. IMOs take the form of Orders in Council and essentially rewrite parts of the law where there is a statutory requirement or restriction that is impossible or impracticable to comply with during an epidemic.</p>
<p>The IMO related to signing and witnessing Wills is named the <strong>Epidemic Preparedness (Wills Act 2007 – Signing and Witnessing of Wills) Immediate Modification Order 2020</strong> and came into force on 17 April 2020. This IMO amends section 11 of the Wills Act 2007 in that it allows Wills to be signed and witnessed using audio-visual links (Skype, Zoom, Facetime, etc.) in the following ways:</p>
<ul>
<li>Witnesses can witness the will-maker sign a copy of the Will by audio-visual link;</li>
<li>Witnesses can also sign a copy of the document in front of the will-maker via audio-visual link;</li>
<li>A person signing on the will-makers behalf pursuant to section 11(3)(b) can sign in front of the will-maker through audio-visual link from another place;</li>
<li>Anyone that signs a copy of the Will must make it clear that they signed through audio-visual link because an epidemic notice is in force; and</li>
<li>Photographs or scans of the signed copies of the Will must be sent as soon as practical to a person who has been chosen to hold the documentation. If a lawyer has been involved in preparing and witnessing the Will, they can hold the signed copies of the Will.</li>
</ul>

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			<p>The changes described only apply to Wills made while the Epidemic Notice is in force. Once the Epidemic Notice for COVID-19 is lifted, the law will return to its pre COVID-19 position. You will not be required to make another Will after the COVID-19 epidemic ends as it is a valid will unless you want to change or revoke it.</p>
<p>In special circumstances, for example where you cannot get your Will signed and witnessed either in-person or by audio-visual link due to the restrictions you can get it signed and witnessed after the restrictions have ended. The Will may be written out on paper or typed up electronically so that the Will maker’s intentions on their death are made clear in writing. It is important to let the people you want to be witnesses know that you want them to witness your Will after the restrictions have ended. You should also make it clear in the Will that you cannot get it witnessed due to the epidemic.</p>
<p>This approach does not comply with the fundamental requirements of a valid Will. However, the Wills Act gives the High Court the power to make an order declaring a will to be valid even if it doesn’t comply with the formal requirements – but only if it is satisfied that the document expresses the now deceased person’s intentions. Potentially a difficult test to satisfy if the Estate is being contested.</p>
<p>If you need a will made then contact the Barter Law team.</p>
<p>&nbsp;</p>
<p><em>This blog is published for general information purposes only and is not intended to constitute regulated services under the Lawyers and Conveyancers Act (Lawyers: Conduct and Client Care) Rules 2008. The blog posts should not be relied on as legal advice. If you require legal advice you should always contact a lawyer to provide you with specific legal advice on your situation.</em></p>

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</div><p>The post <a href="https://albanylegal.co.nz/signing-and-witnessing-wills-during-covid-19/">Signing and Witnessing Wills during COVID-19</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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		<title>Residential Tenancy Act COVID19 Amendments</title>
		<link>https://albanylegal.co.nz/residential-tenancy-act-covid19-amendments/</link>
		
		<dc:creator><![CDATA[Chris Hallowes]]></dc:creator>
		<pubDate>Sat, 28 Mar 2020 20:57:51 +0000</pubDate>
				<category><![CDATA[News]]></category>
		<category><![CDATA[Property Law]]></category>
		<category><![CDATA[COVID 19 Residential Tenancy]]></category>
		<category><![CDATA[Residential Property]]></category>
		<category><![CDATA[Residential Tenancy]]></category>
		<category><![CDATA[Residential Tenancy Act]]></category>
		<category><![CDATA[Residential Tenancy Act COVID19 Amendments]]></category>
		<category><![CDATA[Residential Tenancy Act during COVID19]]></category>
		<category><![CDATA[Residential Tenancy Agreements]]></category>
		<guid isPermaLink="false">http://albanylegal.co.nz/?p=1710</guid>

					<description><![CDATA[<p>The Minister of Finance, Grant Robertson, announced on 23 March 2020 amendments to the Residential Tenancies Act 1986 (“Act”). The announcements came in conjunction with the Prime Minister’s advice to the country to prepare to move to Alert Level 4 - Eliminate, by midnight Wednesday.</p>
<p>The post <a href="https://albanylegal.co.nz/residential-tenancy-act-covid19-amendments/">Residential Tenancy Act COVID19 Amendments</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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			<p>The Minister of Finance, Grant Robertson, announced on 23 March 2020 amendments to the <a href="/property-law/">Residential Tenancies Act 1986</a> (“Act”). The announcements came in conjunction with the Prime Minister’s advice to the country to prepare to move to Alert Level 4 &#8211; Eliminate, by midnight Wednesday.</p>
<p>Broadly, Grant Robertson announced that there would be a freeze of rent increases and an extension of the limits to no-cause terminations. The purpose of the changes is “to sustain tenancies to the greatest extent possible and to protect tenants from becoming homeless at this time.”</p>
<p>Whether a landlord or tenant, the effects on you and your rental situation are far-reaching.</p>
<p>Section 60A(1) of the Act has the effect that no tenancy can be terminated unless both parties agree (and in some other limited circumstances). The limited circumstances are if the tenant:</p>
<ul>
<li>Substantially damages, or threatens to substantially damage the premises</li>
<li>Assaults or threatens to assault the landlord, their family, or the neighbours</li>
<li>Abandons the property</li>
<li>Engages in antisocial behaviour (harassment; or any intentional act, if the act reasonably causes significant alarm, distress, or nuisance)</li>
<li>Is 60 days behind in rent, which is increased from 21 days (and the Tribunal will need to take into account fairness and whether the tenant is making reasonable efforts to pay the rent).</li>
</ul>

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			<p>There is also a total ban on rent increases. Both these sets of changes will apply for an initial period of six months. They may still be extended however.</p>
<p>There are also some interesting specific sections that deal with situations when a tenant has symptoms of COVID19 and how an enforced self-isolation may affect the tenancy.</p>
<p>Finally, there is a tough deterrence for any breaches of the new set of temporary rules. Any breaches of the provisions will be unlawful acts and may attract penalties of up to $6,500.00.</p>
<p>If you need advice on your tenancy contact one of the <a href="http://albanylegal.co.nz/">Barter Law</a> team for advice.</p>

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</div><p>The post <a href="https://albanylegal.co.nz/residential-tenancy-act-covid19-amendments/">Residential Tenancy Act COVID19 Amendments</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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		<title>Commercial Leases during COVID19 Alert Level 4</title>
		<link>https://albanylegal.co.nz/commercial-leases-during-covid19-alert-level-4/</link>
		
		<dc:creator><![CDATA[Chris Hallowes]]></dc:creator>
		<pubDate>Wed, 25 Mar 2020 20:57:54 +0000</pubDate>
				<category><![CDATA[Business Law]]></category>
		<category><![CDATA[News]]></category>
		<category><![CDATA[Property Law]]></category>
		<category><![CDATA[Commercial Leases]]></category>
		<category><![CDATA[Commercial Leasing]]></category>
		<category><![CDATA[Commercial Property]]></category>
		<category><![CDATA[Commercial Property Law]]></category>
		<category><![CDATA[Commercial property Leases in COVID-19]]></category>
		<category><![CDATA[Leasing Commercial Property]]></category>
		<guid isPermaLink="false">http://albanylegal.co.nz/?p=1712</guid>

					<description><![CDATA[<p>The announcement made by the New Zealand Prime Minister on Monday 23 March to prepare to move to Alert Level 4 – Eliminate, by midnight Wednesday, made an immediate impact on the New Zealand business landscape. Projected revenue, projects and financial forecasts went out the window for the majority of businesses.</p>
<p>The post <a href="https://albanylegal.co.nz/commercial-leases-during-covid19-alert-level-4/">Commercial Leases during COVID19 Alert Level 4</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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			<p>The announcement made by the New Zealand Prime Minister on Monday 23 March to prepare to move to Alert Level 4 &#8211; Eliminate, by midnight Wednesday, made an immediate impact on the New Zealand business landscape. Projected revenue, projects and financial forecasts went out the window for the majority of businesses.</p>
<p><strong>One of the first questions we were asked from our <a href="/property-law/">commercial tenant</a> and landlord clients’ was “How does this affect me?”</strong></p>
<p>It depends on the terms of your lease agreement. Some agreements simply do not have any terms that refer to a situation like the COVID19 Alert level 4 lock down. If this is the case, the tenant is likely to feel the brunt of the commercial pressure the restrictions are having. One example is the reported situation of the shop owners at Sylvia Park Mall where their landlord Kiwi Property Group Limited, is said to have told tenants “we wish to remind our tenants that their obligation to pay rent and other usual charges continues throughout this period unless the lease expressly states otherwise.”</p>
<p>Luckily, since the Christchurch Earthquakes the Auckland District Law Society (“ADLS”) Standard agreement (6th edition) does have a clause that refers to the current situation. Clause 27.5 states that:</p>
<p>“If there is an emergency and the Tenant is unable to gain access to fully conduct the Tenant’s business from the premises… then a fair proportion of the rent and outgoings shall cease to be payable…”</p>
<p>The definition of Emergency includes an “epidemic” so clearly Level 4 COVID-19 qualifies as such an Emergency. The effect is that a “fair proportion of the rent and outgoings ceases to be payable”. What “fair” means is for agreement by the Landlord and Tenant.</p>
<p>The Courts have not yet had to decide any cases that relate to this clause so there are no authorities to assist people with the interpretation of this clause. ‘Fairness’ is a subjective concept – what is fair for one may not be fair for another.</p>
<p>What may help people to understand how a Court may look at the clause is to think about the situation of the Christchurch earthquakes and why this clause made its way into the ADLS commercial leased agreements. During the Christchurch earthquakes the army and Police were deployed to enforce a complete restriction on any access whatsoever into the red zone. If the premises were in the red zone, the premises may well have not existed – it was a fait accompli.</p>
<p>During the COVID19 lock down, there is arguably the ability to utilise the premises to a greater extent than those affected by the earthquakes.</p>
<p><strong>Therefore in assessing ‘fairness’ some suggested factors to look at are:</strong></p>
<ul>
<li>What is the business “use” of the premises?</li>
<li>Is the business “use” considered an essential service?</li>
<li>If so, what proportion of the business is considered an essential service?</li>
<li>If not, is the tenant still receiving any benefit from the lease while the lock down is in effect (i.e. warehousing, storage, cool stores, remote access to computer servers/telephone systems, etc.)?</li>
<li>What are the respective financial positions of both the tenant and landlord?</li>
<li>What are the outgoings of the premises?</li>
</ul>

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			<p><strong>The financial effects of the agreements you reach now can have long-lasting affects to your business.</strong></p>
<p>Ultimately, every situation is fact specific. It is important to seek advice early and ensure that you have put forward your best position while negotiating an outcome. A negotiated agreement now will definitely reduce the level of uncertainty your business faces and will mean that you are not paying legal costs when the outcome is uncertain. Finding yourself as a “test case” for the interpretation of this clause will undoubtedly be an unenviable position to be in.</p>
<p>If you need advice about this issue then call one of the <a href="http://albanylegal.co.nz/">Barter Law</a> team now.</p>

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</div><p>The post <a href="https://albanylegal.co.nz/commercial-leases-during-covid19-alert-level-4/">Commercial Leases during COVID19 Alert Level 4</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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		<title>Property Settlements during COVID-19 Level 4 Lockdown</title>
		<link>https://albanylegal.co.nz/property-settlements-during-covid-19-level-4-lockdown/</link>
		
		<dc:creator><![CDATA[Chris Hallowes]]></dc:creator>
		<pubDate>Tue, 24 Mar 2020 20:57:55 +0000</pubDate>
				<category><![CDATA[Business Law]]></category>
		<category><![CDATA[Dispute Resolution]]></category>
		<category><![CDATA[News]]></category>
		<category><![CDATA[Property Law]]></category>
		<category><![CDATA[Relationship Property]]></category>
		<category><![CDATA[Property Disputes]]></category>
		<category><![CDATA[Property Resolution]]></category>
		<category><![CDATA[Property Settlements]]></category>
		<category><![CDATA[Relationship Property Law]]></category>
		<category><![CDATA[Settle Property Disputes]]></category>
		<category><![CDATA[Settlement of property]]></category>
		<guid isPermaLink="false">http://albanylegal.co.nz/?p=1713</guid>

					<description><![CDATA[<p>The announcement made by the New Zealand Prime Minister on Monday 23 March to prepare to move to Alert Level 4 - Eliminate, by midnight Wednesday, has had far-reaching social, economic and legal ramifications.</p>
<p>The post <a href="https://albanylegal.co.nz/property-settlements-during-covid-19-level-4-lockdown/">Property Settlements during COVID-19 Level 4 Lockdown</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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										<content:encoded><![CDATA[<p>The announcement made by the New Zealand Prime Minister on Monday 23 March to prepare to move to Alert Level 4 &#8211; Eliminate, by midnight Wednesday, has had far-reaching social, economic and legal ramifications. Not least of all in the area of conveyancing and what should occur for settlements that are scheduled for the period in which the country is at Alert Level 4.</p>
<p>The ADLS Standard Agreement for Sale and Purchase (10th edition) will be the most common contract in use. Clause 3.3 of that contract states that ‘Possession shall be given and taken on the settlement date’. The question for both vendors and purchasers is what is the effect of not being able to take/give possession due to the Alert Level 4?</p>
<p>It is estimated that there are 5,000 property transactions scheduled to take place in the estimated four week lock down period. Each of these transactions will have their own unique set of facts. However, bear in mind the legal impediment to the movement of people. The National State of Emergency issued on 25 March states that “Where you stay tonight is where YOU MUST stay from now on”. It is likely that this legal impediment to movement will mean that the settlement will have to be deferred.</p>
<p><strong>However, what if the property is tenanted and the same tenants will remain after settlement?</strong></p>
<p>This would mean that there is no movement of people required and the transaction could settle.</p>
<p><strong>What happens if the property being sold is due to have new tenants after settlement?</strong></p>
<p>This would require a movement of people so could not settle. There has also been amendments to the <a href="http://albanylegal.co.nz/relationship-property/">Residential Tenancies</a> Act made on 23 March 2020, see post about these changes here Residential Tenancy Act COVID19 Amendments.</p>
<p><strong>What happens if the property is vacant?</strong></p>
<p>This may mean that the transaction could settle but has not been decided by a Court yet.</p>
<p>All these are valid questions and require legal analysis and advice catered to your particular situation.</p>
<p>If you need any advice about your property transaction, then contact either Rick or Wendy from our conveyancing team to get the right advice, first time.</p>
<p>The post <a href="https://albanylegal.co.nz/property-settlements-during-covid-19-level-4-lockdown/">Property Settlements during COVID-19 Level 4 Lockdown</a> appeared first on <a href="https://albanylegal.co.nz">Albany Legal</a>.</p>
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