The
current owner of a North Canterbury farm previously owned by Charles Upham VC
can sell over the top of a caveat lodged by the financially-pressed prior owner
Richard Watherston who claims he has a right of first refusal on any further
sale.
Mr Watherston purchased Upham’s 237 hectare
Rocky Peaks farm near Kaikoura back in 1988.
He did intend to develop a business park on part of the farm but plans
stalled. The High Court was told Mr
Watherston’s personal assets were put into receivership in May 2013 by PGG
Wrightson. This receivership included
his interest in Rocky Peaks. Seven
months later the farm was sold to a syndicate called Thompson Property Group
for $1.9 million. On the sale, Thompson
Property agreed to a joint venture with Mr Watherston; leaving him in charge of
farming operations and giving him right of first refusal to buy back Rocky
Peaks.
Mr Watherston registered a caveat over
titles to Rocky Peaks in February 2015, having got wind of a proposed
sale. A caveat blocks any registrations
against the title. Justice Dunningham
ordered that the caveat lapse. Thompson
Property had a buyer willing to pay $2.28 million for Rocky Peaks. The farm was offered to Mr Watherston at this
price but he was unable to pay, the court was told. PGG Wrightson is still owed $1.8 million in
Mr Watherston’s receivership.
Watherston
v. Kaikoura Pastoral - High Court
(6.10.150
15.110