08 February 2018

Auction: Relph v. Ryan

Finding they were bidding against each other, property developers Craig Relph and Matthew Ryan agreed to jointly buy a $1.72 million residential rental on The Terrace in central Wellington and then promptly fell out.
Mr Relph made a pre-emptive strike getting a High Court injunction to prevent Mr Ryan lodging a caveat blocking dealings with the land which would derail settlement of the purchase.  He did not let on to Mr Ryan that he was getting a court order.  The High Court was told the two joined forces at a December 2017 auction agreeing Mr Relph alone would bid, buying for the two of them in partnership.  Mr Relph paid the deposit.  Settlement was due in ten weeks.  Mr Relph then made offers to buy out Mr Ryan’s half share but they could not agree on price.  The court was told their business relationship then went downhill rapidly.  Intemperate emails were exchanged.  Mr Ryan intimated he would not be coughing up any cash on settlement but would still claim a share of the property.  Mr Relph was worried Mr Ryan might caveat title to The Terrace, disrupting final settlement and triggering potential penalty interest for late settlement.
Relph v. Ryan – High Court (8.02.18)

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