After six years unpaid part-time work on the Scobie family farm in Taranaki, daughter Jan-Marie was awarded $163,500 but could not claim this work allowed her a one-third interest in the farm itself.
Jan-Marie Tervoert was at odds with parents Noel and Marie Scobie over her entitlement to a share of the family farm at Huinga, near Stratford. Her parents moved from South Canterbury in 2009. Jan-Marie followed them north the following year, getting a full-time job with Tegel Foods at Bell Block, near New Plymouth. Marie Scobie told the High Court she was concerned then about her daughter’s financial and mental health following the break-down of her first marriage. Jan-Marie was offered rent-free accommodation in the farm cottage in return for help around the farm. Over the next six years she worked irregular hours on the farm, fitting work around her Tegel job 62 kilometres away. In 2017, Jan-Marie’s sister and her husband came to live on the farm, at Mr and Mrs Scobie’s request. They were paid a weekly wage, working as fulltime farmhands. Evidence was given that this change in circumstances led to major rifts within the family: Jan-Marie said her previous work entitled her to a one-third interest in the farm; her parents belittled the amount of work done, saying she had benefitted from rent-free accommodation in return for this work.
Justice Cull ruled Jan-Marie had made considerable contributions benefitting the farm: first, labouring work around the farm, arranging contractors to come on site and buying in items needed for the farm; and secondly, financial contributions helping pay farm mortgage interest when liquidity was tight. Most of the money she advanced was recorded in a deed of debt, with interest due on the loan. There was no agreement Jan-Marie’s work entitled her to a beneficial share in the farm, Justice Cull ruled. And her contributions did not create a constructive trust, Her Honour said.
Jan-Marie was awarded compensation assessed on quantum meruit; legal jargon as payment for the work done. The value of her farm labour was assessed at $163,506, which included reimbursement of $13,500 for direct farm expenses she incurred.
There was no deduction for the value of her farm accommodation. Her occupation of a farm cottage was merely part of a general family arrangement, Justice Cull said. Jan-Marie did not have exclusive occupation; other family members joined her at the property when visiting. Her sister and husband took over the cottage from 2017 when they came to work fulltime on the farm.
Tervoert v. Scobie – High Court (19.05.20)
20.085