28 August 2026

Nuisance: Larsen v. Runes Investments

  

Each neighbour blamed the other for landslip damage on Fenton Street in Thames, with the High Court ruling upside neighbour Christine Larsen liable in the tort of nuisance for failing to properly stabilise her driveway.  She was ordered to install a proper retaining wall and pay $350,000 damages to neighbouring property owner, an Australian-registered company: Runes Investments Pty Ltd. 

Property owners are liable in nuisance for the foreseeable consequences of any ongoing activity causing substantial interference with a neighbour’s use of their land.

Runes Investment complained ongoing water run-off from Ms Larsen’s driveway led to a landslip on Runes Investments’ property in the aftermath of cyclone Gabrielle in 2023 and was an ongoing threat to other properties further downhill.

Runes Investments purchased 303A Fenton Street in 2013; Ms Larsen, neighbouring 303B the following year.

Ms Larsen claimed the landslip was caused by Runes Investments excavations for its driveway at 303A.

Evidence was given of Ms Larsen’s neighbouring concrete driveway at 303B being constructed by a previous owner on top of fill, raising the level of this driveway above the then natural contour of the land.

Prior to the 2023 cyclone Gabrielle landslip, Runes Investments got specialist engineering and geo-technical reports on five occasions on how to best remediate intermittent flooding and minor slips emanating from Ms Larsen’s 303B.

Construction of a properly drained retaining wall on Ms Larsen’s property was recommended.

She was provided with copies of these reports.

The court was told she obtained no specialist reports of her own and chose to ignore the reports provided by Rune Investments, taking the view she had been advised ‘not to do anything as it had been like that for years’ and nothing had happened.

Post-cyclone Gabrielle, engineers suggested a rudimentary timber retaining wall installed by Ms Larsen and a friend had in fact accentuated the problem, creating further erosion by concentrating water runoff.

Confirming an earlier District Court ruling, Justice Kawharu ruled Ms Larsen liable in nuisance for failing to take reasonably prompt and effective steps to deal with the problem.

Driveway construction for Ms Larsen’s 303B created a known defect risking future damage to her neighbour’s property, she said.

The extent of damage wrought following cyclone Gabrielle might not have been anticipated, but the risk of it occurring was known.

Damages of $350,000 for Rune Investments was calculated as the cost of remediating its property.

To avoid further damage to Rune Investments’ property at 303A, Ms Larsen was ordered to install a properly drained retaining wall.

Larsen v. Runes Investments Pty Ltd – High Court (28.08.26)

26.244