Ordered to pay $1.01 million for reckless trading as the New Zealand-based director of a Japan used car exporter, Yujiro Fujisawa had the High Court re-open the case on grounds his poor understanding of English and unfamiliarity with the New Zealand legal process meant he missed his day in court.
In May 2025, Callin Auto New Zealand Ltd liquidators got judgment by default against Mr Fujisawa for Companies Act reckless trading on evidence that the company had been trading at a loss for some ten years.
Callin Auto was set up in 2012 to sell used cars in New Zealand, imported from Japan.
Mr Fujiswa claims he is being held liable for New Zealand trading losses as a scapegoat by Callin Auto’s owners in Japan.
They were aware of their New Zealand company’s parlous financial position, but pressed him to continue business, he claims.
High Court rules allow a default judgment to be set aside or varied where there may have been a miscarriage of justice.
Mr Fujisawa told the court he did not ignore legal action taken against him.
He did consult lawyers, but progress fizzled out when he could not pay their legal fees.
He went to the High Court registry, producing documents and speaking to staff for advice on what he should do.
Mr Fujisawa claims he did not get notice of the High Court hearing where he was subsequently ordered to pay $1.01 million damages.
On getting advice of the adverse court ruling he again contacted court staff, and then a law firm.
He acted for himself in court when asking the case be reopened.
Justice Blanchard ruled reopening was appropriate.
Mr Fujisawa must accept some responsibility for trading losses, he said.
It is a case of what level of damages he should pay.
Judges have a discretion in deciding the level of damages for any breach of directors’ duties.
Of Callin Auto’s $1.01 million unpaid debts, $978,000 is owed Japan.
Mr Fujisawa considers Japan should bear this loss.
A further court hearing is required.
Callin Auto New Zealand Ltd v. Fujisawa – High Court (31.08.26)
26.248