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M E Torbett Ltd v Keirlor Motels Ltd

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Citation(s)
  
(1984) 1 NZBLC 102,079

Decided
  
30 March 1984

Judge(s) sitting
  
Casey J

Ruling court
  
High Court of New Zealand

M E Torbett Ltd v Keirlor Motels Ltd

Full case name
  
M E Torbett Ltd (First Plaintiff), Murray Edward Torbett (Second Plaintiff) v Keirlor Motels Limited (First Defendant), Howard Gaskin (Second Defendant)

M E Torbett Ltd v Keirlor Motels Ltd(1984) 1 NZBLC 102,079 is a cited case in New Zealand regarding fraud being a factor in determining whether an exclusion clause is enforceable under the Contractual Remedies Act [1979].

Contents

Background

Torbett purchased a coffee lounge off Keirlor for $115,000. Torbett later found the business to be overstaffed, and while trying to downsize his staff, all his staff went on strike. Fed up with all this, he sold the business 6 months later for $103,000 and sued Keirlor for misrepresentation. Keirlor relied on the exclusion clause as their defence.

Held

The court held that there was misrepresentation, and awarded damages of $11,000

References

M E Torbett Ltd v Keirlor Motels Ltd Wikipedia