Fowler Developments Limited v The Minister for Canterbury Earthquake Recovery, The Chief Executive of the Canterbury Earthquake Recovery Authority. - SC 8/2014

A The applications for leave to appeal in SC 5/2014 and SC 8/2014 are granted.
B The questions on which leave is granted are: Was the establishment of the Residential Red Zones in Christchurch lawful as being a legitimate exercise of any common law powers or “residual freedom” the Crown may have, given the terms of the Christchurch Earthquake Recovery Act 2011? Were the offers made by the Crown to Residential Red Zone property owners under s 53 of the Christchurch Earthquake Recovery Act 2011 lawfully made? In particular: (i) Was there a material failure to comply with the Act? (ii) Was there a rational basis for the distinction drawn between those owners who were insured and those who were uninsured?
5 May 2014
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A The appeal is allowed in part.
B There is a declaration that the September 2012 decisions relating to uninsured improved residential property owners and to vacant residential land owners in the red zones were not lawfully made.
C The first and second respondents in SC 5/2014 and the respondent in SC 8/2014 are directed to reconsider their decisions in light of this judgment.
D Leave is reserved to apply for any supplementary or consequential orders.
E The first and second respondents in SC 5/2014 are to pay to the appellants costs of $40,000 plus usual disbursements. We certify for three counsel.
F The respondent in SC 8/2014 is to pay to the appellant costs of $20,000 plus usual disbursements. We certify for two counsel.
13 March 2015