Auckland Council has failed in its bid to win a court order to remove Occupy protesters from Aotea Square.
The council claimed the protesters were breaking various bylaws and attempted to seek an injunction from the court to force them to leave, more than six weeks after they first pitched their tents there.
Judge David Wilson refused the interim injunction because the protesters were not given enough time to prepare for the court date.
The council's application for a permanent injunction will be heard at Auckland District Court next week.
Earlier, during a lively hearing, council representative Ross Burns said the occupation was causing tens of thousands of dollars in damage to the public space, including causing grass to die and threatening nearby trees.