Waipareira Trust faces big legal bill

A move to force certain board members of the Waipareira Trust to pay nearly $180,000 in legal costs from a recent court action has failed.

Justice Paul Heath yesterday declined the application by five new trust members against 10 existing members to have the outcome of recent board elections enforced. The five wanted the members who forced the court action to pay legal costs.

Former Labour MP John Tamihere, one of the new trustees, said the decision to block the appointment of the five democratically elected members was in direct conflict with the wishes of whanau members who voted in the November poll.

"Why should the whanau foot the bill for what was the actions of a few?"

Justice Heath disagreed and ordered that the trust pay legal costs.

In a 27-page judgment, Justice Heath said the trust had no right to overrule a democratic decision.

"In my view, for the reasons I have given, the whanau were entitled to elect seven members of the board. There is no basis for the suggestion that the board can override that democratic choice."

He ordered the board to recognise the new members.

Mr Tamihere said he was concerned about the high cost of legal fees from the court action, which totalled almost $180,000. The legal bill from trust lawyer Chen Palmer and Associates was $86,512 plus GST and disbursements.

Chen Palmer and Associates provided advice on the case, defended the action in court and gave the trust constitutional advice.

Trust chairwoman Evelyn Taumaunu said the judgment would let the board move forward.

She declined to say where the money for the fees would come from.