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Commercial litigation covers disputes that arise from business activity - for example contract disputes, debt recovery, shareholder and partnership conflicts, disputes over commercial leases, insolvency and liquidation, construction payment issues, and claims for breach of trade practices. In Feilding, a town in the Manawatu region, commercial matters are commonly dealt with through a mix of local advice, mediation and dispute resolution services, and by filing proceedings in the appropriate court registry. More complex or higher-value matters are usually heard at the High Court or at regional centres such as Palmerston North.
Commercial disputes often involve significant sums, complex documents and strict procedural requirements. You may need a lawyer when:
- You have an unpaid invoice or a customer refuses to perform a contract and early recovery is important.
- A business partner or shareholder dispute threatens the operation or ownership structure of your business.
- There is a dispute over a commercial lease - for example rent, repairs, or eviction.
- Your business faces insolvency, creditor demands or enforcement actions such as statutory demands or liquidation threats.
- You need to enforce a judgment, or a counterparty is seeking to enforce a judgment against you.
- There are allegations of misleading or deceptive conduct, breaches of the Fair Trading Act, or other regulatory or statutory claims.
- You want legal advice about the strength of a claim, the likely costs of litigation, or whether alternative dispute resolution is a better option.
Key legal and procedural points that matter for commercial litigation in Feilding and the surrounding Manawatu area include:
- Court structure and jurisdiction - The District Court and the High Court handle civil disputes. The District Court has a civil jurisdictional limit for many matters and the High Court deals with higher-value or legally complex claims. Regional court registries are often in centres such as Palmerston North for filing and hearings.
- Contract and tort law - Most commercial disputes turn on contract interpretation, breach of contract or tort claims such as negligence. The Limitation Act provides time limits for bringing claims - the usual limitation period for actions based in contract or tort is six years, but exceptions can apply.
- Companies and insolvency - The Companies Act, insolvency and liquidation rules affect disputes with or against companies. Creditors can use statutory demands and, if unpaid, may seek liquidation. Directors may face claims in certain circumstances, including where they acted improperly.
- Security and priority - The Personal Property Securities Act and the Companies Office filings affect secured transactions, priorities and repossession rights. Where security interests exist, parties must check PPSR registrations to understand priority.
- Consumer and fair trading rules - The Fair Trading Act and related legislation can be relevant where commercial conduct or representations are at issue.
- Construction adjudication and payment disputes - Construction law includes specific procedures for progress payments and adjudication under the Construction Contracts Act and related rules. These processes are designed to give quick interim relief for payment issues.
- Alternative dispute resolution - Mediation, arbitration and settlement conferences are commonly used and courts expect parties to consider these options. Courts may take pre-action conduct into account when deciding costs or procedural orders.
- Costs and enforcement - New Zealand courts typically order the unsuccessful party to contribute to the successful party's costs, but that does not usually cover all legal fees. Successful judgment creditors have enforcement options such as writs of execution, bankruptcy or liquidation processes, and garnishment mechanisms.
Commercial litigation is the process of resolving business-related disputes through formal legal proceedings. It includes court cases about contracts, debts, business structures, shareholder disputes, commercial leases, insolvency, and statutory or regulatory claims affecting businesses.
Smaller civil claims are typically filed in the District Court. Higher-value or legally complex cases may be filed in the High Court, often at the regional registry such as Palmerston North. The right forum depends on the value of the claim, the legal issues, and any jurisdiction clauses in contracts.
Timing varies widely. Simple debt recovery matters can be resolved in weeks or a few months if the debtor cooperates. Litigated disputes that proceed to trial can take many months or more than a year, depending on complexity, disclosure, expert evidence and court timetables. Mediation or settlement can shorten the timeline significantly.
Costs depend on complexity, court level, the amount of work, and whether experts are needed. Lawyers may charge hourly rates, fixed fees for some tasks, or discuss litigation funding arrangements. Courts usually award costs to the successful party on a partial basis - not necessarily covering all legal fees. Ask a lawyer for an upfront estimate and a cost management strategy.
Generally, actions founded on contract or tort should be started within six years of the cause of action. There are exceptions and different rules for certain types of claims, so seek legal advice promptly if you suspect you have a claim to avoid missing important time limits.
Yes. Mediation and arbitration are common and can be faster and less costly than court. Many commercial contracts have arbitration clauses that require arbitration before court proceedings. Courts also encourage parties to explore alternative dispute resolution and may require evidence of pre-action steps.
Gather all relevant documents - contracts, emails, invoices, letters, delivery notes, payment records, meeting notes and any communications with the other party. Prepare a clear timeline of events and note what outcome you want. This helps your lawyer give a practical early assessment and cost estimate.
Claims against directors are possible in certain circumstances - for example, if directors have given personal guarantees, engaged in fraudulent or unlawful conduct, or breached duties. Whether a director is personally liable depends on the facts and applicable law, so get specific legal advice before proceeding.
Judgment enforcement options include writs of execution to seize assets, garnishee orders to collect money from third parties, charging orders, and insolvency procedures such as bankruptcy or liquidation. The appropriate enforcement method depends on the judgment debtor’s assets and circumstances.
There are several options - law firms may offer staged billing, limited scope retainers or conditional arrangements in some cases, and third-party litigation funders may be available for certain commercial disputes. You can also consider mediation or negotiation as lower-cost alternatives. Discuss funding and costs with prospective lawyers before you commit.
Useful organisations and resources to consider when seeking assistance in commercial litigation include:
- New Zealand Law Society - for information about lawyers and professional standards.
- Ministry of Justice - for court processes, forms and procedural information.
- Court registries and regional High Court offices - for filing and scheduling matters; regional centres such as Palmerston North service the Manawatu area.
- Companies Office and Insolvency services - for company records, statutory demands and insolvency procedures.
- Personal Property Securities Register - to check security interests affecting business assets.
- Commerce Commission and Fair Trading advisory resources - for claims involving misleading or deceptive conduct or trade practices.
- Local community law services and business advisory clinics in the Manawatu region for initial guidance if cost is a concern.
Follow these practical steps if you need legal help with a commercial dispute in Feilding:
- Act promptly - identify and preserve key documents and evidence and be mindful of limitation periods.
- Get an early legal assessment - contact a commercial lawyer and ask for a clear initial advice letter or meeting that outlines options, likely costs and risks.
- Explore alternatives to court - consider negotiation, mediation or arbitration as cost-effective ways to resolve the dispute.
- Clarify costs and funding - ask your lawyer for an estimate, billing structure and potential funding or staged options.
- If you proceed to court, follow pre-action steps and disclosure obligations - this improves credibility and may affect costs orders later.
- Keep communication professional and documented - continue to record key interactions and preserve digital and physical records.
Commercial disputes can be stressful and consequential for your business. Early, practical legal advice tailored to your situation in the Feilding and Manawatu context will help you understand your choices and work toward a resolution that protects your commercial interests.
