High Court rules on “red zone” land offers


In Fowler Developments Ltd v CERA [2013] NZHC 2173 the High Court considered applications for judicial review by owners of residential land and uninsured homeowners in the “red zone” challenging the legality of the CERA offers to pay 50% of the 2007 Land Value.  The plaintiffs alleged that the offers were unlawful because they were not made in accordance with the Canterbury Earthquake Recovery Act 2011.   The Court  decided that the “red zone” was not implemented properly in accordance with the CERA. It set aside the 50% offers made and required the Minister & Chief Executive reconsider the decision as to any new purchase offers.  This decision is a victory for the plaintiffs.