Westpac New Zealand Limited v Alan John Clark - SC 67/2008

Civil Appeal – Property – Mortgages – Security – Fraud – Whether Court of Appeal erred in holding, in effect, that Appellant’ s mortgage secured nothing – Whether Court of Appeal erred in rejecting Appellant’s submission that upon registration of a mortgage, charged property is rendered liable for the mortgage debt (monies advanced in terms of or in reliance upon the mortgage or monies secured by the mortgage) whatever the mortgage debt is established to be by the lender – Whether Court of Appeal erred in rejecting Appellant’s submission that for purposes of determining what monies are secured by a mortgage, there is no difference between an acknowledgment contained in a mortgage of a particular sum lent with a covenant to repay that sum and an acknowledgment of an unparticularised sum (“all monies”) with a covenant to repay those monies – Whether Court of Appeal erred in holding that a personal covenant to pay contained in a mortgage is independent of the charged created by the mortgage and does not attract indefeasibility on registration – Whether Court of Appeal erred in holding that the terms of the loan agreement between the Appellant and a fraudster were not incorporated into the registered mortgage – Whether Court of Appeal erred in holding Appellant suffered no loss as a result of the Respondent’s breach of undertaking to register the Appellant’ s mortgage “promptly”.[2008] NZCA 346  CA 172/06    5 September 2008