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Chris The Lawyer
Chris The Lawyer, Lawyer
Category: New Zealand Law
Satisfied Customers: 22303
Experience:  37 years qualified as a lawyer; LLB, MMgt and FAMINZ.
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We have a private water scheme in otago 22 shareholders and

Customer Question

we have a private water scheme in otago 22 shareholders and 5 properties which were given resource consent to use our scheme by the previous of the water scheme. One of the properties refuses to pay the annual fee of $250 dollars for the last 10 years , the Question is are we in breach of the resource consent act if we cut the water supply to that property ?
Submitted: 7 months ago.
Category: New Zealand Law
Expert:  Chris The Lawyer replied 7 months ago.
Without sighting the consent terms and conditions, I cannot be definate but I would expect any such scheme does have an implied term that members should pay the costs. So if one refuses, then he is not paying his way, and it must therefore be at least implied that he doesn't want to take part. So cut his water off and tell him that he has breached the terms which although verbal, are still binding
Customer: replied 7 months ago.
The previous owner Keith ) of the water scheme was approached early in 2005 to supply water to a small subdivision (5 sections ) which he agreed too . Keith then wrote to civic corp Wanaka in march 2005 saying that they would have to pay a connection fee and then pay a minimal maintenance fee for each of the sections , in return he could provide a maximum of 1800 litres of potable water per day . Keith sold up the next year, and the original users of the water company took over and 22 shares were listed . The 5 sections however were not included in the shareholding . I assume taking over the company from keith we need to honour the original consent ? If that is correct then each of the 5 sections needs to also comply with our conditions and the conditions to which civic corp also agreed too ? Can we disconnect the one person from our scheme ? Do we need to notify the owner of the section , The council ? can we claim the debt owing ?
Expert:  Chris The Lawyer replied 7 months ago.
Without seeing the documents, I think you are correct, that the section owners need to comply. If he refuses to contribute, then he wont be surprised if he gets cut off. Tou could bring a claim in the Disputes Tribunal which would be much easier than the District Court.
Customer: replied 7 months ago.
regardless of any debt owed i will notify civic corp or now Queenstown lakes council stating that the agreement has not been honored and we are disconnecting the water and he needs to comply somehow else . We will also notify the owner .Does this sound like a reasonable way to move forward .
Expert:  Chris The Lawyer replied 7 months ago.
if he doesnt want to contribute then cutting his water off seems reasonable to me
Customer: replied 6 months ago.
Still in the dark reasonable may not be lawfull
Expert:  Chris The Lawyer replied 6 months ago.
If this is a private scheme bound by contract there are mutual obligations, which are to pay the share of costs and then be supplied water. If he wont pay he has breached the contract and you can then stop supplying water.

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