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The high-profile court case between CPA Australia and the New Zealand Institute of Chartered Accountants (NZICA) has concluded, with the institute awarded costs.
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Chartered Accountants awarded costs
06 October 2015
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8 minute read
The case, heard in New Zealand’s High Court, related to events which occurred between two and five years ago and was brought by CPAA against NZICA, which is now part of Chartered Accountants Australia and New Zealand (CAANZ).
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CPA Australia alleged that on a number of occasions between 2011 and 2013, NZICA overstepped the appropriate boundaries of rivalry between the designations, with actions covering statements in flyers, advertisements, news articles and at industry events which were defamatory and in breach of the NZ Fair Trading Act 1986.
NZICA was ultimately succesfully in its defence and has now been awarded costs totalling NZ$124,058.
The case involved events that happened before the merger of NZICA and The Institute of Chartered Accountants in Australia (ICAA).
CAANZ chief executive Lee White said he is pleased the matter has now been dealt with.
“Prior to the High Court hearing we made efforts to settle the disagreement between the two organisations as we did not believe it was in the interests of either party, the accounting profession or our members to take the issue to court,” Mr White said.
“We acknowledge Justice Dobson’s comments regarding the settlement. We had genuine intention to settle the case before it got to court.”
In rejecting the claims for damages, Justice Dobson found that the statements complained of had not crossed the required threshold of seriousness. CAANZ NZ Country Head Kirsten Patterson has apologised for the inaccuracy of some of the statements made.
Justice Dobson also found that there was no justification for any award of damages in relation to the Fair Trading Act aspects of the case which concerned a student flyer and an advert distributed in 2011 and 2012 respectively. These events occurred prior to the amalgamation and the appointment of Kirsten Patterson as NZ Country Head of the new organisation in November 2013.
“As a responsible employer, CAANZ judges the performance of Kirsten Patterson on the positive contribution she has made leading the organisation through its transition since her appointment to NZ Country Head. The CAANZ Board and I have every confidence in her,” said Mr White.
“While some members have expressed concern at the legal costs incurred, others have contacted us to offer their full support.”
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