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Home / Business

Appeal dismissed in $400m family fight

NZ Herald
6 Oct, 2016 10:47 PM3 mins to read

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The late businessman and philanthropist Hugh Green. Photo / Steven McNicholl.

The late businessman and philanthropist Hugh Green. Photo / Steven McNicholl.

Three judges today dismissed two appeals in the family fight for control of the late Hugh Green's $400 million empire.

The Court of Appeal's Justice Rhys Harrison, Christine French and Stephen Kos also told the warring siblings that their father would "not have wanted to see the children he loved embroiled in wasteful and destructive litigation".

"There is a need for a permanent solution, which ultimately can only be achieved by the family itself," the judges said when dismissing the appeals.

Green, who died aged 80 in 2012, built up his businesses after migrating from Ireland in the 1950s.

His interests included the Hugh Green Group, a family-owned property company, and the Hugh Green Foundation, a charitable organisation that supports causes such as medical research and people with disabilities or serious illness.

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The philanthropist's eldest daughter, Maryanne, had been chief executive of the Green Group but she left the business in the 12 months before her father died.

Hugh Green's final will, dated April 2012 - signed months before he passed away - added two of his five children, John and Frances Green, and lawyer Michael Fisher as executors. This small change had a big impact as the executors can appoint people to the trusts that control the entire Green Group.

In June last year, Maryanne won a major courtroom victory.

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In that case, then-Chief High Court Judge Helen Winkelmann found Hugh Green had been subject to undue influence from his son John when he made a series of decisions in the last year of his life.

They included removing Maryanne as a trustee and director and signing his final will. The judge ruled that will to be invalid and reappointed Maryanne to several Green Group companies.

Justice Winkelmann also declared Maryanne was a trustee of the Hugh Green Trust and Hugh Green Property Trust, which control the business side of the Green Group.

The judge also said John and Frances were not validly appointed and not directors of the Green Group firms.

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She also removed the pair from the two trusts in question.

John and Frances appealed the decision, which was argued before Justices Harrison, French and Kos.

The Court of Appeal judges today dismissed their appeals and at the end of their decision said:

"Hugh Green was a remarkable man who left his family a remarkable legacy.
He was generous and it was clear from the evidence that he wanted the wealth he
created to be a positive thing and a force for good," they said.

"During the hearing, both sides professed to know Hugh's wishes. But one thing is beyond all doubt. Hugh would not have wanted to see the children he loved embroiled in wasteful and destructive litigation. There are no fewer than three proceedings on foot, with the prospect of more to come," the judges said.

"The measures put in place by [Justice Winkelmann] are working well, but they are
only interim stop gap measures. There is a need for a permanent solution, which
ultimately can only be achieved by the family itself."

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