The two 18 to 20 Northcroft St, Takapuna, properties are outlined in red. These are at the heart of cases brought by property vendors against Dabin Wang.
The two 18 to 20 Northcroft St, Takapuna, properties are outlined in red. These are at the heart of cases brought by property vendors against Dabin Wang.
An Auckland man and his company reneged on buying three North Shore properties for $20.1 million, prompting vendors to sue him for $4.7m for losses they claimed they suffered.
In two separate cases, a court found against Dabin Wang and his company, with a third case against him scheduled tobe heard this week.
Associate Judge Clive Taylor’s June 29 ruling from the High Court at Auckland outlined what happened in the first case.
In the highest-priced deal, Wang - via Barfoot and Thompson agent Bruce Jiao - offered to buy two neighbouring commercial/retail buildings in the heart of Takapuna.
Those are at 18 and 20 Northcroft St opposite the high-rise Sentinel apartment tower.
Wang offered $15m in a deal struck in October 2020, buying from Elysian Property Trustee via his company Panstar 15.
18 to 20 Northcroft St, Takapuna are outlined in red. These are two properties at the heart of cases brought by property vendors against Dabin Wang.
He paid a $2m deposit. The settlement wasn’t until June last year but he failed to go through with that long-delayed deal.
The owners then tried to sell the places via Bayleys but couldn’t get an acceptable price. They kept Wang’s $2m deposit and sued him for $3.9m as losses suffered from his failure to pay what he had agreed.
Wang’s lawyer Marisa Brugeyroux argued that no judgment should be entered against him. No loss was suffered due to his failure to settle, she said. The court should exercise its discretion to refuse summary judgment. The vendor was already keeping his $2m deposit, she argued.
The judge granted the vendor’s application for summary judgment but declined to rule on how much Wang should pay in damages.
“The issue of quantum of damages for which Mr Wang is liable should be determined at trial,” Associate Judge Taylor decided.
Second case - Milford property
The next case has similarities to the first.
Associate Judge Rachel Sussock’s decision of October 6 said Wang’s company Vast Investment offered to buy a property in a residential area: Dodson Avenue, Milford.
But that also failed to settle. No address was given.
Trustees of the Meribel Trust - Sam Gordon Morse and Jennifer Kate Whittle - sued Wang and Vast over not paying $5.1m to buy their property, as agreed. They wanted $324,000 damages from him, as well as keeping his deposit, amounting to $834,000.
In October 2021, the parties struck a deal with delayed settlement, Wang personally guaranteeing his obligations.
A 10 per cent deposit of $510,000 was paid in two lots but by March this year, Vast had not settled or paid $4.5m due.
Wang said he had wanted to develop that property as well as a neighbouring one, building eight stand-alone houses there.
In a separate case, Jay Bath failed to settle the purchase of this house in Manurewa and that also went to court. Photo / Dean Purcell
Liability was not denied but it was argued the $510,000 deposit forfeited should be taken into account when assessing loss.
That deposit covered loss suffered so no judgment should be entered against him or his company, argued Brugeyroux and Kai Lang Chiu of McVeagh Fleming.
But the vendors argued they had paid $115,000 real estate agent’s commission, $12,000 in legal fees, ongoing council rates for the place they had expected to sell and wanted the equivalent of interest at a rate of 10 per cent for the $4.5m the company failed to pay.
Associate Judge Sussock granted summary judgment in favour of the vendors whom she then ordered to file a memo setting out the amount they wanted in damages with supporting affidavits. Dates were projected to take matters into this month.
Only then would the amount be decided on, she ruled.
“Whether summary judgment on quantum can be granted will then be determined on the papers or a hearing allocated if necessary,” the judge concluded.
On Monday the High Court was due to hear a third case against Wang. That was brought by M R and C A Munroe Trustee. It was also an application for summary judgment. No outcome is yet known.
Brugeyroux told the Herald yesterday that matters were before the court, being defended and decisions were reserved “so it was not appropriate for us or Mr Wang to comment further on those proceedings at this time”.
In September, the Heraldreported how another man, Jay Bath, contracted to buy a $1.16m Manurewa house and was ordered to pay $429,000 for failing to settle.
Trustees of the Sonny and Anna Whakaruru Family Trust sued. Associate Judge Sussock ordered he pay damages of $320,500 and other sums.
He didn’t challenge liability but opposed summary judgment, arguing the vendors failed to act reasonably to mitigate their losses when he didn’t settle.
Anne Gibson has been the Herald’s property editor for 23 years, has won many awards, written books and covered property extensively here and overseas.
