Fonterra continues the legal dispute over the sewer pipe
Source: The DairyNews
Fonterra's legal struggle to assert its wastewater discharge rights over a drainage pipe, once situated on Crown-owned land, continues after a recent court dismissal. The dairy giant's request for a summary judgment from the High Court was rejected, necessitating a full trial.
The controversy centers around a pipe extending from Fonterra's Longburn dairy factory through a tract now owned by Longburn Holding Co and discharging into the Manawatū River. This land was formerly part of the New Zealand Railways Corporation and was acquired by Longburn Holding Co in 2018.
Fonterra maintains that an easement was established in 1926, allowing its predecessor to use this pipe for wastewater discharge. They argue that the Crown, by acquiring part of the land for wastewater ponds in the 1980s and allowing the construction of a second pipe, implicitly consented to this arrangement. Since the enactment of the Resource Management Act in 1991, Fonterra has been granted rights to discharge from the second pipe.
However, Longburn Holding Co challenges the existence of the original pipe and denies knowledge of any rights associated with the second pipe until 2022, when Fonterra proposed an easement. This was further complicated by revelations from Horizons Regional Council regarding the contents of the pipe.
Testimony from Robin Ware, who worked on the property from 1968 to 1999, contested Fonterra's claims, noting that he never saw the first pipe and that the second pipe was laid without heavy machinery or formal consent.
Associate Judge Andrew Skelton ruled that the lack of documented consent from the Crown and conflicting testimonies necessitate a thorough examination through a trial. This decision means Fonterra's claim to formalize its wastewater discharge rights will be further scrutinized in court.
Fonterra maintains that an easement was established in 1926, allowing its predecessor to use this pipe for wastewater discharge. They argue that the Crown, by acquiring part of the land for wastewater ponds in the 1980s and allowing the construction of a second pipe, implicitly consented to this arrangement. Since the enactment of the Resource Management Act in 1991, Fonterra has been granted rights to discharge from the second pipe.
However, Longburn Holding Co challenges the existence of the original pipe and denies knowledge of any rights associated with the second pipe until 2022, when Fonterra proposed an easement. This was further complicated by revelations from Horizons Regional Council regarding the contents of the pipe.
Testimony from Robin Ware, who worked on the property from 1968 to 1999, contested Fonterra's claims, noting that he never saw the first pipe and that the second pipe was laid without heavy machinery or formal consent.
Associate Judge Andrew Skelton ruled that the lack of documented consent from the Crown and conflicting testimonies necessitate a thorough examination through a trial. This decision means Fonterra's claim to formalize its wastewater discharge rights will be further scrutinized in court.
