Family’s feud over father’s business
Wellington businessman Lofty Surridge often did business with a handshake.
But as his health declined, and then he died, the next generation of his family called in lawyers when one member tried to unlawfully seize control of an O¯ taki chemical factory that made cleaning products, according to a court ruling.
Anne Surridge had trespass notices issued against her brother, lawyer Paul Surridge, and his wife, Marion Pearson, hired security guards to stop goods coming and going. She also grabbed exclusive contracts with international suppliers, in breach of a mediated settlement of the dispute.
‘‘By all accounts, Wilbur George Surridge (Lofty) was something of a curmudgeon,’’ said Justice Peter Churchman as he began his judgment in the High Court.
Family described him as someone who could, at times, be hard to get along with, stubborn, not keen on taking advice, and with scant regard for rules.
Through his unorthodox and idiosyncratic practices, he built up a substantial and successful business making and distributing cleaning products, the judge said.
But as his health deteriorated, plans were made for how the business would be run. As family relationships worsened, mediation began in May 2016 to divide the business interests.
Lofty Surridge died in December 2016, aged 91. The terms of the mediated agreement did not hold, and ended with his old firm, Phillip Moore and Company, which he appointed Marion Pearson to run, suing his daughter Anne, alleging she had acted against it to set up a firm in direct competition.
The judge found against Anne Surridge on several grounds, saying denials her actions interrupted the business showed a ‘‘startling indifference to the truth’’.
However, Justice Churchman said the company had failed to provide evidence of its losses, including a claimed $106,000 loss from Surridge secretly negotiating exclusive supply deals with two overseas companies previously contracted to her father’s firm.
But exemplary damages of $15,000 were awarded for her conduct in seizing control of the O¯ taki factory. Another $15,000 damages were awarded over the exclusive supply deals.