Australian Guarantee Corporation (NZ) Ltd v East Brewster Urquhart & Partners - [1990] 2 NZLR 167

Law practitioners — Solicitor's undertaking — Financing of loan — Solicitor gave undertaking to lender to settle loan in full from sale proceeds of properties which he confirmed had been sold unconditionally — Loan was only partly repaid — Borrower decided to sell certain other properties and a further undertaking was given by solicitor that net available proceeds would be paid to lender — Lender mistakenly released all mortgages enabling borrower to sell another property and pay other creditors from proceeds — Whether Court should order solicitor to honour undertaking — Whether second undertaking released solicitor from first undertaking — Whether solicitor's opportunity for indemnity was reduced by lender's actions in releasing mortgages — Whether solicitor should be ordered to pay interest to lender.