Oceanview Holdings Ltd v Clarry M O'Byrne Ltd - [1989] 1 NZLR 574

Property law — Lease — Liability for fire damage to premises — Covenant to insure — Lessor covenanted to insure premises and to apply proceeds in reinstatement — Premises were damaged by fire caused by lessee's negligence — Whether lessor's duty to insure relieved the lessee of liability for damage caused by its breach of contract or negligence.

Tort — Negligence — Duty of care — Strict liability — Lessee and bailee — Premises were leased for spray coating business — Building and vehicles were damaged by fire — Fire spread from an open plastic bin containing rubbish and waste material — Regulations provided that material used in spray coating be disposed of in a metal container with a close-fitting lid — Lease required lessee to comply with all regulations — Whether fire was a result of lessee's negligence — Whether lessee was liable to the lessor and owners of vehicles stored on premises for damage caused by the fire — Occupiers' Liability Act 1962, ss 3 and 7.