VALUATION ISSUE.

Ashburton Guardian, Volume 51, Issue 133, 18 March 1931, Page 2

VALUATION ISSUE.

QUESTION AS TO BASIS. CASE BEFORE APPEAL COURT. (Per Press Association). WELLINGTON, March 17. The Court of Appeal was engaged to-day in hearing the case of New Zeaalnd Newspapers, Ltd. v.. Sun Newspapers, Ltd. By agreement for sale and purchase executed on September 17 last, Sun Newspapers, Ltd., agreed to sell to New Zealand Newspapers, Ltd'.,, certain assets of the former company situated at Auckland. Clauses 1 and 2 of the agreement provided that the plant, machinery, office equipment, land and buildings were to' be purchased at i valuation, one valuer to be appointed 'by the buyer and one by the seller. In the event of any difference of opinion the matter was to be referred to a third valuer independently appointed ! by the others, whose decision should be final. Sun Newspapers, Ltd., appointed Thomas Buddie Arthur, of Auckland, and the other company Hubert Earle Vaile, of Auckland, to act as respective valuers. Differences of opinion having arisen between Messrs Arthur aud Vaile as to the value to be placed on the land and buildings, Sir Thomas Walter Stringer, of Auckland, was appointed to act as umpire for the purpose of fixing the value. On November 20, 1930, he gave his decision fixing the value of the lands and buildings at £59,700. Sir Cecil Leys, managing director of New Zealand Newspapers, Ltd.. thereupon wrote to Sir Walter Stringer contending that the assessment had been made on a wrong basis, and without regard to the facts placed before him. Sir Walter Stringer repleid that he was willing to put in writing the principles upon which he made the valuation, and if it was still thought that his valuation was incorrect he was willing for it to be reviewed by a legal tribunal. New Zealand Newspapers, Ltd., thereupon filed a motion) to have the award remitted back to Sir Walter Stringer for reconsideration upon the ground that he had adopted a principle erroneous in law when making his assessment. Sir Walter Stringer, at the'request of that company, has made an affidavit setting out in full the basis upon which lie arrived at his award. * The motion has been removed into the Court of Appeal for argument. On the Bench are the Chief Justice (Sir Michael Myers), Mr Justice Reed, Mr Justice Adams, Mr Justice Ostler, Mr Justice Smith. Messrs A. H. John stone and Rogerson are appearing for New Zealand Newspapers, Ltd., aud Mr Northerol't, with him Mr P. B. Cooke and Mr H. V. James for Sun Newspapers, Ltd. After hearing argument by Mr Johnstone in support of the motion, the Court adjourned till to-morrow.