BUILDING AGREEMENT

Ashburton Guardian, Volume 54, Issue 196, 1 June 1934, Page 3

BUILDING AGREEMENT

DEFINITION OF ‘ OUTSIDE GOSTS.'

(Per Press Association). WELLINGTON, May 31. An interpretation of the words “outside costs” in an agreement for the building of certain premises in Hastings was given by the Chief Justice (the lit. Hon. Sir Michael Myers) in the Supreme Court to-day. Plaintiffs were Trevor Bros., contractors, and defendants Westerman and Co., drapers. The question was whether the words applied to the costs of employers or the costs of contractors. His Honor’s decision was in favour of the latter. The owners stipulated that the total net cost could not exceed £11,291, which was the same figure as the previously mentioned figure of outside costs. To read them as meaning outside gross costs would involve the necessity of entirely disregarding the word “net” wherever it occurred in the portion of the agreement which his Honor had quoted.