WAGES AND CONTRACTORS LIENS.

Auckland Star, Volume LIX, Issue 301, 20 December 1928, Page 8

WAGES AND CONTRACTORS LIENS.

AN INTERESTING DECISION,

Mr. E. C. Cutten, S.M., delivered reserved decision to-day at the Magistrate's Court in five cases under the Wages and Contractors Lien Act, 1908, taken against L. B. Taylor and Ralph Plunkett. The plaints were as follow: Selwyn Timber Co. (Mr. Boyes), for £281; J. J. Craig, Ltd. (Mr. Dyson), for fee 11/9; P. A. and G. Mercer (Mr. Kidman), for £89 7/6 George Brown and Co. (Mr. W. D. Anderson), for £19/4/11; and E. J. Christmas and others (Mr. W. R. Tuck), for £76 5/4 J. Mr. Terry appeared for Mr. Taylor. It was admitted that the claims made by the various plaintiffs were correct and in compliance with the Act, being for wages and material supplied.

Mr. Cutten said the plaintiff Plunkett contracted to build a residence for Taylor for £1150. He did work on the building and received progress payments to the amount of £600. He then left the Dominion, the building being unfinished. Taylor engaged another contractor to complete the building. Plaintiffs claimed that Taylor was required by the Act to have retained 25 per cent of the £600 to cover the liens. For the defendant Taylor it was contended that he properly paid out £600 as progress payments for work done by Plunkett.

Mr. Cutten said the contention of plaintiffs must be upheld. Whatever other questions might arise under the contract, Plunkett clearly became entitled under it to receive f 600, and this sum was, in fact, paid to him. It therefore was money payable under the contract to the contractor and Taylor should have retained in his hands onefourth part of that amount, namely, £160, until 31 days after the completion of the work. This sum would then have been available to the plaintiffs to satisfy their claims so far as it would go and Taylor must now meet these claims to the extent he would have been able to do so had he retained the sum of £150. Judgment was entered according^,