LIABILITY FOR RATES

Press, Volume LXXI, Issue 21647, 4 December 1935, Page 9

LIABILITY FOR RATES

COUNTIES' PROPOSAL NOT FAVOURED MAGISTRATE'S COURT PROCEDURE

A remit to the Government from the New Zealand Counties' Association's conference suggesting that a statutory declaration made by a ratepayer admitting liability for rates should, when filed in a Magistrate's 'Court, secure the rates in the same manner as if judgment had been obtained has been considered by the Minister for Justice (the Hon. J. G. Cobbe) and condemned as a "dangerous departure from principle." The Minister's reply is as fellows:— "It is not considered that the proposal would be either practicable or desirable for many reasons. The existing procedure for the . recovery of debts by judicial process is-already as simple as can be devised consistent with the requisite safeguards against abuse. Provision already exists for a defendant to confess judgment, thereby avoiding costs and publication, and the institution a few years ago of the system of service by post of civil summonses has reduced the costs for mileage fees. "The proposal in the remit overlooks that an entry of judgment is an important matter, for the reason that on the judgment is based all subsequent proceedings such as the issue of distress proceedings under the Imprisonment for Debt Limitation Act, and (in the case of rates) sale of the rateable property under the provisions of the Rating Act. It is accordingly essential that judgment should not be entered in any slipshod method or be founded on irregular premises. "The responsibility for a correct entry of judgment must always ifmain with the plaintiff. The proposal in the remit shifts the responsibility to the defendant.

"In all British countries it is fundamental that a plaintiff shall first establish his right to judgment 'before it is entered, and to provide for this to be done merely upon a statutory declaration filed by the defendant would lead to difficulties, and moreover would be open to grave abuse. For instance, disputes would inevitably arise as to the correctness of the amounts entered, or description of the parties, and further, it is essential that a correct description of the property be entered in the judgment records. The defendant could not be relied upon, in all cases, to see that the correct particulars were entered. Indeed, It would not always be in his interests to do so. "In view of the serious subsequent issues that may be dependent upon the judgment, I am advised that the proposal would be a dangerous departure from principle."