"GREAT HARDSHIP TO LANDLORDS”

Press, Volume LXXII, Issue 21908, 8 October 1936, Page 8

"GREAT HARDSHIP TO LANDLORDS”

COMMENT ON THE FAIR RENTS ACT

REVIEW OF NEW LEGISLATION

[THE PRESS Special Service.]

DUNEDIN, October 7.

Comment on some aspects of recent legislation was made to-day by Mr Douglas M. Spedding when moving the adoption of the report at the annual meeting of the Otago branch of the Real Estate Institute of New Zealand. “Although the Fair Rents Bill may have many good points to commend it, said Mr Spedding, “some of the provisions are undoubtedly a great hardship to landlords and very much in favour of tenants. Many landlords have voluntarily reduced their rents to a figure much lower than that required by the law, more especially when their tenants have been temporarily unemployed, and it is on these landlords that the provisions of the Fair Rents Act are unduly harsh because of the fixing of a standard rent without the circumstances of the case being fully investigated.” If the proposed legislation about mortgages became law, Mr Spedding said the same hardshio would apply to mortgagees, many of whom, in an endeavour to assist the mortgagor, had advanced a greater sum on the mortgage than was perhaps prudent, and were now in danger of losing part of their capital through the compulsory system of mortgage reduction. This in his opinion, was introducing a system of repudiation which was neither equitable nor just, and was a very undesirable practice to introduce either into business or politics. Another measure that had recently become law, the Shops and Offices Act and its amendments, was one that was of vital interest, and was causing much concern to members. If the full provisions of this act were put into effect, there was a grave danger of many of the smaller firms eventually being forced out of business. Speaking of the Housing Bill, Mr Spedding added that it was satisfactory to have the assurance of the Prime Minister (the Rt. Hon. M. J. Savage) that the localities of any housing scheme would be carefully selected, instead of repeating the mistakes of the nast by selecting unsuitable localities. There was undoubtedly a great shortage of houses at present, and very few places were available for renting.