THIS DAY.

Evening Post, Volume XXVI, Issue 20, 24 July 1883, Page 2

THIS DAY.

Dr. Diver deposed that ho was medical attendant to Mr. Stuart from October, 1879, to May, 1880. Mr. St»art was confined to his room, and, in hi«j opinion, Stuart, though fit to transact business, was not well enough to transact important business. Mr. Stuart, examined by Mr. Harper, said that it was agreed that ho should liquidate! tho business on tho joint account in tho nsual manner. At Mr. Travers' suggestion, a deed of dissolution was agreed upon in August, 1879. Witness never read tho draft and did not recollect having it in his posses-f-.ion in Mr. Harcourt' s presence Never gave Mr. Travers any instructions as to tho draft. There was no understanding that ho shonld give instructions in that direction. Recollected tho clean draft being sent to him, which he did not peruse. Tho Bank of

Now Zoaland got a lettor from him in 1877, agrcoing to give security for tho firm's debt. and in 1879 tho bank demanded tho completion of that agroomont. He signod tho iieo<l of dissolution, as tho bank required that tv woll as other documents to bo signod. Ho noithor road tho deed, nor did Mr. Bishop, nor was its purport oxplainod ; ho signed it simply to satisfy tho Hank of Now Zealand. Was positivo it was not rca'l ovor. At that time Harcourt was managing the liquidation in his absenco, find under an arrangomont with the bank that ho should ho act. HBrcourt took an aotivo part in tho liquidation at that timo, signing bills, cheques, and lottery Ho gavo Mr. Harcourt particulars of weciiritien ho (Stuart) emild oflfor, and Haraourt triad to mako an urrangomont upon tho<o documents. Resmnod aotivo liquidation hiimolf about March, 18^0. In 1880 firnt ohWI Harcourt to Hottlo his privato account, rondorinif him (Hrtrconrt)an account Hhowing tho luttcr'H ind')btoilnoßß. Tho account wan extracted from tho lodgor. A credit Imlanoo of £H9 M» 4d on tho 3ht July, 1878, lpcing convortod on tho 3lHt July, 1879, into a dobit balance of .£lO9l aftor crediting Haroonrt with his salary of ,£SOO. Daring tho year Harcourt drow out .£2OOO. Interest wuh aluo ohargod at 8 por eont., half yoarly. No lohhch woro dobitod to that account. The lorigor wan kept by witness, assisted by Mr. David Stuart, aftor tho dissolution, but provioiirtly it wan kept by Mr. Proudfoot, tho firm's accountant. Mr. Proudfoot was now in tho oirtploy of Mr. Harcourt. Tho books woro always acuotwiblo to both partnora during tho partnership. Harcourt asked him to lot tho account stand ovor till thoy had a gonoral sottling up aftor 1884. To that witness* objected, a<i ho wanted tho monoy for tho liquidation. Harcourt aIHO Haid ho could not find tho monoy then, as hit) account was ovordrawn with tho now firm. Ho did not disputo tho account, though ho did disputo its) accuracy. Personally and by lottor ho continued to make application for Hottlomcnt. Ho becarno personally acquainted with the torins of the dissolution for tho first timo last year, whon ho got tho dood from tho bank on paying off tho liubilitie.i. Tho stock was taken by Mr. Harcourt, both at tho oommonooment of tho partnership, and ultio whon tho businoss was Hold to Harcourt. Balanco-sheotn woro mado out. Duriilg tho first two years, a profit wus shown, after intorost on capital, salaries, and ront was dobitod. Tho profits romaincd at tho credit of profit and loss account, and woro swallowod up in subsequent lossch, there being nd division of it mado. At tho expiration of tho partnership thoro was a dobit of £ 1,000 or .£5,000. Tho balanco-sheot had boon mado out boforo Mr. Harceurt nominated his cousin as a partner. (Balancoshoot producod.) That balance-sheet for 31st July, 1878, was proparod and is in the handwriting of Mr. Proudfoot. Hia (witness's) capital in that balanco-shoet roso from .£19,000 to .£27,000. That ualanoe-shoot must havo boon soon by Harcourt, as it was a subject of conversation botwoon thorn. Mr. Harconrt did not wish to withdraw from his agreement when ho know the result of that bulanoo-shoot. Tho stock valuation aocount which Harcourt took ovor was .032,000, subject to discount of 15 por cont. His own privato account in tho lodgor, commono ing Ist August, 1874, to July, 1832, was in sovoral hand-writings. Tho station account was not kopt by witnoss ; nor did Mr. Harcourt objoot in any way to that account. Thoro was novor any disputo botwoon thotn n-B to tno acconnt. Tlio business had tho udvantago of two por cent, in having tho station account, tho latter being ohargod soven por cqnt , whilo his own account was dobited with only 5 por cent, for overdrawing. Tho liquidation account is still opon at tho Bank of Now Zoaland, but ho mado an arrangomont with tho Bank of Now South Wales, gotting an advanco by giving security over his own privato OHtato, with which ho paid off tho dobt of tho firm to tho Bank of Now Zealand. Cross-oxaminod by Mr. Chapman — Had no rocollcction of having seen a draft dood. Did not toll Mr. Travors tho terms on which tho dood of dissolution was to bo drawn. Thoro was no change in tho arraugemonts to his knowlodgo. Mr. Travers had beforo him tho various aoods, and the notico of tho dissolution in which ho (Stuart) undortook to liquidate tho businoss, and from thoso mado out tho doed. It was not from his draft tho engrossment was taken. Tho draft was put away in a pigeon holo without roading. He would not dream of signing a deed of whioh ho had not givon instructions without roading it, but ho did on tho ooooaion in quostion. It would not alter his ovidonoo if both Bishop and Harcourt said tho deod was road. Ho was told tho Bank roquirod tho deod. The doed of dissolution was objootionablo in somo particulars to tho bank. lie signod tho doed of mortgago blindly. Ho did not road tho doods of dissolution whon ho got thorn back from tho bank. Ho novor oxaminod thorn himsolf . Thoro was no objootion to Mr. Harcourt seeing tho bill-book. Mr. Harcourt's doaliugH in tho liquidation were booanso of tho illnoHM of witnoss. On his recovory ho (wit-no-m) uHHUtriod tho managomont. Tho money drawn by Harcourt would havo boon by cheques, somo of thorn being drawn by witness. Tho ledgor was only a transcript, tho cash-book boiriontiroly in witnoss's handwriting. Tho ontrios in that book woro suflloionbly plain to explain thomsolvcs. Was not awaro that Haraourt had scon tho balanco-shoot of 1876. Did not rooollcot asking Mr. Harcourt for an accommodation bill for .£ISOO, though ho might have done so. Did not go to Mr. Harcourt whon tho Homo creditors woro pressing. Aftor somo further ovidonco had bcon givon, plaintiff elected to withdraw tho case, without projudioa to his right to movo for a tlooree as regards tho sixth issuo (that in roforonco to tho land.) Yesterday. (Boforo his Honour the Chiof Justice) DB LAUNAY V. NORTHERN ABSURANCE COMPANY. Tho case for the plaintiff was conoludod yostorday aftor noon, tho witnossos examined boing tho plaintiff and his wifo, and Messrs. Graves and Lowator. THIS DAY. Ino caso for tho defonoo was oponod this morning. In tho courso of his opening romarks, Mr. E. Shaw said that ho doomod it nooesßary in tho intorosts of his olients to vindioato thorn from tho aspersions cast upon thoir aotion by plaintiff's counsol. In the year 1870 an aotion very similar to that now nndor consideration was tried in England boforo ono of tho most ominent Judges of the day. Tho olaim in tho caso was for the recovory of tho allogod valuo of certain goods destroyed by firo, and tho dofenoo set up was Bomowhat similar to that in tho presont proceedings, viz., that tho olaim made by tho plaintiff undor tho polioy of insuranoo which ho had was a most oxtortionato ono. In that caso as in this, tho astion of the company was sovoroly commented n\ on. They woro told that as business pooplo thoy should not adopt suoh an attitudo ; that it was calculated to injuro thoir businoss, and aftor somo vory sovoro strioturos from tho oonnsol for tho plaintiff, his Lordship said that ho thought that in dofonding the aotion tho defendants had simply done thoir duty, tho claim sont in by tho plaintiff being ono of enspioion, and oalling for onquiry. Counsol maintainod that in this caso the Northern Assurance Company had a duty to perform towards tho public, thoro being gravo suspicions that the loss had boon ft rtatlv exaggoratod, and pointed out to tho jury that it was thoir duty to find whothor suoh was tho oaßo. Mr. Shaw domed that the dofondants had drivon tho plaintiff into Court. The plaintiff first refusod to submit tho claim to arbitration unloss his own nominoo was allowod to doal solely with tho mattor, and subsequently ho objected to an arbitrator ohoson by tho defendants to act in conjunction with ono soloctod by himsolf. Honoo tho reason why tho Supromo Court had boen callod upon to deoido tho disputo. Aftor counsol on both sides had addrossod the jury, His Honour summed up, tho jury thou rotirod and brought in a verdiot for the plaintiff for .6150 pn tho first olaim, with loave to dofondant to movo to enter a nonsuit; jndgmont for plaintiff on tho second claim was given for .650. Mr. Shaw gavo notico of his intention to movo for a noneuit. Fine Arts Association of New Zealand. » Tho Exhibition of tho Fino Arts Association attracted a considorablo nurabor of visitors last night, and wo havo no doubt that as its atorling morits and marked improvomont bceomo moro gonorally known, the attondanoo will bo moro and moro nu™r f °» B - I'l'o Judges (Mr. J. E. FitzGerald, C.M.G., aud tho Hon. J. C. Wilson, M.L.C.) did not comploto tho awarding of prizes uutil to-day, whon tho list was finally mado "I-, 1 U . iB . na follows: -Class l-(Bost shaded study from tho Round) 1. First R r il°'i ii ll a }\ Misß Mnrion Pmsont*'Shaded Study from tho Bound Eye of Michaol Angolo's ' David •.' " (2)Mrs. Beath, cortincato— Geranium Loaf." Class 2— Outlino study from tho Round : (1) Stanloy Roscoo, Cliristchurch : first prizo JJI Is— " Flowors;" (2) Catherino Washburn, Sohool of Art; cortinoato— " Flowers." Class 3— Dosign for certificate of merit: No prizo awardod. Thoro woro twoexhibits.butneither was approved. Class 4— Landscape study from Nature in oils : B. A. Branfill, Nolson ; prizo, .C 2 2s—" Bush near Stoko." Class 5 — Landscapo study from Naturo, in wator colours : (I) Noel Barraud, prizo, j>2 2s and cortincato— " Viow of Quoon Charlotte Sound ;" (2) Constance Homo, certificate—" Viow near Cartorton." Class 6— Landsoapo study from Naturo, in monoohromo : (1) Noel Barraud ; prizo, .£1 Is, and certificate — " Polorns Sound, from Dun Mountain." Class 7— Study of flowors, foliago, or fruit, in watorcolours : Constanao Homo; prize, £ I Is and cortifieato—" Now Zealand Flax." Clacs B— Study of flowers, folingc, or fruit, in oiLj : (1) Isabel

M. Blackett; i>ri/o, £\ Is and certificate— " Bragm.'intia;" (£) Inahul M Ulaokett, certificate-" Now Zoulaud Flax." Class 9— Hand-painted donr-p-nirlH: Mrs. Stowo ; pri^o, £1 Is and cortifiuato—" Cobcea scanilons and PyruH Japonica." ClaHs 10—Handpaintod tilqs, on papor, porcelain, o* terra cotta; no pri/.oawarded. Cla-Mll—Decorated ware, hand-painted china, terra cotta, gla.ss, or wood : {I) Mis.s A. 11. Holmes; prize, £1 1» ami cortifiuato —" Plaque Shell Parrots;" (2) Mi's. England, certificate, terra cotta vase and plate. Class 12—Hand-p'iintcd fan: (1) Emily C. Harris, Nolson; prize, .ill Is— "Now Zealand wild flowers ;" (2) Sister M. Cecilia Benbow, certificate — "Prudenco 'midst Pleasuron." CIaRS 13 —Needlework dotiign in silk and crowds : prize, .£1 Is . no entries. Claws It —Six photographs from life : W. B. Gibbn, Lambton-quay; prizo, £1 Ik and certificate —" Portraits." Claan 15—Six land.sfiipc photographs (untouched): A. T. Bothamloy; pri/.0, £1 Is and certificate—" Viewrf of Lyall Bay, Kaiwarra St' jam, Wellington under a Cloud, and Evoning in Oriental Bay." : | i