RULING IN N.S.W.

Evening Post, Volume CXXIV, Issue 108, 3 November 1937, Page 9

RULING IN N.S.W.

RECOVERY OF DEBTS

N.Z. MORATORIUM DOES NOT

APPLY

FULL COURT OPINION

(United Press Association—By Electric Telegraph—Copyright.)

SYDNEY, November 2.

The moratorium legislation passed in New Zealand does not prevent actions being taken in New South Wales Courts for the recovery of debts alleged to have been incurred in New Zealand.

This was the effect of a Full Court judgment in a case in which it was sought .to plead the New Zealand Mortgagors' and Lessees' Rehabilitation Act, 1936, as ah answer to two claims for alleged debt which are pending before the New South Wales Court. • The plaintiffs are Noel Cole, and Noel Cole, Ltd., of New Zealand, who are suing Henry Eli White, of Sydney, for sums alleged to be due for goods delivered and money lent.

White pleaded that he was never indebted and also set up the Mortgagors' and Lessees' Rehabilitation Act, which Act, he said, bound himself and the plaintiffs, as the alleged cause of the action occurred in New Zealand, where both were then domiciled. To this plea Cole demurred, the demurrer being upheld. The Court 'granted a stay for seven days to enable the defendant to ascertain the position of his application for adjustment of debt under the New Zealand Act. ,