LANDLORD’S CLAIM

Evening Star, Issue 22031, 17 May 1935, Page 8

LANDLORD’S CLAIM

INVOLVED CIVIL ACTION In the Supreme Court to-day Hl* Honour Mr Justice Kennedy heard a claim by Duncan M‘Lennau, farmer, of Dunrobin, against Frederick Wil* liam Wedlake, warehouseman, of Dunedin, the court being asked to make a declaration giving plaintiff the right to a half-share in the proceeds of the sale of the stock of the Otley Gramophone Company. Mr R. D. Jamieson appeared for the plaintiff, and Mr R. G. M'Naughtou for the defendant. Mr Jamieson said the action had its beginnings in the affairs of the Otley Gramophone Company Ltd. The plaintiff was the landlord, who, it would be shown, let the premises at South Dunedin to Otley, whose name was given to the company. Subsequently the lease was assigned to the. company. The defendant was the bolder of a debenture—a first debenture over the undertaking of the company. In 1932 the company found itself in an involved position, and later occurred a clash between the debenture holder and the landlord, who desired to distrain in order to protect himself in regard to rent or portion of the rent owing. Counsel went on to refer to subsequent negotiations, and said it was contended that a contract was established in letters that passed between the parties—a contract which could bo construed as meaning that the parties were to shard in what might come of the realisation of the assets. The defendant was requested l to make a division, but was hot prepared to do so

Evidence was given by Thomas Holland, managing clerk of Messrs Duncan and MacGregor, solicitors. Mr M'Naughton, on behalf of the defendant, said the contention was that there wasnovalid contract. No offer of': acceptance- was made at any time, and consideration for the alleged contract was lacking. Jt was denied by the defendant that the matter was put to him in the form m which the plaintiff’s witness stated it was. For tho defence evidence was given by Henry C. Otley and Frederick W, Wedlake.

Scaring was proceeding at th# luncheon adjournment.