GAS DISCOUNTS.

Horowhenua Chronicle, 17 August 1921, Page 4

GAS DISCOUNTS.

At Monday night’s meeting of the Borough Council, two letters were read from gas consumers on the question of gas discounts, and in one of them an interesting legal point was involved.

J. J. Aiiison wrote stating that he tendered payment of his gas account on the morning following the 10th, and the office refused to allow the usual discount. The writer pointed out that it had been the custom in the past to accept payment before 10 a.m. on the morning following the 10th. In declining to pay the discount, Mr Allison added: “No other business concern in New Zealand would refuse my cheque as you did this morning. As a citizen of Levin I claim decent treatment, and therefore ask why the past methods, which apparently acted so successfully, are now being discontinued.”

R. D. Wallace also wrote pointing out that he had been debited with discount for, June. In that month the 10th fell on a Sunday, and In,'the past It had been usual to allow discount if accounts were paid on the Monday. Mr W'allace pointed out that his cheque had been left at the Council office on the Monday evening. He also forwarded his cheque for July gas account, posting it on the 10th. It was not, however, delivered to the Council office till the morning of the 11th.

The Mayor said it was plainly stated on the account forms that discount would be allowed if accounts were paid “on or before the 10th,” and the only latitude that could he reasonably given was when the 10th fell on a Sunday. The town clerk had to follow the Council’s instructions, and in this case he had done so. "The attitude I take up,” said the Mayor, “is that we have to support our officers.” He added that it was almost impossible to get the gas books cleaned up in anything like a reasonable time unless the accounts were settled promptly. The Mayor congratulated the Town Clerk on his fairness in that he (the speaker) had been one of the first to be caught. He moved: "That the Council regrets it cannot depart from the discount terms as stated, and that all accounts not paid by the 10th should forego -discount.'' Cr. Moriensen, in seconding the motion, said it was their duty to support the Town Clerk in the matter. The Mayor pointed out that as a result of the Town Clerk’s action, only two accounts this month had been overdue.

Cr. Kecdwell, while agreeing with the resolution, considered a certain hardship had been inflicted. Cr. Hobson agreed that, seeing there had been some laxity in the past, a certain amount of hardship waj involved in the sudden alteration ot what had apparently become a, rule. He considered that the Town Clerk should have given notTfce by advertisement of his intention to keep to the strict letter of the law.

Cr. Harvey, who also was among those who lost their discounts, said he certainly would not have paid next day (the 11th) if he knew he was going to lose his discount. He would have waited till the end of the month.

Cr. Goldsmith pointed out that the Town Clerk really had no option in the matter. The statement on the account distinctly said that the account must be paid at the office on or before the 10th. He mentioned that if discounts were allowed after that date the officials were liable for the money themselves. He said that the Government auditor would be here In a day or Uvo, and the point could be referred to him.

Cr. Martin thought that in Mr Wallace’s case, where the cheque had been posted on the 101 b, he was entitled to consideration, but he diet not see that Mr Allison had any claim. Cr. Thomson agreed with Cr. Martin that Mr Allison had no standing, but he questioned whether Mr Wallace had not a legal right on his side in (hat the post office was accepted as the receiving agent. At the same lime, he congratulated (he Town Clerk on the stand he had taken.

The Mayor pointed out that if one were allowed, all the others who had been I’efused discount must also be allowed. Twenty-four in all had lost discounts. Cr. McAllister considered that a warning should have been given by advertisement before the more stringent action was taken. In reply to Cr. Thomson, the Town Clerk stated that three or four of the defaulters had posted their cheques on the evening of the 10th. On being pul., the Mayor's motion was lost.

A question now arose as to the position of the others who had lost their discount. Councillors voting against the Mayor’s motion pointed out that it was only meant to refer to those who, like Mr Wallace, had posted their cheques on (he evening of the discount day. On the motion of Cr. Thomson, seconded by Cr. Marfln, it was decided to inform Mr Allison that the Council supported the action of the Town Clerk, and regretted that no discount could be allowed on overdue accounts.

A further motion was carried postponing decision on Mr Wallace’s case until the opinion of the auditor was obtained as to whether posting a cheque or delivering same in Council’s letterbox in payment of gas account after i p.m. on the 10th legally entitled the sender to discount.

It was further decided, on the motion of Cr. Hobson, seconded by Cr. Harvey, that the Town Clerk advertise that in future no gas discounts be allowed unless accounts are paid on or before i p.m. on the 10th of the month.