INTERESTING CASE

Manawatu Standard, Volume LVIII, Issue 10, 9 December 1937, Page 10

INTERESTING CASE

DIVISION OF ASSETS. MEMBERS OF DISBANDED CLUB. Per Press Association. CHRISTCHURCH. Dec. 8. Have members of an athletic club, relying partly on public support for its existence, any right to divide the assets of the club among themselves when it is disbanded? This question came before the Supreme Court to-day, when an order was sought determining whether the surplus assets of the Lyttelton Rowing Club, which has gone out of existence, were subject to any trust. The surplus assets of the club are £250, and at a meeting at which it was agreed to wind up its affairs it was decided to divide the surplus among its 11 members. The liquidators of the assets of the club, which is incorporated under the Incorporated Societies Act, sought the order of the Court. The distribution as proposed by the members of the club was opposed by Henry Ryder and others, of Lyttelton, for whom Mr AA r . J. Sim appeared. The liquidators, Albert AVilliam Bnrbery, of Christchurch, clerk, and Stephen Rosmea Sinclair, of Lyttelton, cabinetmaker, were represented by Mr H. J. Upham. Mr Justice Northcroft, who was on the Bench, gave no ruling on the law. He expressed clear disapproval, - however, of the action proposed by v the members of the club, and adjourned the hearing sine die to allow counsel for the liquidators to try to make arrangements for some other method ot distribution. ■ “Are the young men aware ot what they propose to do, which is certainly reprehensible and calculated to alienate public sympthy?” asked His Honour at one stage. “I may say that, unless the law compels me otherwise, Mr Ryder’s attitude is entirely, proper.” . ~r , . He said on another occasion : It is undesirable that by a stroke of chance these young men should divide the assets.’ * • •*