Litigation Over Sale Of the Clutha Leader

Manawatu Times, Volume LIV, Issue 7085, 6 December 1929, Page 7

Litigation Over Sale Of the Clutha Leader

non-competing covenant.

ONE OF THREE VENDORS REFUSED TO SIGN DEED. Por Press Association. DUNEDIN, Last Night. After a hearing wMcb lasted for! three days, conclusion was reacted is the Supreme Court, before Mr Justie* Kennedy to-day in a case in which William Twaddle, as representative of a .syndicate, proceeded against Albert Eden Russell, Robert James MiHis, and; James Radcliffe McNaughtou, pro*, prietors of the Ciutha Leader news* paper at Balclutha, for specific performance of an alleged contract to sell the newspaper. Before the business was sold by auction, conditions of. sale were drawn up, one clause providing that the. partners should sign a deed of covenant that they would not competq within a radius'of 25 miles for 10 yeans. Prior to the auction, McNaughton declined to sign the deed and the auctioneer made this known at the sale, There wad a belief at the time of the sale that McNaughton could be compelled to sigu but this later proved to be unfounded. Plaintiff’s principal claim was that the business was sold minus McNaughton’s signature to the deed but defendants claimed that as McNaughton had refused to sign, there had never be#u a completed contract. Judgment was reserved.