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Nelson Evening Mail, Volume XXXIX, Issue 219, 11 November 1904, Page 2

, Mr Martin's opinion was read as follows : — ["Opinion.] " The facts aro stated in the annexed case. 1 have also seen a copy of the contract. " The schedule of prices forms no part of the contract, not being referred to in the written agreement of 18th September, 1903 '• It appoars to havo boen sent in. in pursuance of special condition 1, whioh states that tho tender is to bo for a lump sum for tbe work completo, ' and an alternative price as per schodulo annexed.' Tho Council accepted the tender for the lump sum — soo clause 2 of contract. " Payment cf extras was to be made by tho Engineer estimating tho difference in cost caused by tho order, and adding to tho contract price tho estimated difference — general condition 17, see also clause 40 of specification. There is nothing in tho contract compelling the Engineer to go by the schedule of prices put in by tho contractor as his alternali ye price for the work should the Council have decided to pay by schedule instead of in the lump. " t am, however of opinion that tho Council cannot recover back any part of of the high prices (as per the said schedule) that they have paid to the contracts for extras. The Euginoer. as the agent of the Corporation under the contract, has passed tho charges. It is immaterial that Councillors wero not aware of what was being done. The Corporation, in regard (o transactions wilh the outside world, is one- an entity— and is bound by tlie acts of its officers, done within the scope of their employment. "Iv this view of Uie caso. there was no ignoranco of facts on the part of tho I Corporation. Tgnoranco of lair is no ground tor recovering money. Tlio money appoars to have boeu paid on a misconstruction, iv point of law, of the contract. " The contract, boing over, thero is no means of saying what the Engineer ivould havo fixed tho extras at— his functions, under tho contract, are over. Gut oven if this point could be overcome, tlie rulo that money paid in ignoranco of law is irrecoverable still proves, in my opinion, au insurmountable barrier to the recovery by lhe city of any of the money in question. " (Signed) T. F. MARTIN."

After a short discussion it was decided tojadiourn the consideration until the close of the ordinary business at the next regular meeting of the Council.