RUST DAMAGES WIRE

Nelson Evening Mail, Volume LXX, 8 October 1936, Page 3

RUST DAMAGES WIRE

APPEAL AGAINST SUPREME COURT DECISION (United Press Association) WELLINGTON, 7th October. In March last year the Canadina Highlander brought from Halifax to Wellington a shipment of about 100 tons of bright nail wire, but when landed here the wire was all more or less rusted and for this reason a very large quantity was unusuable. The Automachine Company brought a Supreme Court action for £661 against the Canadian Government Merchant Marine as owners of the ship to recoup them for the damage to the wire. The Chief Justice, Sir Michael Myers, held that rust or corrosion was one of the matters for which in the bill of lading a shipping company was excused from liability unless it was shown that there was negligence on their part which really caused the damage. He considered, however, that proper care had not been exercised in the stowage of the wire and the Automachine Company were entitled to recover damages .the exact amount of which was to be assessed later. It was from this judgment that the Canadian Government Merchant Marine was appealing. After hearing legal argument the case was adjourned until to-morrow.