MANAGEMENT COST

New Zealand Herald, Volume 82, Issue 25181, 19 April 1945, Page 6

MANAGEMENT COST

DAIRY FARM EE WARD BASIS FOR COMPUTATION The method of fixing the reward for management on dairy farms was a question of general importance to the industry which was considered by the Land Sales Court in Auckland when giving judgment on a case heard at Hamilton in February, when the South Auckland Land Sales Committee dealt with an application for consent to the sale of a property of 166 acres, adjacent to the Bruntwood cheese factory, near Cambridge, from Alice Davys (Mr Harkness) to Jeffrey Thomas Sulzberger. Mr Vautier appeared for the Crown. . , • c The sale price of £6OOO, inclusive or the value of a chattel of an estimated value of £25, was considered too high by the committee, which fixed the basic value of the land at £SOOO and recommended its acquisition for the settlement of returned servicemen, states the judgment of the Court, which was presided over by Mr Justice Fin lay. A Radical Departure deferring to the reward for management, the judgment states that this question profoundly affects all dairy farmers who may desire to sell their properties, for the capital moneys involved will, in many cases, be considerable. The principal Crown witness calculated his reward for labour and management on a prescribed formula, involving the fixing of a sum for management for the first 40 cows and adding £2 a cow for each cow over 40. This was a radical departure from the guaranteed price formula, which, by increasing the cost of management item on the outgoings side of the account, depressed the productive and the sale value of all farms' on which more than 40 cows are milked. The Guaranteed Price Formula The judgment continued that the Court was unable to accept the departmental formula, as it was inapplicable and likely to produce inequitable results. The guaranteed price figures afforded a more appropriate and equitable basis for the relevant computation. Tbf Court fixed the basic value for the purpose of the proposed sale at £5975. For the purpose of an acquisition by the crown the value was £5725, as the Crown would, have no legal right to an insurance policy of £250. The property was one eminently suitable for soldier settlement, and the recommendation of the committee was confirmed by the Court. Should the Crown decide not to acquire the property, consent to the proposed sale to the purchaser was given. DOUBLE-BREASTED COATS CONTROLLER'S COMMENT DEFIANCE OF THE LAW (P.A.) WELLINGTON, Wednesday The report that large stocks of men's overcoats are being held by manufacturers and wholesalers who cannot release them unless the Minister of Supply. Mr Sullivan, gives his approval, was referred to the Factory Controller. Mr G. A. Pascoe. who administers the regulations The Minister is absent -from Wellington "If these overcoats comply with existing specifications they can be sold to the public," stated Mr Pascoe. "These regulations enable more overcoats to be provided than would be possible if double-breasted coats were permitted, and if some manufacturers have made up garments which do not comply with the specifications, and they are permitted to dispose of them, it would be unfair to their competitors who have complied with the law designed to make the widest use of the limited available material.

"Some modification of the austerity garment regulations has been under discussion. but the present position," concluded Mr Pascoe, "is that if doublebreasted overcoats have been made up this constitutes a defiance of the law."