PERPETUAL RENT CHARGED

Otago Daily Times, Issue 21910, 23 March 1933, Page 6

PERPETUAL RENT CHARGED

TWENTY PER CENT. REDUCTION JUDICIAL RULING SOUGHT. (Per United Press Association.) CHRISTCHURCH, March 22. . Mr Justice Kennedy, in the Supreme Court, reserved his decision on a curious point in a rent case—-whether a perpetual charge of £IOO a year on a property owned by John Bates and Co., Cashel street, is affected by certain sections of the National Expenditure Adjustment Act. The charge was created in 1878, and the sale to Bates was made subject to this' contingency. Counsel explained that in 1878 the property was owned by Daniel Inwood. On his death it passed to George Thomas Inwood, with an annuity or clear yearly rental charge of £IOO in favour of William Inwood, his heirs, executors, administrators, and assigns for ever. In 1909 George Thomas Inwood transferred the property to Bates subject to the charge, at the present time vested in the defendants as the executors of William Inwood. The question now arose if that rent charge, like interest and rent, was subject to the 20 per cent, reduction. The case was submitted to the court Ip the parties for decision.