MORE EXTENSIONS

Poverty Bay Herald, Volume LIX, Issue 17950, 30 November 1932, Page 7

MORE EXTENSIONS

MORTGAGORS' RELIEF

GUARANTORS INCLUDED

(Parliamentary Reporter.)

WELLINGTON, this day

Two amendments of importance to the Mortgagors and Tenants ’ Further Relief Bill wore introduced into the House yesterday. Power is given by Order-in-Council to extend rent remission or reduction provisions earlier than the 1932 Act to licenses for the cutting and removal of timber or flax, or the extraction of coal, in tho same manner as though the licenses were leases and' the royalties payable under them were rent. Tho extension may be carried also to any way-leaves or other easements granted in relation to rights conf erred by license, and to payments reserved under it.

Orders-in-Council may relate to a specified license or class, and to any assignments or other disposition. Applications for relief may be made lo the Supreme Court only and an application will not be referred to an adjustment commission. The other clause extends the term "lessee” to include guarantors of lessees. Explaining the secoiuli clause, the Hon. J. G. Cobbo said that on a guarantor making application, .the court could make an order reducing real oi remitting arrears, thus reducing a lessee’s liability and at the same time automatically reducing a guarantor’s liability. A DRASTIC PROPOSAL When the bill was under committee consideration, several unsuccessful attempts were made by Mr. W. Nash (Labor, Hutt) to have the measure further amended in the direction of making it compulsory to register the names of solicitors on mortgage instruments, so that if a first or second mortgage could not bo found, notice of intention to take proceedings under tho Act could be served on the solicitor. The Minister in charge of the measure, Mr. Cobbo, said that the position was adequately covered in the Act, but if Mr. Nash would give particulars of a case where notice had not been served on one of the parties he would have an inquiry instituted. Mr. A. Harris (Coal., Waitcmata) contended that the proposal to place guarantors on the same basis as lessees wjih very drastic, and lie wanted to know if it would be made retrospective. The Minister said the clause went no further than to give guarantors the same rights as lessees. Mr. F. W. Schramm (Labor, Auckland E.) said the clause was very necessary. The committee stages were completed, and the bill was read a third time and passed.