CLAIM FAILS

Southland Times, Issue 18962, 8 June 1923, Page 3

CLAIM FAILS

A LAND AGENTS RESPONSIBILITY. (Per United Press Association.) WELLINGTON, June 7. Reserved decision in an unusual civil case, described, as the first of the class to be dealt with in New Zealand and the second to be reported in the British Empire, was given by Mr W. G. Riddell, S.M., at the Magistrate’s Court to-day. The plaintiff was Percy Munter, Wellington, who proceeded against the firm of Thomson, Brown and East, Ltd., land agents for £B7, which included claims for rent due, board and lodging for three persons, and general damages. Plaintiff alleged that in June, 1922, defendant negligently let his house to Joseph Wagner Bull, at a weekly rental of £3 10s, without making a reasonable or proper inquiry into his financial or other position; that Bull was unable to pay the rent and that he left plaintiff’s house after the rent had run into arrears to the extent, of £53 and that Bull refused to give up possession upon plaintiff’s return from Australia, with the result that he was put to the expense of board and lodging for himself and his family for sixteen days. Gen-

eral damages to the extent of £lO were claimed. According to the Magistrate, the question was as to whether the defendant acted negligently in choosing Bull as tenant, under the conditions existing, just before the tenancy commenced. Actions such as the present were extremely rare, he said, and there was very little authority to guide the Court in arriving at a decision. If a land agent were employed to procure a tenant he must use reasonable diligence to ascertain that the person to whom the property was let through his agency, was tit to be a tenant. In view of the law laid down by the authorities and statement by Mr Justice Wills, that an agent cannot be expected to guarantee rent if he has taken a reasonnable care in selecting a tenant, he concluded, “I think that the defendant cannot be held liable for rent lost by plaintiff, nor do I thjnk evidence shows sub-letting of the premises by Bull. Further as plaintiff has failed in respect of the rent claimed, it follows that he must fail in regard to other items of damage.” Judgment was accordingly entered for defend ant with substantial costs.