SALE OF AN HOTEL.

Star (Christchurch), Issue 16748, 1 June 1922, Page 9

SALE OF AN HOTEL.

CLAIM FOR COMMISSION. A dispute in connection with the recent sale of tho goodwill of the lease, furniture and stock of Tatter sail’s Hotel was heard by Air H. Y. Widdowson, S.M., at the Magistrate's Court this morning. Tho plaintiff was Malcolm Gillies, trading as M. Gillies and Co., of 165, Cashel Street, Christchurch, land and commission agent, and the defendant was Charles G. Craddock, of 95. Merivale Lane, Christchurch, retired hotelkeeper. Plaintiff claimed from defendant the sum of £lB2, commission at Chamber of Commerce rates, alleged to be duo on the sale of the goodwill of the lease, furniture and st-ock of Tatter sail's Hotel, Christchurch, to E. M. Sheedy, in February. 1922. Mr H- D. Acl and appeared for the plaintiff and Mr F. D. Sargent for the defendant. Mr Ac land said that about the end of last December defendant placed the hotel in plaintiff’s hands for sale, and an authority to sell was drawn up between the parties. Some time later plaintiff introduced Sheedy as a prospective buyer, and also obtained particulars regarding the hotel for Sheedy. After that. Gillies himself was away, and he left the matter in the. hands of a clerk. During his absence defendant sold the hotel to Sheedy. However, Craddock had refused to pay any commission, although tlie authority to pell provided for commission at Chamber of Commerce rates. Mr AcJand said that even if plaintiff was not-entitled to the full Chamber of Commerce rates he was entitled to something lor tlie work he had done. The Magistrate : You have not- claimed for da ma ges. Mr Aoland : I will make formal application now to amend the claim. Mr Sargent: I offer no objection to that course. Plaintiff gave evidence on the lines of Mr A eland’s opening. Referring to the authority to sell, Air Sargent naked witness what the reference to “ no after hours” meant. Witness replied that the takings guaranteed were the result of trading in legal hours and were not swelled by after-hour trading. Edmund Michael Sheedy said Tattersail's Hotel was first submitted to him in December by plaintiff, whose representative also supplied him with particulars. As far as he could remember, plaintiff was the first to mention Tatter sail’s to him. The price at which Gillies offered the hotel to liim was £7250, but he considered this too high. To Air Sargent : Tho contract under which he ultimately purchased tho hotel provided that he should pay £4750 for the license and goodwill of the lease, and that stock and furniture should be taken at valuation. Mr Sargent : Under this valuation you will pay about £IBOO for the furniture? —Yes. The Magistrate: Then Sheedy ultimately made a much better bargain than the price at which it was offered to him by plaintiff. Air Sargent: That is my contention. The sale was made at nothing like £7250, the price at which plaintiff was authorised to sell. Mr Sargent said that some time in December defendant arranged to sell the place to G. P. Payne, but by mutual consent this agreement was declared off. Shortly after that plaintiff came along and obtained an authority to sell at £7250. Since then defendant had not seen plaintiff, who apparently did not bother about the matter except to supply some particulars regarding the hotel to Sheedy. Early n January Sheedy had. a conversation with Craddock about the hotel, hut tho former said the price was too high and nothing was done in the matter. Plaintiff’s name was not mentioned at this conversation. About this time oilier publican's were negotiating for tho purchase of tho hotel, and one of these would have bought it except that there was difficulty over finance. The next defendant heard of the matter was an offer from Sheedy, which was brought round by a Air Buddie. Defendant accepted Sheedy's offer and tho sale was made. Counsel contended that the sale was effected by Buddie, not by plaintiff. Tho sale was ultimately made at about £6550. whereas Gillies was authorised to sell at £7250. Defendant said that Gillies assured him that he could find a buyer for the hotel. After that he saw nothing of Gillies. John W. Buddie, member of the firm of Quill, Morris and Co., said he had .taken the offer of Sheedy to Craddock, who accepted it. He had never heard of Gillies in connection with the matter.

The Magistrate reserved his decision, which he said he would deliver in a week’s time.