A HAIRINI CASE.

Waipa Post, Volume XXI, Issue 1280, 12 August 1922, Page 5

A HAIRINI CASE.

RIGHTS UNDER BILL OF SALE.

MORTGAGEE’iS CLAIM

Judgment has been delivered by His Honour iMr Justice Herdman, in the case in Which Walter Jacob Honors, settler, of Palmerston North, and formerly of Hairini, proceeded against the Farmers’ Co-operative Auctioneering Company, Hamilton, and the official assignee in (bankruptcy to determine plaintiff’s rights under a hill of sale by which one George Edwin Marshall assigned plaintiff certain live .stock, and also £SOO and interest lent by the plaintiff to Marshall, who on 16th February last was adjudged bankrupt. Defendant company sold Marshall’s live and dead stock toy public auction, acting on instructions from plaintiff and the official assignee. Defendant company now holds £413, the proceeds of the sale on behalf of the person legally entitled thereto. At the date of bankruptcy Marshall v/as indebted to plaintiff under the instrument by way of security in the sum of £SOO, together with interest. Plaintiff also claimed that he was entitled to the proceeds of the stock, but the official assignee claimed that the stock sold were not covered by ,the instrument for the reason that they were not sufficiently described within the meaning of section 25 of 'the Chattels Transfer Act, 1908. It was admitted that between the date .of the secumrity and the date of the toankrupcy some of he dairy cows had been sold and replaced toy other dairy ,cows and stock, owned toy the ’bankrupt at the date of bis bankruptcy.

His Honour held that there had been a sufficient specification of the .brand in the instrument, and that, following the decision of the Court of Appeal in “ the Official Assigneee of Bailey v| the Union Bank,” the instrument covered the stock that were sold by defendant, and was valid as against

the official assignee. Plaintiff was therefore entitled to judgment. Defendant company was entitled to deduct its costs, Which were fixed at £2l and disbursements, from the sum that ‘it held, while plaintiff was entitled to recaver from the company the sum remaining after the costs had been deducted. The official assignee would be ordered to pay plaintiff’s costs as per scale and disbursements as in an action to recover £413 14s fid, (together with the amount deducted for costs.

The solicitors for the 'plaintiff were Messrs 'Cooper, Bayley, and Rutherford (Palmerston Noiifch), for the Farmers’ Auctioneering Company, Messrs MatoDiar.mid, Mears, and Gray, and for the official assignee, Messrs 'Rogers, Stace, and Hammond.