A.—No. la,

ZEALAND TO THE SECRETARY OF STATE.

51

" The Court consisted of a president, fourteen judges and sixteen assistant judges, three of whom formed a quorum, although there were generally four or five present. All these judges were either traders or retired traders, but the only paid officer was the Begistrar, and his duty consisted in receiving the debts and paying over the money, but his remuneration was paid by fees. The jurisdiction of the tribunal extends to all transactions, wholesale and retail. There is no appeal under £60, and the appeal is limited to points of law. Out of the eighteen thousand one hundred and fifty-nine cases there had only been six hundred appeals. "It may be urged that mercantile disputes may be arbitrated, and so they can; but then the consent of both parties is required to such a course, and so the minority of commercial men, opposed to tribunals, is sufficient to destroy the usefulness of this plan of legal arbitration. " The Chambers of Commerce decided last year to adopt County Court Judges, and Bankruptcy Commissioners as presidents of the new tribunals, but the proposal was resisted by the Government for no good reason, as we could then see, except that the public miud was not prepared for so vast a change as was then contemplated." The eminent Dr. Lieber, in his work on " Civil Liberty and Self-government," page 231, says : — " Courts of Conciliation have existed in many countries, and long before the present Justices of the Beace were established in Franco by the first constituent assembly ; but as we see them now there they must be called a French institution. "It has proved itself in France, as well as in other countries, of tho highest value in preventing litigation, with all the evils which necessarily attach themselves to it. " Courts of Conciliation have attracted increased attention in England, since Lord Brougham's proposition of an Act for the further cheapening of Justice, in May, 1851. "An instructive article on this important subject, and tho excellent effects 'these Courts have produced in many countries, shown by official statistics, can be found in the German Saats —Lexicon ad verbum ' Fricdcnsgericht.' " Courts of Conciliation exist also all over the Brazilian Empire, and no cause can be brought into any of the regular Courts of Law without a certificate that the parties to the suit have already appeared in one of the Conciliation Courts, and endeavoured to accommodate their differences. The system diminishes immensely the amount of unnecessary litigation. In the Constitution of the United States of America provision is made for the establishment of tribunals of conciliation. Your Committee, however, have been unable to discover to what extent the various States have availed themselves of such provision; with the exception of the State of New York, in tho several counties of which they find that tribunals are established known as Courts of Conciliation. From the foregoing it will bo seen that in the different countries enumerated the system of adjudication in civil cases as alluded to in the order of reference exists in the various shapes of Courts of Arbitration, Courts of Conciliation, and Courts of Mutual Agreement. With regard to the best mode of giving effect to the principle of Arbitration in this Colony, and of putting it into practical shape, so as to bo dealt with by the Legislature, this is a matter which cannot be done in a hurry, and the details of which will require very mature consideration. Tho Committee therefore suggest that the earnest attention of the Government should bo directed to the question during the recess, with a view to some definite action being taken next Session, in order that the system may be brought into operation not in the first instance generally, but by way of experiment in one or two localities. The Committee would only observe further that, while the question is one which requires to bo carefully considered in order to be embodied in a Statute, yet that with the practical experience of other countries as a guide, there need not be any very great difficulty in the way of framing a simple Legislative enactment which woidd give effect to the object in view. James Macandrew, Chairman.

No. 27. Copy of a DESPATCH from Governor Sir George Grey, K.C.8., to the Right Hon. the Earl of Carnarvon. (No. 38.) Government House, WeUington, My Lord,— Bth April, 1867. I have the honor to transmit for your Lordship's information, copies of various addresses I received whilst visiting the Provinces of Otago and Southland. 2. I feel sure that your Lordship will be gratified at finding that throughout those prosperous and thriving possessions of Her Majesty, such a universal feeling of happiness, contentment, and of devoted loyalty to the throne and person of the Queen prevails amongst all classes of persons. 3. I trust Her Majesty will graciously receive the numerous and devoted expressions of loyalty and love to which her subjects in these Provinces have given utterance. If your Lordship should see fit to advise Her Majesty to notice the prosperity, contentment, and loyalty of her subjects who have given expression to these feelings, I am sure that such an act on the part of the Queen wiH be received with extreme pleasure and lasting gratitude. I have, &c, The Right Hon. the Earl of Carnarvon. G. GREY.