FIRE BRIGADE LAND

Dominion, Volume 13, Issue 22, 21 October 1919, Page 3

FIRE BRIGADE LAND

AT WANGAMUI

DECLARED A CHARITABLE TRUST

His Honour -Mr. Justice Chapman the reserved judgment of the Court in the Appeal Court yesterday in the oase of the Solicitor-General v. the Wanganui Borough Council and the Wanganui lira Board. _ .... Tho appeal was against a decision ot the Chief Justice (Sir Robert Stout) in the matter of an originating summons, and tho question was whether certain land occupied and used as a fire brigade station was held l>y the of Wauganui on charitable trust for i'u'o prevention purposes, or whether it was tho absolute properly of thj borough to deal with in any way it clio.sc in accordance with the Act. His Honour held that the deeds did not create a charitable trust and that the land came within the operation of section 29 of tho Firs Brigades Act, 1908. Tin land was vested in trustees for tho Wanganui Volunteer Fire Brigade. It was resolved to disband the brigade as from June 30, 1!H8, and a letter was forwarded to tho Borough Council covering a schedule of land, building and plant which the brigade had decided to hand over to the council for and on behalf of the citizens of Wanganui. After some negotiations tho council agreed to take over the property and liquidate tho bank overdraft of .£lO4 12s. lOd. Tlw habendum of the deed, was as follows: "To held unto the corporation and its assigns for municipal lire purposes." It was stated in the judgment of the. Appeal Court that it seemed reasonably clear from the negotiation's which preceded tho conveyance of the land that the transaction was not a purchase. Tiio offer to bond over the land wasmado and accepted before any question had been raised as to the payment of 'ho overdraft. At this stage it certainly was a gift, and tho fact that the corporation agreed afterwards to pay the overdraft could not alter the character of the transaction, so aa to convert a gift into a sale. It was merely an undertaking by the corporation to dischargo what was, in effect, a burden on the property, and did not make the transaction a sale. "A trust; may be created by any language sufficient to show the intention, and technical words are not necessary. A gift of property upon condition that it is to be applied m a particular way will create a trust.' A trust arises where the gift of property is so dedicated by clear and distinct words as to fix on the doneo a fiduciary, obligation to apply it for a special purpose. Is there then any such dedication in the present ease? In our opinion there is. The words in the habendum are that the corporation is to hold the land for 'municipal fire purposes.' These words are clear and distinct, and nvo sufficient to impose on the corporation tho obligation of holding tho land for the specified purpose and for nothing else. But whether the brigade held it on such a trust or not it is clear, we think, that a trust was created by tho conveyanco to the corporation, and that as it is of a public nature, it is a charitable trust in tho eye of the law. The Court held that the appeal ought to be allowed and that the land did not como within the operation of section 29 of the Fire Brigade Act. 11)08, and further, that tho deed of October 18, 1918. created a charitable trust, which could not now 1» executed by the corporation by reason of the existence of tho Wn.nganui fire district. Tho Court suggested that a cypres scheme ought to be established for "tho administration of the trust ao .that the net income of the property may bo paid to the Fire Board for the purposes of firo prevention. Tho corporation was ordered to pay costs on the middle scale as on a case from a distance. „ , ' At the hearing Sir John Salmond, K. 0., appeared for the Crown, Jlr, C. P. Skerrett, K.C., with him slr. W. J. Treadwoll. of Wnnganui, for the Borough Council, 1 "d Sir John Findlny, K.C., with him Jlr. C. 11. Taylor, of Wanganui, for tho Fire Board.