DAIRY COMPANIES.

Hokitika Guardian, 30 October 1924, Page 1

DAIRY COMPANIES.

IMPORTANT LIMITATIONS. WELLINGTON, October 28. Extensive amendments have been liui'le in the Dairy Industry Bill by the Agi ieullliral and Slock C'olilliiitti'e of tlie House, to which it was referred after a critical debate. The committee has deleted the clauses validating supply agreements that would otherwise be invalid as in restraint of trade. It also has eliminated the proposed extension of cooperative company provisions lo licrdtesling associations. Clanse two, validating the allotment of shares, is amended so as not to apply fo a supplier who within six months after allotment, served notice of objection and within six months ceased to supply the company concerned. Failure to give notice of objection will slop a supplier from denying tlie validity of allotment. The validation of articles ol association regarding tlie obligation ol shareholders to he suppliers is confined liv the cnnimitlee to existing articles of association, the following new sub-clause being added : “Provided also that nothing is this subsection shall be construed to authorise the inclusion alter the passing of this Act ol provisions on any articles ol association purportin'' to oblige shareholders of any company to supply milk, cream or other dairy produce to the company, and all articles of association to which this subsection applies (being articles nl ado before tbe passing of this Act, shall, on the expiration of six months after the passing of this Act, cease to have any force or effect, save so far as they may he valid and effective irrespective of the provisions of this subsection.”