CONSULTING ENGINEER

Hauraki Plains Gazette, Volume XXXX, Issue 5504, 22 November 1929, Page 2

CONSULTING ENGINEER

BOROUGH AND FIRM. CANCELLATION OF AGREEMENT In 1917 the Paeroa Borough Council contracted an agreement with Mr Lockie Gannon, a consulting engineer of Auckland, whereby Mr Gannon was instructed to prepare a report on the sewerage, roading, and levels of the borough. The cost was to be 1 per cent, for plans, 5 per cent, for carrying out of supervision; should the latter be placed in Gannon’s hands or any portion thereof, 4 per cent, to be charged for the work done, the 1 per cent, to be deducted from the full fee of 5 per cent.

On February 6, 1920, a public meeting was held in Paeroa and Mr Gannon explained that some three years previous the borough engaged his firm to make complete and comprehensive sewerage and roading plans, and that they had then pointed out to the council the necessity of having permanent levels. Mr Gannon then proceeded to give a resume of the work involved, which called for the raising of a loan of £55,009, divided as follows : Sewerage 42,750, streets and footpaths £ll,259, and domain improvements £lOOO. On February 11, 1920, a poll for the loan took place, with the result that the proposal was carried by a large majority. Since that date until quite recently Mr Gannon continued to draw his percentage. Partnership Dissolved.

The release from this agreement came on June 30, 1929, as in a letter dated September 19, 1929, Mr R. P. Worley, a partner of Mr Gannon’s officially advised the Paeroa Borough Council that the partnership of Gannon and Worley was dissolved by mutual consent on June 30, 1929. ‘Mr Gannon was remaining in Sydney, while the writer had taken over under their agreement the whole of the assets of the firm in New Zealand, and was practising on his own account as a consulting engineer, surveyor, and town planner. All contracts entered into by Mr Gannon had been assigned to him, amongst them being the arrangement made with the Paeroa Borough Council for sewerage and roads. He trusted that this altered arrangement would meet with the approval of the council. The Mayor replied on October 25, acknowledging the letter and noting Mr Worley’s reference to assignment “of all contracts entered into by Mr Gannon, amongst them being the arrangement made with this council.” In confirmation of the verbal agreement arrived at by the Mayor and Mr Worley in an interview at the latter’s office on October 23, the Mayor stated he wished to record that he understood Mr Worley to have said that he could advise his council that Mr Worley was willing to agree that at date hereof, or at any subsequent date, the Paeroa Borough Council was entirely free from any liability arising out of any arrangement made with Mr Lockie Gannon, to the intent and meaning that the council had discharged all liability under the agreement so made with Mr Gannon, and that such contract was definitely ended ; also that Mr Worley preferred that the council should regard his professional services as being at its disposal in the council’s absolute discretion, entirely on Mr Worley’s own qualifications, and at such remuneration as may be agreed upon from time to time, having regard, to the nature of service to be rendered. If the addressee concurred that the above faithfully set out the understanding confirmation was requested. Mr Worley answered on October 26 to the effect that he wished the council to be under no obligation to him as Mr Gannon’s successor, but would prefer the council to appoint him, if it so desired, as its consulting engineer to advise it on the carrying out of any works which the council might require expert advice on from time to time, at such remuneration as might be mutually agreed upon. Contract Cancelled. The borough solicitor, Mr C. N. O’Neill, in a letter to the council dated October 29, stated that he had perused the above letters. Based on the notice of assignment which was delivered byMr Worley to the Mayor, he had to advise that the two letters mentioned (October 25 and 26) constituted a valid and effectual cancellation of the contract existing between the Borough Council and Mr Gannon. Council’s Decision. As a resuult of the above correspondence the Paeroa Borough Council decided at its last meeting that Mr Worley be appointed during the council’s pleasure as consulting engineer to the Borough Corporation at such remuneration as might be agreed upon from rime to time, having regard to the nature of the work to be done and the service to be rendered.