DAMAGES CLAIMED

Rotorua Morning Post, Volume 2, Issue 304, 18 August 1932, Page 6

DAMAGES CLAIMED

("Post" Speeial Correspondent.)

ALLEGED LIBEL WELLINGTON NEWSPAPER AND LAND AGENT INYOLYED IN' PROCEEDINGS. ' LIQUIDATION ADVERTISEMENT.

i WELLINGTON, Tuesday. , In the Magistrate's Court yesterday ! C. E. Lawrence, proprietor of "The Portage," Marlborough Sounds, pro- ; ceeded against Messrs. Blundell Bros., f Ltd., propriators of the "Evening Post," and Messrs. Dunbar Sloane j Ltd., for damages amounting to £250 j for alleged libel. The claim was a j result of an advertisement published i in the "Evening Post" stating that a ' liquidator had ordered the sale of ■ furniture from "The Portage." In his statement of claim the plaintiff alleged that on April 14, 1932, the defendants had falsely and maliciously caused to he printed and published in the "Evening Post" an advertisement stating that the liquidator had ordered Messrs. Dunbar Sloane, Ltd.{ to dispose of the furniture of "The Portage," The plaintiff contended that by the advertisement the defendants meant and were understood to mean chat the plaintiff was in liquidation or insolvent and that his business was being liquidated or sold up. By reason of the publication of the advertisement, the plaintiff said, he had been injured in his credit and reputation and in the way of his business as a private hotel keeper. He also said thac he had been exposed to public ridicule and contempt. i i Not Owned By Him Counsel for the plaintiff said that in point of fact the furnishings that had been sold did not belong to Lawrence, and never had belonged to him. They belonged to a defunct company known as New Zealand Tourist Resorts, Ltd. This company never had owned or eonducted the private hotel known as "The Portage." The explanation of the matter was that New Zealand Tourist Resorts, Ltd., was formed some two or three years ago, and one of its objects was .o deveiop tourist traffic and acquire from the plaintiff an option over "The Portage." The company secured the option. The company did not succeed when it went to the public some eighteen months ago. In the meantime, in antieipation of being successful, the company had built two annexes to "The Portage," and had furnished them. In April of this year ihe company removed its furniture from the annexes and brought it to Wellington, where it was sold. Published Innoccntly Counsel said there eould be no question that the advertisement was published in "The Post" quite innocently and in the ordinary way of business, nor was there any suggestion that Mr. Sloane was actuated by malice. He submitted, however, that somebody eonnected with the advertisement had leliberately framed it in such a way that it was likely to harm the plaintiff's business. After the advertisement appeared both defendants were communicated with. "The Post" expressed itself as vvilling to publis.h an explanation in onjunction with Messrs. Dunbar ffoane Ltd. Notwithstanding the fact diat. Mr. Sloane was written to on two occasions he did not avail him^eif of the opportunity, and ultimately 5U June 27 or 28 "The Post" published an explanation on its own account. Giving evidence along the lines indicated by counsel, the plaintiff said ;hat many people had understood from the. advertisement that the bailiffs were in at "The Portage." Cross-examined by counsel for Messrs. Dunbar Sloane, Ltd., witness said that he was a shareholder to the extent of 3900 shares in New Zealand fourist Resorts, Ltd. Counsel to witness: It was part of >nur agreement that you were to take over these annexes when they were built if the company did not go on? — Y es. Have you paid for the annexes? — No. You have not been able to? — No. Nor for the furniture? — No. On March 31 your solicitor had advised you to file a debtor's petition? — Yes. He knew your position and advised you to file? — Yes. At that time fmancially things were very strained with you? — Only in regard to the company. Witness denied that he was in any way financially embarrassed in connection with "The Portage" itself. Ceeil T. Cox, liquidator of New Zealand Tourist Resorts, Ltd., said he had authorised Messrs. Dunbar Sloane lo insert the advertisement. Every word in the advertisement was true. Andrew Dunbar Sloane said he had drawn up the advertisement and as an extra precaution had submitted it to a solicitor. After the plaintiff's case had concluded the magistrate, Mr. T. B. McNeil, said that on the plaintiff's own evidence he had suffered very little damage, but if it was proved that the advertisement was libellous hc was entitled to some damages whether he had suffered or not. They would. however, be purely nominal. He said that he would reserve his decision.