Congested Districts Board v Attorney General

• Jurisdiction: Ireland
• Judgment Date: 23 July 1920
• Docket Number: (1919. No. 1035.)
• Date: 23 July 1920
• Court: Chancery Division (Ireland)

C.D.B. v. Attorney-General.

CONGESTED DISTRICTS BOARD

and

ATTORNEY-GENERAL

(1919. No. 1035.)

Land purchase - Congested Districts Board - Expenditure on improvements - Sale to tenants at enhanced price - Recoupment in money or in Land Stack - Irish Land Act, 1903 (3 Edw. 7, c. 37), sect. 72 sub-s. 3 -Irish Land Act, 1909 (9 Edw. 7 c. 42), sect. 3.

Sect. 72, sub-s. 3, of the Irish Land Act, 1903, provides that when the Congested Districts Board have expended money on the improvement of an estate, and in consequence have sold parcels of that estate at an enhanced price to tenants or others, the National Debt Commissioners may advance to the Land Commission for repayment to the Congested Districts Board such sums as represent the increase of price consequent on the improvements.

Held, that the Congested Districts Board are entitled to receive such advances in money, and not in land stock, notwithstanding anything contained in sect. 3 of the Land Act, 1909, which provides that advances for the purpose of the Land Purchase Acts may be made hole or in part by means of stock.

Trial of Action.

The plaintiffs sought a declaration that they were entitled to repayment by means of money of such sums as from time to time became payable to them under the provisions of sect. 72, sub-s. 3, of the Irish Land Act, 1903, in cases where they had expended money on the improvement of an estate, and in consequence had sold parcels of the estate at an enhanced price to tenants and others, and had become entitled to repayment as provided by the section of such sums as represented the increase of price consequent on the improvements.

The plaintiffs in their statement of claim averred that they had been established and incorporated for the execution and performance of the several statutory objects, powers, and duties set out in the Congested Districts Board Acts, 1891 to 1909, and that they had power to purchase land under the provisions of the Irish Land Purchase Acts for the re-sale thereof to tenants and other persons. The statement of claim set out the provisions of sect. 72, sub-s. 1, of the Irish Land Act of 1903, and of sect. 72, sub-s. 3, and averred that in pursuance of their obligation under sect. 72, sub-s. 3, of the Irish Land Act, 1903, and of the powers conferred upon them by sect. 41 of that Act, and of sect. 14 of the Land Act of 1909, the Lords Commissioners of His Majesty's Treasury had made certain rules and regulations dated 24th January, 1912, of which rules 26, 27, and 28 referred to the plaintiffs.

The statement of claim further averred that on the 13th February, 1913, by an offer, in writing, made to the Land Judge in the matter of the estate of N. O. Scott, an infant, and of Amy Frances Scott, widow, owners, and Matthew Scott, petitioner, the plaintiffs, in exercise of their statutory powers in that behalf, offered to purchase in fee-simple the lands of Kilagh, in the Barony of Moycullen and County of Galway, containing 600 acres, 1 rood, and 28 perches, at the price of £1024, to be provided and paid in 3 per cent. Guaranteed Stock in accordance with the Land Purchase Acts and the Congested Districts Board Acts, on the terms and conditions in the said offer appearing; and that on the 25th of June, 1913, by an order of the Land Judge made in the matter this offer of the plaintiffs was accepted, and that the lands were accordingly vested in the plaintiffs as purchasers in fee-simple on the 25th June, 1913. After the lands had been vested in the plaintiffs as owners, the plaintiffs caused certain improvements to be executed upon the said lands in the erection of mearing fences and buildings thereon, and expended on said improvements a sum of £77 12 s. 7 d. in actual money out of their income; after the execution of these improvements the plaintiffs re-sold the whole of the said lands in separate parcels or holdings to divers persons at the enhanced price of £1090, whereof the sum of £66 represented the increase of price consequent on the said improvements made by the plaintiffs over and above the price paid for the lands by the plaintiffs in the Land Judges' Court, and the plaintiffs contended that under and by virtue of the provisions of sect. 72, sub-s. 3, of the Irish Land Act, 1903, they were entitled to the repayment of the said sum of £66 in money. On the completion of the re-sale of the lands by the plaintiffs for this sum of £1090, the Irish Laud Commission, acting in compliance with a letter from His Majesty's Treasury, dated 13th February, 1913, transferred the sum of £66 Immature Guaranteed 3 per cent. Stock, 1939, in the books of the Bank of Ireland to the account of the plaintiffs, as being the repayment to the plaintiffs of the said sum of £66. The said sum of £66 Immature 3 per cent. Land Stock was, on the 7th March, 1918, the date of the paying order, equivalent to about £38 6 s. 5 d. in money. The plaintiffs refused to accept the transfer of this sum of £66 stock, and contended that under the provisions of sect. 72, sub-s. 3, of the Irish Land Act, 1903, they were entitled to be repaid the sum of £66 in money and not in stock. The Irish Land Commission refused to accept a re-transfer of the said sum of £66 stock, and refused to pay to the plaintiffs this sum of £66 in money in respect of the transaction, and stated that the Lords Commissioners of His Majesty's Treasury and the National Debt Commissioners refused to make any advance to the Irish Land Commission for the repayment to the plaintiffs of the sum of £66 otherwise than by means of the said amount of stock. The Lords Commissioners of His Majesty's Treasury contended that by virtue of the provisions of sect. 3 of the Irish Land Act, 1909, the repayment to be made to the plaintiffs pursuant to sect. 72, sub-s. 3, of the Irish Land Act, 1903, may be made by means of stock to an amount equivalent in nominal value to the sums repayable to the plaintiffs under sect. 72, sub-s. 3, instead of by means of money.

The plaintiffs contended that the moneys advanced to the Land Commission for repayment to or recoupment of the plaintiffs, as provided by sect. 72, sub-s. 3, of the Irish Land Act of 1903, are not "advances for the purposes of the Land Purchase Acts" within the meaning of sect. 3 of the Irish Land Act of 1909.

In the defence it was submitted that the agreement for the re-sale of the lands of Kilagh by the plaintiffs in separate parcels or holdings to divers persons, as set out in the statement of claim, were "future purchase agreements" within the definition of such contained in sect. 13 of the Irish Land Act, 1909; and, further, that the consideration received from the purchasers of the said parcels and holdings from the plaintiffs for the improvements made by the plaintiffs on...