[1959] N.Z.L.R. 1236
[IN THE SUPREME COURT.]
WATCH TOWER BIBLE AND TRACT
SOCIETY v. MOUNT ROSKILL BOROUGH.
SUPREME COURT. Auckland. 1959. May
21. August 21.
T. A. GRES50N J.
Trusts and Trustees-Charitable
Trust-Borough receiving Subsidy for Erection
of War Memorial Hall on Trust that Hall Available for Use of All Sections
of
Community-Refusal to allow Lawful Section of Community to use Hall-Rreojg1 of
Terms of Trust.
Public Reserves and Domaines—Land
vested in Borough for Recreation Purposes and Memorial Hall erected
thereon—Such Land held on Charitable Trust-Councils Powers Administrative
Only—Power to Regulate Admission including Power to prohibit Admission on
Reasonable Grounds-Refusal of Use of Hall for Public Bible Reading
constituting Unjust Discrimination-Public Reserves and Domains Act 1953, s. 32
(1) (g).
Administrative Law—Land with
Memorial Hall thereon Vested in Borough—Councils Powers to Regulate Admission
to Hall including Power to prohibit Admission on Reasonable Grounds—Councils Powers
administrative only—Council not required to act, in Respect of regulating
Admission to Hall, in Judicial or Quasi-judicial Manner—Reserves and Domains
Act 1953, s. 32.
Practice-Parties—Foreign
Corporation Suing in Corporate Name—Such Corporation competent to seek
Declaratory Order or an Order under Charitable Trusts Act 1957—Person —Acts Interpretation Act 1924, s. 4—Declaratory Judgments Act 1908, s.
3—Charitable Trusts Act 1957, s. 60.
The defendant Borough held certain
lands as a recreational reserve on which stood the Mount Roskill Memorial Hall.
The erection of the hall) was financed by public subscriptions, a grant from
the Borough, and a Government subsidy given upon the representation that the
Hall was to be a war memorial commemorating those men from the district who
lost their lives in the Second World War. It was a condition of the subsidy:
"That the project be vested in the territorial local
authority to ensure that the Memorial will always be available for the use of
all sections of the community.
It was made clear that the Hall was not of a purely
symbolical nature but was rather a memorial community centre. On March 8, 1956,
by Gazette notice, the land in question was vested in the Borough, pursuant to
the Land Act 1948 and the Reserves and Domains Act 1953, as a reserve for
recreational purposes.
On July 8, 1958, the plaintiff requested the use of the
Hall for the purpose of a public Bible lecture on August 5. The Council
resolved to decline the application, and the plaintiff was notified
accordingly.
The plaintiff sought a mandamus requiring the Council to
make the Memorial Hall available to it for the purpose of giving public Bible
readings, and (or in the alternative) a writ of certiorari to quash the
Councils resolution of August 5, 1958. It also sought a mandatory injunction
giving it access to the Hall. Alternatively, the plaintiff asked for an order
under s. 60 of the Charitable Trusts Act 1957, or an order declaring and
defining its rights of access to the Hall, or both.
Held, 1. That the Borough accepted the subsidy to finance the
erection of the Memorial Hall on trust that the Memorial Community Centre would
always be available for the use of all sections of the community; and the
citizens of the Borough who were Jehovahs Witnesses comprised a lawful section
of the community. In declining to allow the plaintiff the use of the Hall, the
Council acted in breech of the wide terms of the trust.
2. That, on the basis that the plaintiff was a legally
constituted religious body which had conducted itself lawfully for the past
eighteen years, even [*1237] if the
action of the Council in refusing its permission to use the Memorial Hall
constituted a denial of natural justice, there was nothing in the Reserves and
Domains Act 1953 to require the Council to act in a judicial or quasi- judicial
manner, and the poyvers contained in s. 32 were administrative powers only, so
that the action of th4 Council in a purely administrative capacity could not be
the subject of legal complaint as such, or remedied by prerogative writ.
R. v. Electricity Commissioners [1924] 1 K.B. 171,
and New Zealand Dairy Board v. Okitu Co-operative Dairy Co. Ltd. [1953] N.Z.L.R. 366, and New
Zealand United Licensed Victuallere Assocsalion of Employers v. Price Tribunal [1957] N.Z.L.R. 167, followed.
3. That, under the vesting order of the Minister of Lands,
the land upon which the Memorial Hall was erected was vested in the Borough for
recreation purposes, pursuant ta the Reserves and Domains Act 1953, and in
trust for
that purpose, and the Council was not entitled to deal with it as though the
Borough held the land as an absolute owner. It held the land on a charitable
trust for a public purpose.
Keikoura County v. Boyd [1949] N.Z.L.R. 233; [1949]
G.L.R. 23, followed.
4. That the Councils power to regulate admission to the
Memorial Hall conferred by s. 32 (1) (g) of the Reserves and Domains Act 1953,
included the power to prohibit admission on reasonable grounds; and, in
refusing the plaintiff permission to use the Memorial Hall for public Bible
reading, the Council discriminated unjustly against it and infringed the
spirit, if not the letter, of the section.
R. v. Rushbrooke [1958] N.Z.L.R. 877, referred to.
5. That, as the Council made its decision bona fide but on
an imperfect appreciation of the extent of its obligations under the trust on
which it held the Hall, it should be given the opportunity to reconsider the
matter after the Courts definition of the nature of its trust.
6. That, in the circumstances, it was premature to
consider the discretion- ary prerogative writs which the plaintiff sought, and
a declaration should be made as to the legal rights of the parties under the
Declaratory Judgments Act 1908, or pursuant to s. 60 of the Charitable Trusts
Act 1957.
Kaikoura County v. Boyd [1949] N.Z.L.R. 233; [1949]
G.L.R. 23, and Hutton v. Hutton [1916] 1 K.B. 642,
Semble, The plaintiff, as a foreign corporation, could sue in
its corporate name in the New Zealand Courts; it was a person by
virtue of s. 4 of the Acts Interpretation Act 1924, and, as such, it could
invoke s. 3 of the Declaratory Judgments Act 1908 or seak an order pursuant to
s. 60 of the Charitable Trusts Act 1957. (To enable the Court to adjudicate
completely upon the important question involved in the ease, the Court ordered
the names of four Jehovahs Witnesses resident in Mount Roskill Borough, with
their consent, to be added as plaintiffs).
ACTION claiming a writ of mandamus and a writ of
certiorari, or both, and other relief in the circumstances following.
The Watch Tower Bible and Tract Society, commonly referred
to as Jehovahs Witnesses, a body corporate constituted under the laws of
Pennsylvania, United States of America, sued by its lawful attorney in New
Zealand, Benjamin Brock Mason, of Auckland, minister. The defendant, the Mount
Roskifi Borough, held certain land as a recreation reserve, on which stood the
Mount Roskill War Memorial Hall. This Hall, which was opened on October 29,
1955, was financed by publie subscription and grant from the defendant Borough,
which the Govern- ment subsidized in accordance with its policy of helping to
finance war memorial community centres. In all, the sum of £8,000 was raised by
public subscription upon the representation that the hall was to be a war
memorial commemorating those men in the district who lost their lives in the
Second World War. It was a condition of the subsidy,
"That the project be vested in the territorial local
authority to ensure that the Memorial will always be available for the use of
all sections of the
community [*1238]
In
declining to subsidize the original scheme, which was for memorial gates, the
Internal Affairs Department had stated that,
"The war memorial subsidy policy is limited to those
projects taking the form of community centres ... Memorials of a purely
symbolic nature, although equally appropriate, are not eligible for
subsidy.
It was
therefore clear that the hall was not a shrine of a purely sym- bolical nature,
but was rather a memorial community centre.
On March
8, 1956, by Gazette notice (1956 New Zealand Gazette. 314), the land in question was vested in the
Borough pursuant to the Land Act 1948, and the Reserves and Domains Act 1953,
as a reserve for recreation purposes. On September 23, and on December 2, 1956,
and again in April, 1957, the plaintiff was granted the use of the Hall for a
public Bible lecture, and on each occasion these lectures took place without
incident or disorder of any kind.
Following
upon a request by the Jehovahs Witnesses for the use of the Levin Memorial
Hall and the Kaitai Swimming Baths, the Dominion Executive Council of the New
Zealand Returned Servicemens Association passed a resolution early in
February, 1958, to the effect that a war memorial was sacred to the memory of
those who served their country in time of peril, and that where a memorial took
the form of a public utility, this principle should apply to the whole utility
whether it be a building, park, playing field, or swimming bath; that persons
who refused to defend or serve their country during the war had no moral right
to be in or about a memorial, and their presence was an affront to those whom the
memorial commemorated; that it was an insult to every war widow, bereaved
parent, and serviceman, that organizations such as Jehovahs Witnesses, which
had been declared subversive on October 24, 1940, should in any circumstances
be per- mitted to use any part of a war memorial: that accordingly affiliated
associations should bring the views of the New Zealand Returned Servicemens
Association before the authorities controlling any such memorials.
A copy of
this resolution was sent to the defendant Borough or February 24, 1958, and on
April 3 of that year the Borough Council advised the New Zealand Returned
Servicemens Association that it had passed a resolution that applications by
Jehovahs Witnesses for the use of the hall would be declined.
On July
8, 1958, the plaintiff requested the use of the Hall for the purposes of a
public Bible lecture, and at a meeting on August 5 the Council resolved to
decline its application, and the plaintiff was notified accordingly by letter
next day.
In these
circumstances, the plaintiff alleged a denial of natural justice, and asserted
that, in passing its resolution, the Council failed to act judicially, and
indeed discriminated against the plaintiff and unjustly infringed its so-called
inherent right to have access to and speak in a public place.
On these
grounds, the plaintiff sought a writ of mandamus requiring the Council to make
the Mount Roskill War Memorial Hall available to it for the purpose of giving
publie Bible lectures and/or a writ of certiorari to quash the Councils
resolution of August 5, 1958. It also sought a mandatory injunction giving it
access to the Hall. In the alternative, it prayed for an order under s. 60 of
the Charitable [*1239] Trusts Act
1957, and/or an order declaring and defining its rights of access to the hall.
Haigh and Hillyer, for the plaintiff. Southu'iclc, for the defendant. August
10. T. A. Gresson J. In general,
it must be assumed that the Legislature confines its enactments to its own
subjects over whom it has authority and to whom it owes a duty in return for
their obedience. It may extend its provisions to foreigners in certain cases,
but the presumption is rather against the extension; Jefferys v. Boosey (1854) 4 H.L.C. 815, 970; 10 E.R. 681, 742:
Maxwell on Interpretation of Statutes, 8th ed. 135: Craies on Statute Law, 5th ed. 434; Davidsson v. Hill
[1901] 2 K.B. 606; Tomalin v. S. Pearson and Son. Ltd. [1909] 2 K.B. 61. A question
thus arises as to the, competence of the present plaintiff, who is the attorney
of a foreign body corporate, to bring the 5 present proceedings and, inter
alia, invoke the advantages conferred by the Reserves and Domains Act 1953, and
certain trusts imposed by the Government at the time when it granted its
subsidy towards the Mount Roskill Memorial Hall. It is to be observed that no
challenge to the competence of the Watch Tower Bible and Tract Society was
raised in Watch Tower Bible and Tract Society v. Huntly Borough, (ante, p.
821,) but, on the assumption that the action has, by mistake. been commenced in
the name of the wrong plaintiff, I am of opinion that to determine the
important and substantial matter in dispute, four individual members of the
plaintiff body resident in the Mount Roskill Borough should, at this stage,
be added as plaintiffs. Such joinder would appear to involve no prejudice to
the defendant, but, if necessary. I will hear counsel as to the propriety of
such an order and the terms, if any, on which such an order should be made:
Rules I) 60 and 6I) of the Code of Civil Procedure; Duke of Buccleuch [1892] P. 201; Hughes v. Pump
House Hotel Co [1902] 2 K.B. 485.
August
21. T. A. Gresson J. [After
stating the facts as above J In its defence. the Council admits that its tenure
is subject to the provisions of s. 32 of the Reserves and Domains Act 1953, and
that certain con- 35 ditions to ensure that the War Memorial was maintained on
as wide a community basis as is practicable were stipulated by the Government
when granting its subsidy. It claims that in refusing the plaintiff the use of
the Hall it was not obliged to act judicially, and asserts that even if this
were the case it acted judicially and conscientiously within 40 its statutory
powers. Furthermore, on October 8, 1958, the defendant notified the plaintiff
that if it cared to apply for the use of the Municipal Hall as opposed to the
War Memorial Hall, such application would receive serious consideration.
As
Shorland J. pointed out in Watch Tower Bible and Tract Society v. Huntly
Borough, (ante,
p. 821): It is no part of the function of this Court to hold or to
pronounce any views relative to the canons of good taste or to consideration of
the feelings of those citizens who view as hallowed a memorial erected and
preserved to the cornmemoration of those who made the supreme sacrifice in the
last war. The matter before the Court is simply one of law, and a matter which
must be considered in accordance with the rules of law, and the acceptance of
the fundamental principle that all parties, all persons, and all creeds have
the same rights to receive justice according to the law from the Court"
(ibid., 822).
[*1240]
It is not seriously disputed that, in
refusing the p4csintiff the use of the Hall, the Borough Council was acting in
deference to the wishes of the New Zealand Returned Servicemens Association.
It was doubtless greatly influenced by the fact that on October 24, 1940, the
plaintiff body had been declared a subversive organization by the
Attorney-General under the provisions of the Public Safety Emergency
Regulations 1940, Amendment No. I (S.R. 1940/122). This was a step which he was
empowered to take
if satisfied that any of the purposes, methods or
activities of any organization have a subversive tendency or may be injurious
to the public safety.
On May 8,
1941, the Attorney-General modified his original declaration so as to permit
Jehovahs Witnesses to hold meetings for the study of the Bible, prayer, or
worship, subject to certain reasonable conditions. On March 27, 1945, while the
war was still in progress, the original declaration that Jehovahs Witnesses
were a subversive organization was revoked. The plaintiff body was thus allowed
to hold its religious meetings in New Zealand for the greater part of the
Second World War, and it has incurred no subversive stigma during the past
fourteen years.
It is
unnecessary to burden this judgment with a detailed examin- ation of the
beliefs and practices of Jehovahs Witnesses, which are conveniently summarized
in Adelaide Company of Jehovahs Witnesses (Inc.) v. The Commonwealth (1943) 67 C.L.R. 116, 117, 118,
145, 146. 159; and Walsh v. Lord Advocate [1956] 3 All ER. 129.
The literal interpretation of the Bible is the keystone of this sects belief,
and its ideology condemns the established Church institutions and stresses the
absolute and exclusive personal relation of the individual to the Deity without
human intermediation or intervention: Roncarelli v. Duplessis (1959) 16 DLR. 689, 696. Its
attitude towards martial strife is one of strict neutrality and its adherents
object on conscientious grounds to take the oath of allegiance, but they do not
object to take an oath in a Court of Law, nor do they refuse the protection of
the Queens Courts or other constituted human authority. It is, however.
difficult to reconcile some of the tenets of their belief with the obligations
of the ordinary citizen in time of war: Adelaide Company of Jehovahs
Witnesses (Inc.) v. The Commonwealth (1943) 67
C.L.R. 116, 159. In this connection, I respectfully adapt some passages
from the speech of Lord Sumner in Bowman v. Secular Society Ltd. [1917] AC. 406:
"The words, as well as the acts, which tend to
endanger society differ from time to time in proportion as society is stable or
insecure in fact, or is believed by its reasonable members to be open to
assault. The question whether a given opinion is a danger to society is a
question of the times and is a question of fact. Society has the right to
"protect itself by process of law from the dangers of the moment, whatever
that right may be. The attitude of the law, both civil and criminal, towards
all religions depends fundamentally on the safety of the State (ibid., 466, 467).
Bodies,
corporate and unincorporate, and individuals may profess ideas or carry on
activities which, in times of peace, may be harmless, but which in time of war
may interfere with the st,cessful defence of the Commonwealth: Adelaide
Company of Jehovahs Witnesses v. The Commonwealth (1943) 67 C.L.R. 116, 149, 161,
per Williams J. On the other hand, it is important to record that Jehovahs
Witnesses did not engage in overt hostile acts, and their attitude towards
military service was dictated by their conscience and their religious beliefs.
"We are free to worship or not to worship, to affirm
the existence of God or to deny it; to believe in the Christian religion or in
any other religion or in none, just as we choose ': Freedom under the Law, p.
46, 47, per Denning L.J., as he then was.
After
centuries of sectarian strife, complete liberty and full toleration have
been attained": 8 Holdsworths History of English Law, 402-420. As Sir John Latham C.J.
has pointed out: The religion of the majority can look after itself... It
is the religion or absence of religion of minorities, and in particular of
unpopular minorities, which require the protection of the law: see, in
particular, Boucher v. The King [1951] 2 D.L.R. 369, and Roncatelli v. Duplessis (1959) 16 D.L.E. 689, where the
Supreme Court of Canada, by a majority, upheld an award against the Premier of
33,123 dollars to a restaurant proprietor whose licence to sell liquor had been
peremptorily cancelled by the Quebec Liquor Commission on the formers
instructions, because as a Jehovahs Witness the latter had furnished bail to
members of this sect who had been arrested for infractions of certain municipal
by-laws governing the distribution of literature. It would be difficult, if not
impossible, to devise a definition of religion which would satisfy the adherent
of all the many and various religions which exist, or have existed, in the
world, and what is religion to one is superstition to another. Every person is
free to choose the content of his own religion, and it is not for a Court, in a
field in which it can profess no competence, to disqualify upon some a priori
basis certain beliefs as incapable of being religious in character: Bowman
v. Secular Society Ltd. [1917] A.C.
406, 467 Adelaide Company of Jehovahs Witnesses (Inc.) v. The
Commonwealth
(1943) 67 OLE. 116, 123, 124. On the basis then that the plaintiff is a legally
constituted religious body which has conducted itself lawfully for the past
eighteen years, did the action of the defendant Council in refusing it
permission to use the Memorial Hall constitute a denial of natural justice of
which complaint can legally be made? In my view, it is necessary to heed the
note of warning which Gresson P. sounded in Drewitt v, Price Tribunal, (ante, p.2l). when he stated:
"Natural justice isanelastic term which may be invoked from time to
time, but it is necessary to use caution to see that it is not unduly
extended and made to apply to a case which does not fairly fall within
the principles which so frequently have been enunciated (ibid.,
38). One must also bear in mind that if the Council, when passing its
resolution, was acting not in a judicial or quasi-judicial but in a purely
administrative capacity, it was not obliged to observe the principles of
natural justice: Nakkuda Ah v. Jayaratne [1951] AC. 66, 79; Franklin
v. Minister of Town and Country Planning [19481 A.C. 87; [1947] 2 All E.R. 289; Connolly v.
Palmerston. North City Corporation [1953] N.Z.L.R. 115, 119; and Quasi-Judicial and its
Background, by H.
W. R. Wade, (1950) 10 Cambridge Law Journal, 216, 229.
It is
well settled that, in determining whether a particular tribunal or local body
is exercising a judicial or quasi-judicial function, it is to the language of
the Legislature that one must first turn. The context or conditions of the
jurisdiction must be examined: Nakkuda Alis case [1951] AC. 66, 79. The
legislative provisions involved and the conditions and circumstances, under
which and in which the jurisdiction is exercised, must be considered; New
Zealand Dairy Board v. Okitu Co-operative Dairy Co. Ltd. [1953] N.Z.L.R. 366,
410,
[*1242] 417, 418; New
Zealand United Licensed Victuallers Association of Employers v. Price Tribunal [1957] N.Z.L.R. 167, 210; Low
v. Earthquake and War Damage Commission (ante, p. 1198). There is a complete absence of any
judicial machinery in the Reserves and Domains Act 1953, and the powers
contained in s. 32 are clearly administrative powers. There was no lis in the
accepted sense before the Council, and the trappings of a Court were absent.
The rights of subjects- namely, the right of free speech, lawful assembly and
freedom of worship-were involved, but the super-added characteristic-namely, a
duty to act in a judicial or quasi-judicial manner, was, in my view, absent: R.
v. Electricity Commissioners [1924]
1 KB. 171, 205. It follows, therefore, that even if the action of the
Council constituted a denial of natural justice, this cannot be the subject of
legal complaint as such, or remedied by prerogative writ.
There is
no specific right at common law to hold a public meeting on a common or in a
public place: De Morgan v. Metropolitan Board of Works (1880) 5 Q.B.D. 155; Diceys
Law of the Constitution, 8th ed. 267, 497; The Law of Public Meeting, E. C. S. Wade; (1938) 2
Modern Law Review,
186; (1937) 6 Cambridge Law Journal 161, per, A. L. Goodhart. A right of lawful assembly for
a lawful purpose, provided no disorder or breach of the peace is rendered
likely thereby, is in reality but a corollary to individual liberty and
individual freedom of speech, and in this connection one must take into account
the fact that the plaintiff has conducted previous Bible meetings in the
Memorial Hall without incident. Moreover, there is no evidence that on the date
in question the hail was otherwise required, and it was admitted in the course
of the hearing that the plaintiff was at all material times ready and willing
to comply with all such reasonable conditions as might be imposed in respect of
its use of the hall.
In his vesting order, the Minister of
Lands vested the land upon which the Memorial Hall is erected in the Mayor,
Councillors, and Citizens of the Borough of Mount Roskill for recreation
purposes, pursuant to the Reserves and Domains Act 1953, and in trust for that
purpose. Effect must be given to the plain meaning and intention of these
words. The defendant Borough thus holds the land as a trustee for a special
purpose, and the Council is not entitled to deal with it as though the Borough
held the land as an absolute owner. It must be held so as to achieve the
particular purposes upon which it was vested in the Borough. In my view, the
land is held on a charitable trust for a public purpose, and the trust should
thus receive a benignant construction: Kaikoura County v. Boyd [1949] N.Z.L.R. 233, 261 ; [1949]
G.L.R. 23, 32. I should also interpolate that I was informed from the Bar that
the Attorney-General had had formal notice of these proceedings, but had no
wish to take part herein.
Under s.
32 (1) (g) of the Reserves and Domains Act 1953, the defendant Borough, as the
administering body of a recreation reserve, may erect on any portion of the
reserve any building necessary for the full use of the reserve for the purposes
for which it is set apart, and generally regulate admission to any such
building. The power to regulate admission would, in my view, include the power
to prohibit admission on reasonable grounds, but legitimate regulation of
admission must not degenerate into a more means of discrimination or hindrance
in the way of one class from which other classes are free: Hazeldon v. Mc
Ara [1948]
N.Z.L.R. 1087, 1107; [1948] G.L.R. 476, 485 Mitcham Common Conservators v.
Cox and Cole [1911] 2 KB. 854,
[*1243] 875, 876; Slee v.
Meadows (1911) 75
J.P. 246, 247. All classes of the community should share in the enjoyment of.
the reserve and the hall thereon: De Morgan v. Metropolitan Board of Works (1880) 5 Q.B.D. 155,
158.
Section 33 of the Act shows quite conclusively that the adminiˇ- tering body shall
not so deal with the reserve that the publie are excluded from free access
thereto, and it is at least arguable that if public Bible reading can be
regarded in the wide sense as recreation , then in refusing the
plaintiff permission to. use the Memorial Hall for this innocuous purpose, the
Council discriminated unjustly against it and infringed the spirit, if not the
letter, of this section: cf. R. v Rushbrooke [1958] N.Z.L.R. 877, 882.
There is,
however, another and, in my view, stronger ground upon which I prefer to base
my judgment. The Council accepted the subsidy previously referred to and, in
due course, the land and Memorial Hall thereon . on trust that the Memorial
Community Centre would always be available for the use of all sections of the community,
and maintained on as wide a community basis as is practicable. It cannot be
disputed that the citizens of the Borough who are Jehovahs Witnesses comprise
a lawful section of the community, and though in a relative minority, they
must, in my view, enjoy the same legal rights and beat the same legal
obligations as members of the Returned Servicemens Association. In declining
to allow the plaintiff the use of the hail, the Council, in my view, acted in
breach of the wide terms of this trust. The Court has full power to sec that
the trust is properly carried out. Having regard to the fact that the Councils
decision was largely based on a failure to appreciate the wide purposes of its
trust, the ordinary course would be for the Court to direct it to reconsider
the matter on the correct basis. More drastic action is only taken where it is
clear that the trustee is not honestly or reasonably attempting to carry out
its duties.
The
Council plainly made its decision bona fide, but, in my view, upon an imperfect
appreciation of the extent of its obligations under its trust. In these
circumstances, it should be given the opportunity to reconsider the matter now
that the nature of its trust has been defined. It should not be assumed that
the Council will refuse to carry out its obligations, and in fact counsel-as
one would expect on behalf of a responsible local body-indicated the
defendants anxiety to conform with its legal obligations in the matter. In
these circumstances, it is premature to embark upon a consideration of the
discretionary prerogative writs which the plaintiff seeks: Kaikoura County
v. Boyd [1949]
N.Z.L.R. 233, 266; [1949] G.L.R. 23, 34. The plaintiffs prayer for
"further or other relief is, I think, wide enough to permit the
Court to make a declaration as to the legal rights of the parties under the
Declaratory Judgments Act 1908 (Hutton v. Hutton [1916] 2 K.B. 642,
656), or pursuant to s. 60 of the Charitable Trusts Act 1957.
A
procedural question was raised by the Council as to the competence of the
present plaintiff to bring these proceedings. I was informed from the Bar that
it was admitted that the plaintiff society was a body corporate, constituted
under the laws of Pennsylania, having its registered office at Pittsburgh,
United States of America, and at the hearing the defendant did not dispute that
Benjamin Brook Mason is its lawful attorney, resident in New Zealand. It has
been well settled since the beginning of the eighteenth century that
[*1243] a foreign corporation may sue in its
corporate name in the English Courts: Dutch West India Co. v. Henriques Van
Moses (1728) 1
Stra. 612; 93 E.R. 733, and subsequent proceedings sub. nom Henriques v.
General Privileged Dutch Co. Trading to West Indies (1730) 2 M. Rayd. 1532; 92 E.R.
494; Newby v. Colts Patent Fire Arms Co. (1872)
L.R. 7 Q.B. 293, 294; National
Bank of St. Charles v. De Benales (1825) Ryan & Moody 190;, 171 E.R. 990; De Beers
Consolidated Mines Ltd. v. Howe [1905]
2 K.B. 612, 641; Farnsworths Residence and Domicile of Corporations, 64; Bries on the Doctrine of
Ultra Vires, 3rd
ed. 6; 7 Halsburys Laws of England, 3rd ed., p. 12, paras. 20, 21. English and New Zealand
Courts have long since recognized as juristic persons corporations established
by foreign law, in virtue of the fact of their creation and continuance under
and by that law: Lazard
Bros. and Co. v. Midland Bank Ltd. [1933] A.C. 289, 297;
[1933] All E.R. Rep. 571, 576, per Lord Wright; Russell v. CambeJort (1889) 1 23 Q.B.D. 526, 528; New
Zealand Banking Corporation v. Cutten
(1864) Mac. 212, 221, 227, 228; Bank of Otago Ltd.
v. Commercial Bank of New Zealand Ltd. (1867) Mac. 233, 240. It is also of interest to note
that in Watch Tower Bible and Tract Society v. Huntly Borough (ante, p. 821), no challenge to the
competence of the plaintiff was raised. Furthermore, in his original
declaration dated October 21, 1940 (1940 New Zealand Gazette 2752), the
Attorney. General recognized the existence and operation within New Zealand of
the organization known as Jehovahs Witnesses or the Watch Tower Bible and
Tract Society. I have not had the advantage of full argument on this aspect of
the matter, and it may be that no valid objection to these proceedings being
taken in the name of the plaintiff Society and its lawful attorney can be
sustained. The defendant is resident in New Zealand, and the plaintiff body is
lawfully constituted under the laws of Pennsylvania and operates quite widely
throughout New Zealand. By virtue of the Acts Interpretation Act 1924, s. 4, person"
includes a corporation sole and also a body of persons, whether corporate or
unincorporate. Any person claiming to exercise a right dependent on
the construction or validity of any statute . . . document of title, or
agreement in writing, may invoke s. 3 of the Declaratory Judgments Act 1908.
Any person may also seek an order pursuant to s. 60 of the
Charitable Trusts Act 1957, in respect of property subject o a trust for a
charitable purpose, and once the right of access to the Court is established I
see no real distinction between the various forms of procedure which may be
availed of there. 4 By its failure to deny expressly the plaintiffs right o
sue, the defendant may have lost its opportunity to take this purely technical
objection to the plaintiffs status, and its proper course may well have been
to move to strike out the plaintiffs claim: Russian Commercial and
Industrial Bank v. Comptoir D'Escompte de Mulhouse [1925] A.C. 112, 130,
148; 1958 1 Annual Practice 574. However, I express no concluded opinion on
this question as it has not been argued before me.
Even if
the Court were to uphold this objection, I surmise that the only practical
result would be that application for the use of the hall would be made
forthwith by several of the Jehovahs Witnesses resident in the Borough, and
upon refusal of their request the present proceedings would be re-issued in
their individual names. The delay and expense of further proceedings should, if
possible, be avoided, 1958 1 Annual Practice, 345, and in an interim judgment
dated August [*1245] 10, 1959
(ante, p. 1239), I therefore suggested that any possible procedural
difficulty-as to which see New Zealand United Licensed
Victuallers Association
of Employers v. Price Tribunal [1957] N.Z.L.B. 167, 213-might be obviated by joining
four individual members of the plaintiff body resident in the Mount Roskill
Borough as plaintiffs, pursuant to either R. 60 or R. 90 of the Code of Civil
Procedure: Duke of Buceleuch [1892]
P. 201; Hughes v. Pump House Hotel Co. [1902] 2 K.B. 485,
and stated I would hear counsel as to the propriety of such joinder.
Counsel
for the defendant opposed any such joinder, and submitted that proceedings had
not been issued in the name of the present plaintiff through a bona fide
mistake, but by design. He also pointed out that the application for the use of
the hail was made by the Watch Tower Bible and Tract Society and not by
individual mmbers of the sect.
It is
well settled that an action should never be dismissed for want of parties or
where, through bona fide mistake, it is doubtful whether it has been commenced
in the name of the right plaintiffs: Cowlishaw v. Christchurch Press Co.
Ltd. (1907) 28
N.Z.L.R. 539; 8 G.L.R. 767; Rhondda Urban District Council v. Pontypridd
Water Works Co. [1908] 1 Ch. 388.
Bona fide mistake includes mistake of law (Duckett v Gover (1877) 6 Ch.D. 82, 86), and to
enable the Court to adjudicate completely upon the important question involved
in this case, I order that the names of the following Jehovahs Witnesses,
resident within 5 the Borough of Mount Roskill, be, with their consent, added
as plaintiffs: Charles Beasy, of 79 McGullough Avenue, Mount Roskill, manual
school teacher; Norman Vincent Coles, of 454 Mount Albert Road, Mount Roskill,
bricklayer; George Desmond Wilson, of 1 Mount
Roskill Road, Mount Roskill, electrical serviceman; Robert Charles Rowe, of 1a Martyn Avenue, Mount Roskill, builder.
In these
circumstances, I make the following declaration: That the Watch Tower
Bible and Tract Society and/or Charles Beasy, Norman Vincent Colos, George
Desmond Wilson, and Robert Charles Rowe, are entitled to have access to the
Mount Roskill War 5 Memorial Hall for the purpose of holding Bible lectures, at
such reason- able times and upon such reasonable conditions as the Mt Roskill
Borough Council shall impose".
In the
particular circumstances, I make no order as to costs.
Declaration accordingly.
Solicitor for the plaintiffs: F. H. Haigh (Auckland).
Solicitors for the defendant: Nicholson, Gribben,
Rogerson, and Nicholson (Auckland).