Page

HONGKONG LEGISLATIVE

-E1

COUNCIL.

RENTS BILL PASSED INTO LAW.

PETITIONS FROM LANDLORDS AND TENANTS.

H.E. THE GOVERNOR GIVES OTHER EXAMPLES OF UNREASONABLE RENTALS.

HON.

так

Hon. Mr. E. A. IRVING (Director of

Education)."

Hon. Mr. S. B. C. Ross (Secretary for

Chinese Affairs)..

Hou, Mr. T. L PERKINS (Director of

Public Works).

Hon. Mr. H. E. POLLOCK, K.C. Hon. Mr. P. H. HOLYOAK

Hon. Mr. Lau C'Hʊ-pak

Hon. Mr. Ho Foor

Bon. Mr. H. 1. BIRD

MINUTES.

The Minutes of the last meeting of the Council were approved by the Council and signed by the President.

FINANCE.

The COLONIAL SECRETARY, by command of H.E. The Governor, laid on the table Finance Minutes Nos. 33 and 34 and moved that they be referred to the Finance Committee.

The COLONIAL TREASURER conded and the motion was agreed to.

The COLONIAL SECRETARY, by commend of H.E. The Governor, laid on the table the Report of the Finance Committed (No. 8) and moved that it be adopted.

The COLONIAL TREASURER sconded and the motion was agreed to.

TRE. HONGKONG DAILY PRESS TUESDAY, JULY 19TH, 1921.

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notice. Agn.n, it is moposed that one of the subsidiary factors I spoke of just a danger that a tenant may hand over andlord to get that. There is always now, the greed of certain landlords, to someone else in return for premium, and chiety of farmers of house property.or should be checked by providing that farm-tenant taking the law against him..

an increased rent, and risk the ers of house property, should be allowed submit we might not to help the land. to collect from the tenants below them only lord to get that illicit gain and there a certain percentage of what they them is no reason for this proposal. Certain selves ray to their superior landlord. persons have asked as to farmers' leases. We found that was unworkable; different They are not extended by the Bill. No. rates would have to be fixed for different loase that covers more than a single parts of the Colony and different kinds building is extended by the Bill. of property in the same district. Some other proposal is that the Bill slusald property would be perfectly safe; I do provide that rent should be recoverable not suppose that tenants on the Peak only in respect of calendar months. or Bouhan Strand often abscond with When the Republie was founded the out paying their tent, but in other parts attempt was made to introduce the of the Colony it is a real danger. Gregorian calendar but, I understand Another proposal which was made in that the Chinese generally use the ald the very

able report of the Chinese Calendar, except in dealings with Euro- Chamber of Commerce was that the pans, and I think it would be a mistake second subsidiary factor, that of spiceu to deal with such a very "widespread lation in land, should be checked by customi as the use of the Chinese moon providing that no rent should be raised instead of the calendar month. The for one year after the purchase. house only other proposal I went to mention property. That would be a much great is that the standard rent, should be er and longer interference with ordinary taken as the rent on the 30th June pro- economic laws than the interferener provided it is not more than 10 per cent.. A meeting of the Legislative Council

prsed by this Bill, because it would izst, over the rent on the 31st December. We The need for some legislation on this: in some cases, for at least two years and find that the rents last December were was held in the Cotïncil Chamber, yester subject has been widely recognised. The it would be also very difficult to keep high and have been increased since

ay. There were present;-

main objecta are to protect tenants from track of the rents charged because, then-that these cases were so numeroas. EXCELLENCY THE GOVERNOR (Sir from arbitrary termination of their ten- it is proposed that landlords should be to take

unreasonable increases of their rent and under the scheme which it is part of, that we thought the fair. thing would REINALD EDWARD STEBAS, K.Q.M.G.).ancies; in other words, to keep the roof have power to evict in certain

the rrut December. THE OFFICER COMMANDING over the heads of present occupiers and circumstances. When a tenant was turn TROOPS, (Majer. General Sir Groza to protect them from excessive exploited out and a new tenant came in the principal amendments which I will pro I would like to mention shorty the M. KIRKPATRICK, K.C.S.I., K.C.R.). tion. It has been pointed out, Sir, that latter might not know what the late pose in the Bill. The first one appears Hon. Mr. Carp SEVERS, C. 31. G..the Bill would have also had another tent was and he might be charged very in paragraph (b) to clauses and the

(Colonial Secretary),

subsidiary efect in that it will tend to much higher. It would be impossible to effect of it is to bring within the Bill Hon. Mr. J. H. KEMP, K.C., C.B.E. house property which must, if continued. Provision, I have no doubt would be within the boarding house rules. There check the recent rash speculation in keep track of all these rents, and the very hotel and boarding house falling (Attorney-General).

have led to constant increases of rental, vers largely evaded. Hon. Mr. C. Mel. Massex, O.B.E. resulting in increased cast of livings, that

It is anggested, are six casses of boarding houses affect- (Colonial 'Treasurer).

the collection of shoed: Chiness hotels, 1st and 2nd class and discouragement of trade. The Bill money should be prohibited, but we boarding houses, eniigrants inlging. help has been derived by the Rents tional it would be unwise further to lodge their employes, and Chinese Sea- has been very widely discussed and much felt that in a Bill aiready rather excup boases, places where uniployers of labour' the various letters, petitions, reports and custom which, bad as i inny be, is include these because they are so very Committee and the Government from disturb existing practites by prohibiting men's boarding houses. We propose to like to say that concrete proposals suca mains in operation there is no reason but by permanent residents and also by other communications received. I would certainly widegend. While the Bill re generally used not merely by visitors as were received on this present Bill are why anyone should be forced to pay any always welcome. I would like to ne excessivë

persons whose presence here is essential "shoe money

because the to the trade of the Culong. It is pro knowledge ton, the very great assistance on in the past for the exnction of posed to add a further paragraph" to sub- I have received from, in the drafting

"shoe money

has been the threat of clause of clause 4 providing that, if of the Bill, the hun. member who re-eviction and if a man pays the standard lessor Lona fide requires possession of presents the Justices of the Pence. The rent, as long as the Bill remains in the domestic tenement to pull it down Government, Sir, he fully alive to the force, that man cannot be turned out. ur to reconstruct it so as to make it Hou. Mr. A. G. STEPHEN,

general and theoretical objections to hope the publicity given to the Billa uew building under the Public Health

egislation of this kind, the undesir Mr. S. Be B. McELBERRY (Clerk of lability of interfering with the ordinary

will result in tenants realising this fact. Ordinance, then he shall be entitled to Councils).

working of economic huw, the danger of property for their own accupation should clause of clause, 4 is intended to pro Another proposal was that buyers of the tenant out or giving three discouraging new buildings and that, it be able to enter into occupation even

months' notice. An amendment to sub- Government have so far held their hand found for the tenants who were ejected. affect the operation of the sections why-as you yourself have said, Sir-the if no other accommodation could be vide that nothing in this Ordinance is for a considerable time. But the site.I tried to draw up something to meet

of the Public Health Ordinance wh.ch tion has become so acute that it has been this, but found it very difficult in de decided that some action is necessary, tail. 1. also think it is not necessary, As a matter of fact I do not think the The buyer, if he is buying a house to Bill ought to discourage new building live in, is either a résident here already because any new buildings finished after or he is someone from outside. If he from the English Act and provides that the Ordinance comes into operation will is a resident, he has a house in which the lessur has obtained possession and like, Sir, if I may-it will not take more he is a stranger, then I would say the the order was obtained by concealment. Le entirely outside its scope. I would he is living now and can continue. If it is made to appear subsequently that than a few minutes to refer again to permanent residents have a greater claim Award such damages to the tenant as it the policy of the Bill and show how it to its use. If it is an old business, a man

For misrepresentation the Court may proposes to work. The two possible has either his old premises in which he may think it. It is also proposed to causes, I suppose, of the present short-can remain, or, if it is a new business, six clauses to the Bill Nos. 12 to age of housing accommodation are, first then i say, again, that the old estab of all, the influx of strangers refugees lished businesses have the greater claim into the Colony and, secondly, the failure on us than any new businesses. But the on the part of builders and property rock upon which the proposal would The COLONIAL SECRETARY, by command

owners to keep pace with the normal split is the difficulty of providing against of H.E. The Governor, laid on the table development of the Colony. I do not bad faith. The buyer would always say the following papers:-Report on the know how far that second cause, affects he intended to start a business but the December rent his assessment should i General Post Office, Hongkong, for the the result, or whether it is an appreci- failure to secure capital, year 1020; Report of the Director of able cause at all, but I will assume, credits," Education for the year 1990: Quarterly for the moment, that it is one of the which he had no control had prevented Clage 1: the clause which it is now other circunstances over so be reduced. There are two drafts of Return of excesses on sub-heads met by use of the present shortage. The his doing so and he would proceed to proposed move is the second draft. saving under heads of expenditure for situation created by the working of these let the house to somebody else. the second quarter of 1921, and a Report two causes has been aggravatel and made

It provides that:-. the Hongkong Fire Brigade and pro intolerable by two subsidiary factors should not apply to existing leases con- domestic tourment on the 31st day of The suggestion is made that, the Bill tenant in actual occupation of any

If the reat posals for increasing its efficiency.

recoverable from the one, the speculation in house property,taining a clause to the effect that on sale December, 1980, (u) was a rent which which tends to drive up renta all the of the property the landlord should be and been agreed upon in writing at some time; and, secondly, the greed of certain landlords. The Bill attacks these two

entitled to turn out the tenanta bdate before the 1st day of January, 1918, subsidiary factors without which the two giving a certain length of notice. main causes would not hare produced there are, I think that any provision coverable from the tenant in actual oc the position or, at any rate, that posif this kind would cause very great it shall be lawful for the lessor of Buch are told there are many of these cases. or () was not higher than the rent re- The COLONIAL SECRETARY presented to tion would not have been felt

cupation on the lat day of January, 1918, the Council the following petitions:-severely.

50 hardship. For example, it would result From Mr. Mok Lai Chi representing The two-weapons it uses are the pro- Terrace case being taken out of the such other rent than the standard rent Chinese tenants of the Colony, and visions of standard rent and the prin scope of the Bill altogether. It is also to be paid in respect of such tenement in what is known as the Broadwood teement to apply to the court to fix further petition asking that they might ciple of no ejectment.

us the court shell think fit as the rent be represented by Counsel; from certain remains in force standard rent alone willed to the case of offices and godowns. during the continuance of this Ordin-

While the Bill proposed that the Bill should be extend- proprietors of boarding houses; from the be payable, and as long as the tenant That case depends on entirely different auce, provided that nothing in this proprietors of domestic tenements pray- ing to be represented by ecunsel on the pass that rent, and complies with the considerations from the case of domestic section shall affect any rent which be- | second reading; and a

other terms of his tenancy, he cannot be tenements. The object of the Bill is to this Ordinance, and provided that no Chinese domestic tracts in Hongkong of strangers from elsewhere. The Bloccupiers, to give them somewhere to lessor, during the currency of any written petition from turned out. With regard to the influx keep a roof over the heads of existing thing in this section shall entitle any came duo before the commencement of which he asked the Secretary for Chinese Affairs to explain.

provides that the present occupiers, who live and sleep; it is not to protect trade lease of any domestic tenement for a THE SECRETARY FOR CHINESE APPAIRS shall not be turned out of their houses The tenants' petition asks for schools definite and unexpired term, to any rent are permanent residents of the Colony, generally but merely domestic tenements. Sir, I received a petition on behalf of to make way for people coming in from and club houses to be included. If they higher than the rent reserved in such tenants of Hongkong which is signed by outside. It is not possible to attack the are 10,142 persons, by chop, and 238 by other main cause, e, the failure of they used for

lease. bunan occupation, signature. They ask me to represent that the property owners to keep pace with

are included if not, they The 1st January was taken because, this was in sort of attachment to the the regular normal development of the also been suggested that the Bili should perty began to go up. We understand are outside the scope of the Bill. It has that was just before the rents of pro- petition which Your Excellency has Colony because, of course, we cannot provide that tenants should be required that the renta of Chinese property began already received from the Colonial create houses by Ordinance but we hope to give six months' notice, in the case to rise early in 1010 and of European Hecretary. It is to prove that the ten- ants of this Colony wish to thank Your providing that. any houses built after

we have encouraged new building by of shops, and three months' notice in the property not materially till after that, Excellency for this Ordinance. They this Ordinance comes into force shall be they wish to terminate tenancies,

case of purely domestic tenancies, if the middle of the next year. But we asked that they might be permitted to entirely unrestricted aa bring it to my office with a band, but they will thus get preferential treatment of the Bill. The object of the Bill is

rentals and submit that that is outside the scope between the two classes of property.

felt it was impossible to discriminate, I thought the band would not be neces-over existing houses. Bary. They assured me this was the best ments were published in the Gazette, but the present shortage, I think it is no. if he has spent or is spending $500 up Certain amend to protect tenants, not landlords. In allow the lessor to charge a higher tent Clause 14 provides that the Court may Inw they had ever read. Amongst other the general principle and scheme of the hardship to landlords if tenants leave wards in improvement of the property bodies the Chinese Chambers of Com-Bill remain unchanged. merce in this Colony, numbering 15, have

on giving the usual poticn. I see no which would have the effect of increasing signed this petition on behalf of 70,400 for carrying out the object of the Bill to the tenants to which the landlords

Various suggestions have been made reason whatever for altering the terms the rateable value. members. It is very difficult to find out which the Rents Committer and the how many people are represented by this Government have been unable to accept. force during the house shortage,

have agreed. The Bill will only be in man, is lessee of two or three houses

Clauisa 15 provides, in effect, that if petition. I am told to-day that it is One was the proposal that the percen- during a house shortage a landlord will his family and servants, and his lenso 930,000. I dare say losser number

and and keep one or two floors himself for might be correct, but I think 130,000 isage to be charged should be based upon i have no difficulty in getting fresh ten expires, he shall not be entitled to keen i the minimum figure. Also, 103 guilds of,

pre-war rents. That I have dealt with ants. It is also proposed to prohibit possession of the whole of the property. masters and workmen,

in paragraph 3 of the Objects and tong names in new leaves. This subjectThe bulk of it goes back to the landlord 79,500 men, wish to offer this petition Reasons of the origina! Bill; I would has been discussed for many years here to let to a new tenant or the old one

representing to Your Excellency and the members of only repeat that it would be extremely and bus always been found too difficult but the latter is only entitled to retain this Honourable Council, and they ask difficult, in fact it would be impossible, for solution. We could not make a pro- possession of the part he occupies him. me in presenting it to convey to the the Colony. It would have to vary in and in new feases the landlord could rents will go to the landlord and not to fix one percentage for the whole of vision of this kind part of old leasen solf, do that any advantage of increased Counsil that they beg me to ask you that various districts and for you should not listen to evil advisers but classes of property. A Rents Board has demand an individual name.

different always refuse to accept a fong name and to the lessee. That is only fair, because to tell you, Sir, that having rend this been suggested, and possibly that would Bill, they find that you, the Governor, be the fairest method if the Bents Board should not be allowed to transfer or put-vill have expired. Clause 10 deals the tenant's lease is only for a dénite Another proposal is that tenanta term and that terin-in the case I have holding justice in your hands, have were omniscient dad were permanently sub-let without the consent of the land with shoe, money". It does not pro- decided to deal with the people of this sitting and could work sufficiently quick lord. I find it rather difficult to dis hibit it, generally, but provides that no Colony as though they were little red babies. It is a very volumin-y, but there would be great uncertainty, cover the object of this proposal. The person shall, as a condition or a pre- ous petition.

the delay would be great and there new tenant cannot legally be required, tended condition of the grant, renewal The ATTORNEY GENERAL 1 beg to and private time I should very much where else, to pay any more than the old person, of a tenancy of any domestic would be great expenditure of publig if the tenant transfera his tenancy some or continuance, by himself or any other moy the seconds reading of a Bill-in-doubt whether the decisions of that tenant. If the object of this proposal tenement, demand payment of any sum titled An Ordinance to amend the law Board could be made so uniform as to in that the landlord any get any of money whatsoover in addition to the relating to the recovery of possession in be equaly fair in all cases. certain cases and to restrict the rents of events, it is not a proposal which we trary to the spirit of the Ordinance, then a fine of $1,000.

At all squeeze" or illicit gain, which is con rent. Anyone who does. so is able to certain domestic tenements..

felt could be produced-at inch short I submit that we ought not to help the

PAPERS.

THE RENTS BILL.

PASSED THROUGH ALL ITS STAGES.

T

or arrange

We

I

Tris

Power to iller the valuation where the Cleuse 12 will give the assessor present valuation is based on turned a higher figure on account of in- higher than the reats last December. It is only far that if a landlord has re- creased rent and is now going back to

(Continued on page 4).

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