PUBLIC RECORD OFFICE
Reference :-
C.O. 885
15 PUBLIC RECORD OFFICE, LONDON
ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC-
COPYRIGHT PHOTOGRAPH-NOT TO
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assumed that there was a good contract by the Colonial Government to grant Read Godden's lands, the precise situation and extent of which were to be determined subsequently, if necessary by survey.
That Messrs. Bath and Son found the purchase money and financed Read in Virgin Gorda for a considerable time and that, in the course of a long corres- pondence since the 11th February, 1901, they had been treated by the Colonial Office as having an interest in the grant, it being considered that though Read was the principal with whom the grant had been arranged, it might properly be made, with his consent and at his request, to Messrs. Mellor and Morrice, as trustees for the benefit of all concerned.
That the deadlock with Read continuing, and it having become apparent that he was a man of straw and an unscrupulous adventurer, and that it would be most undesirable to issue the grant to him, an effort was made in the latter part of 1902 to induce Messrs. Bath and Son to accept an entirely new concession, Read being debarred from any interference or management in Virgin Gorda, but a one-third That failing interest being secured to him as the consideration for his concurrence. his concurrence it was suggested, as, an alternative, that Messrs. Bath and Son might have a grant independently of Read on giving the Colonial Government and the Secretary of State an indemnity against all claims and proceedings by the latter.
That the Governor of the Leeward Islands accordingly prepared a draft Agreement for a Grant (in which Read was to concur) and a draft Grant to be issued in pursuance of such agreement, providing fairly and reasonably for all matters which had been in dispute with Read, and making considerable concessions to the proposed grantees.
That it was, however, unnecessary to trouble us with those drafts as Messrs. Bath and Son refused to accept them. That they were, perhaps not unnaturally, disheartened by the difficulties, delays and misunderstandings which had occurred (though these had been occasioned almost entirely by the pretensions of Read), and professed a lack of confidence in the Colonial Government, which was unjustified. That they alleged that they had expended £1,400 in financing Read in Virgin Gorda, and now asked to be repaid the £250 purchase money, with interest at 5 per cent., and reasonable compensation. That with reference to the alternative suggested above, they "declined to accept any responsibility as regards Read or his interest in the present or future of Virgin Gorda, either as connected with them or with the Colonial Government." That they maintained that the agreement of the 12th day of May, 1900, was an absolute assignment of Read's interest in the grant to the trustees, Mellor and Morrice. That it would appear, however, from clause 10 of the Agreement that at the end of two years Read would have been entitled to sell his interest as a "party not willing to proceed," and that it was therefore difficult to see how the Agreement could be construed as an absolute assignment by him to Mellor and Morrice.
That it would further appear from clause 10 that the whole of the terms of the Agreement had now determined by lapse of time, and that as it had not been renewed in any form as contemplated in that clause, the parties would appear to have reverted to the position which they occupied inter se before the Agreement was
entered into.
That if this was the case, Read was legally entitled to have the grant for which he negotiated issued to himself alone, or in default, to be repaid the purchase money, £250, which Messrs. Bath and Son as his agents paid on his behalf, and that the latter must take such steps as they could to recover from Read the purchase money, the working expenses and the salary which they had paid him.
That Mr. Lucas was, however, to say that for the reasons specified in the ninth paragraph of his letter, you would not in any case sanction the issue of a grant to Read, whatever might be his strict legal right, and that he thought that, with a view to closing the transaction, the £250 purchase money should be repaid to Messrs. Bath and Son, if this course could be safely adopted.
That as regards compensation, Mr. Lucas was to suggest that, as the waste of time and money which occurred, and the failure of the Colonial Government to put Read into possession of Godden's lands were due mainly to the latter's own conduct, Messrs. Bath and Son's claim upon the Government would appear to be no greater than that of Read himself in this respect.
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That Mr. Lucas was accordingly to request us to take the circumstances described in his letter and the Agreement of the 12th May, 1900, into our considera- tion and to report :-
1. Whether, according to its true construction the Agreement of the 12th of May, 1900, operated as an absolute assignment by Read of his interest in the Virgin Gorda grant to Messrs. Mellor and Morrice?
2. Assuming that there was originally a valid contract between Read and the Colonial Government, what is now the legal position of the Colonial Government and the Secretary of State as regards Read and Bath and Son respectively?
3. What course should be adopted towards Read and Bath and Son respec- tively so as to bring the whole transaction to an equitable and satisfactory conclusion?
We have taken the papers into our consideration, and, in obedience to your commands, have the honour to
Report--
1. That we think that this Agreement operated as an assignment to Mellor and Morrice of the right to the lands not absolutely but as trustees for their firm and for Read, and that, in view of what has taken place, the rights of Mellor and Morrice should be recognised.
2. We do not think the Colonial Office are under any greater obligation to Messrs. Bath and Son than to Read, and, if there is a valid contract with Read, performance of it could be enforced only by proceedings in his name as well as in those of the assignees.
3.
We think, under the circumstances, notice should be served on Read and on Mellor and Morrice and Bath and Son declining to proceed further with the matter, and offering to return the money paid on the joint receipt of the parties in whose names the receipts on payment of the moneys were made out.
The Right Honourable
J. Chamberlain, M.P.,
&c.,
&c.,
&c.
We have, &c.,
R. B. FINLAY. EDWARD CARSON.