§ That power may be given to the Board of Trade to terminate contracts, made by or with any company, the majority of 1246 whose shareholders are foreigners, subjects of any country with which this country is at war, for the sale of products of such a character that the knowledge of their sale and distribution is or may be detrimental to national interests during or after the War, or may inflict material damage upon British subjects proprietors of articles in which the company trades.
§ Clause brought up, and read the first time.
§ Mr. SAMUEL SAMUELI beg to move, "That the Clause be read a second time."
I have put down this new Clause with the object of satisfying a great grievance in the commercial community. Since the War many hardships have been suffered by commercial firms who have contracts with companies established in this country for distribution The majority of the shares in these companies are held by German subjects—
§ The DEPUTY-CHAIRMANIt seems to me that the substance of the Motion which the hon. Member is about to make has been already covered by the discussion. I understood it was agreed that all the discussion with regard to contracts should be taken on the Amendment which has been withdrawn.
§ Mr. S. SAMUELIt does not cover the same subject at all.
§ The DEPUTY-CHAIRMANIf the hon. Member will confine his remarks to the difference between his Motion and the Motion we have already discussed, I am sure it will shorten our proceedings.
§ Mr. S. SAMUELI will be as brief as I can. A company established here and having a majority of German shareholders have a contract with British companies, owners of proprietary articles. In consequence of the War the opponents of this company travel through the country and tell its customers that they are dealing with a German company, and they induce the customers to leave this German company and to enter into contracts with them. The object of my Clause is that, where British subjects are suffering from this serious injustice, they should be enabled to put the matter before the President of the Board of Trade, who should judge whether, under the circumstances, the trade in this company's proprietaries is suffering loss in consequence of the association with the German undertaking, and 1247 whether they should be relieved at least for the period of the War, so as to be able to do their distribution notwithstanding that contracts exist and that this company should be able to continue its trade without prejudice. In the case of a German individual trading in this country his business has been absolutely shut up, and, consequently, if a contract of that kind did exist with him as an individual distributor it would automatically come to an end. I would ask the Attorney-General whether, under the circumstances, he cannot see some way in which he can give relief from this great grievance under which the commercial community is suffering. I am afraid the Committee is very tired of hearing arguments, but this is a point which has not been referred to before, and I shall be very glad if the Board of Trade can find some means of giving relief in these cases.
Mr. ROBERTSONAlthough, as the hon. Member suggested, there is a superficial difference between his Clause and the others that have come before us, I would point out that this Clause comes under the same objection as has been made to the other proposals for legislation on the subject of contracts. You cannot lay down a general principle that all these contracts are to be terminated.
§ Mr. SAMUELThey can be treated on their merits when put before the Board of Trade; it is not obligatory.
Mr. ROBERTSONAs regards the power of the Board of Trade to deal with this question, may I point out that companies of the kind the hon. Member has described are precisely the companies which would be brought under observation under the powers we already possess and under the extended powers proposed to be given under this Bill. Companies such as the hon. Gentleman described will be inspected, and there will be power to continue the inspection and to secure financial supervision, and even to appoint a controller who could take practically the managing direction of the whole concern, and in that way prevent the carrying on of any business at all injurious to the interests of this nation. The general argument against dealing with an enemy country gives a sufficient reason for not embodying in the Bill this new Clause which raises the whole thorny problem of legislation on contracts.
§ Mr. SAMUELI beg to ask leave to withdraw the Clause.
§ Motion and Clause, by leave, withdrawn.