HC Deb 30 July 1951 vol 491 cc1112-3

Lords Amendment: In page 22, line 4, leave out "a willing lessor and lessee" and insert "the parties."

Motion made, and Question proposed, "That this House doth agree with the Lords in the said Amendment."—[Mr. Lindgren.]

Mr. Powell

We are here leaving out the words "a willing lessor and lessee" and inserting the words "the parties." What is happening is that in this Clause the Lands Tribunal are trying to ascertain what sort of royalty would have been fixed in a given lease if it had been made after 30th June, 1951. The tribunal is assuming that the terms and conditions of the lease are the same as the existing one, but under the Clause as it stands at present they have to assume, as is normal in such cases, a willing lessor and lessee. By substituting for those words the ones proposed by the Amendment, it seems to me that particular circumstances are brought into account which might result in a different and unjust assessment being made. The particular parties involved in the bargain might for various reasons reach a different figure from that fixed as between a willing lessor and lessee. The reason for substituting one formula for another does not appear equitable on the face of it.

Mr. Dalton

The object of the Clause is to enable a lease made before the 1947 Act came into operation to be modified, taking account of the effect of that Act and making the corresponding transfer to the lessee of some part of the lessee's payment from the £300 million fund. There may be certain cases where the lessee might have liabilities under the lease in spite of which he has no claim on the fund, and a revision of these liabilities will not be proper. The object of the Amendment is to enable the Lands Tribunal to take this into account when modifying the lease.

Question put, and agreed to.