HL Deb 14 January 1913 vol 13 cc273-7

FORM OF BALLOT PAPER.

(Ballot Paper for [here insert name of area].)

Counterfoil No. NO-CHANGE RESOLUTION
1 (means that the powers and discretion of the licensing court shall remain unchanged).
DISINTERESTED MANAGEMENT RESOLUTION
2 (means that all new certificates for the sale of excisable liquors shall be granted only to an authorised public company whose surplus profits are to be devoted to works of public utility in the area; and that existing certificates may be so granted in accordance with the provisions of this Act).
LIMITING RESOLUTION
3 (means that the number of certificates for the side of excisable liquors shall be reduced by one quarter in accordance with the previsions of the Act).
NO-LICENCE RESOLUTION
4 (means that no certificate for the sale of excisable liquors shall be granted except for inns and hotels or restaurants in special cases in accordance with the provisions of this Act).

Indicate your vote by making a X in the right-hand space opposite the resolution for which you vote. You have one vote, and may vote for one resolution only.

LORD BALFOUR OF BURLEIGH moved to omit from Schedule II the words defining a disinterested management resolution, and to insert new words. The noble Lord said: My Amendment to Schedule 2 is a drafting one, and to make it in accordance with the ordinary practice it ought to have added to the words printed on the Paper the words "in accordance with the provisions of this Act." I move it with the addition of those words.

Amendment moved— Page 16, leave out line 10 to 17 inclusive, and insert ("means that certificates for the sale of excisable liquors shall only be granted to an authorised public company, and that the surplus profits of such company, after the payment of specified charges are to be paid to a fund for use for public purposes throughout Scotland in accordance with the provisions of this Act").—(Lord Balfour of Burleigh.)

On Question, Amendment agreed to.

Amendment moved— Page 16, line 28, leave out ("this") and insert ("the").—(Earl Beauchamp.)

On Question, Amendment agreed to.

THE MARQUESS OF SALISBURY

In moving to insert after Schedule II, the new schedule standing in my name I do not propose to go into the subject again unless your Lordships wish me to do so. I shall, of course, be glad to deal with any question put to me, but as the main discussion has already been taken upon the clause I do not propose to add anything.

Amendment moved—

Page 16, insert the following new Schedule:

"1. Before the twenty-eighth day of May next after the passing of this Act, every holder of a certificate shall become a member of a Mutual Insurance Association (in this Schedule referred to as "an association") which shall be an association not carried on for profit, and shall be registered under the Companies (Consolidation) Act, 1908, or the Friendly Societies Acts. The affairs of an association shall be subject to the absolute control of its members and one of the objects of an association shall be the insuring of every member of the association against loss arising from the withdrawal of his certificate by reason of a resolution under this Act. An association shall have a membership of not less than:

  1. "(a) in the case of an association insuring only "on" licences persons holding in the aggregate not less than one thousand such Licences; or
  2. " (b) in the case of an association insuring only "off" licences persons holding in the aggregate not less than five hundred such licences; or
  3. "(c) in the case of an association insuring both "on" and "off" licences persons holding in the aggregate not less than one thousand "on" licences and persons holding in the aggregate not less than five hundred "off licences"

"2.—(1) The application to become insured in an association shall be signed by the applicant and shall contain a declaration of the value in accordance with rules made by the Scottish Licence Holders Central Insurance Board (hereinafter called "the declared value") of the certificate to be insured.

"(2) The declared value shall be an amount not exceeding seven years' purchase of the net annual profit from the sale of excisable liquors carried on under the certificate, ascertained on the average of the three preceding years.

"3. The premium payable to an association in respect of the insurance of a certificate under this Act shall be an annual premium payable in advance and inclusive of the expenses of administration shall be at such rate not exceeding one half per centum of the declared value as the central board (established under this Schedule) may determine.

"4.—As soon as may be, but not later than four months after the passing of this Act there shall be constituted a Board to be styled the "Scottish Licence Holders Central Insurance Board" (in this Schedule referred to as the "Central Board").

"(2) The Central Board first constituted shall be elected by holders of certificates and shall consist of nine members of whom four shall be "on" licence holders, two "off" licence holders and the remaining members a brewer, distiller, and wholesale dealer respectively, who may act with a quorum of three and shall hold office for not more than two years.

"(3) The Central Board shall be a body corporate with a common seal, and shall elect a chairman from their own number.

"(4) The Secretary of the Licensed Trade Defence Association of Scotland shall receive nominations for membership and proceed to the election of a Central Board within three months after the passing of this Act, which election shall be decided by the holders of a majority of the certificates voting for a representative of each of the several classes of constituent members of such Board, and the expenses of such election shall be a charge against the first premiums payable in respect of insurance under the provisions of this Act.

"5. The Central Board shall within twelve months after the passing of this Act, and from time to time thereafter if occasion arises, may make rules prescribing amongst other things—

  1. "(1) The conditions on which the declared value of certificates may be ascertained, approved, modified, or readjusted, and the method of verification of declared value if a certificate is withdrawn.
  2. "(2) The manner of subsequent election and the number of members of the Board, which shall not exceed twenty-one, the quorum, the duration of their office and the basis of representation. Provided that at least nine members shall be elected in the same proportions and in the same manner as in the Central Board first constituted, and in addition, each association may elect one member to the Central Board for every one thousand certificates insured with such association.
  3. "(3) The furnishing of receipts by secretaries of associations for premiums or levies.
  4. "(4) The mode in which claims and payments in respect of claims are to he made.
  5. "(5) Any matters incidental to the proper conduct of the affairs of the Board and to carrying out the provisions of this Act.

"Provided always that no such rule shall contain anything inconsistent with the provisions of this Act, and every such rule shall be subject to the approval of the Secretary for Scotland.

"6.—(1) On or before the thirtieth day of June in each year every association shall pay to the Central Board eight shillings and sixpence per centum of the declared value from the amount of the premiums received by the association under the provisions of this Act.

"(2) The amounts received in respect of premiums paid by holders of certificates for on-licences and by holders of certificates for off-licences respectively, shall he carried by the Central Board to two separate accounts to be called respectively "The On-Licence Holders' Insurance Fund" and "The Off-Licence Holders' Insurance Fund." No part of the "On-Licence Holders' insurance Fund" shall be applied to the payment of any claim relating to an off-licence and no part of the "Off-Licence Holders' Insurance Fund" shall be applied to the payment of any claim relating to an on-licence. The Central Board shall have the management of the said funds, and the investment thereof, and the whole of the said funds shall be applied to the payment of claims as provided by this Act.

"(3) The necessary preliminary and office and administration expenses of the Central Board shall be contributed by each association in proportion to the total declared values of the certificates insured by said associations. Provided that the fees to members of the Central Board shall not exceed an aggregate of one thousand pounds in any one year.

"7.—(1) When a certificate is withdrawn by reason of any resolution carried under this Act, a claim upon the appropriate fund to an amount not exceeding the declared value shall thereupon arise, provided that no such claim shall be enforceable against the Central Board except in respect of the year in which such certificate is withdrawn.

"(2) When either of the funds of the Central Board is insufficient to meet the claims of members of associations in any particular year, the appropriate fund shall be divided among such members in proportion to the declared value of the certificates.

"8.—(1) Where in any year the respective amounts paid by the Central Board are insufficient to pay in full the respective claims arising in that year of "on" or "off" licence holders a claim shall thereupon be enforceable against an association by any member thereof whose claim against the Central Board in respect of a certificate insured by such association has not been paid in full and the directors of an association shall impose upon the on-licence holders or off-licence holders (as the case may require) who are members of the association a levy not exceeding one and a half per centum of the declared value of each certificate.

"(2) If the proceeds of the levy are insufficient to pay in full the claims in respect of which it was made, the unpaid balance of the claims shall be carried forward for the two following years, and in each of these years, if necessary, the like levy shall be made and the proceeds thereof shall be applied to the payment of all outstanding claims, and to no other purpose.

"(3) After the distribution in the third year all claims against an association in respect of a certificate which has been withdrawn shall be deemed to have been discharged.

"9. The holder of a certificate who has paid the premium payable in respect of the insurance of the certificate or a levy under Secton 8 of this Schedule shall be entitled to deduct from the interest on any loan advanced to him under any agreement, undertaking, or covenant binding him to obtain a supply of excisable liquor from the lender a sum bearing such proportion to the said premium or levy as the loan bears to the declared value of the said certificate. Provided that the lender shall have a right to any sums receivable under this Schedule, proportionate to the premium or levy paid by him, and in default of agreement the amount of premium or levy to be deducted or the sum due to the lender shall be determined by the Sheriff.

"10. All sums due by an authorised company under the provisions of Subsection (5) Of Section 3 of this Act shall be paid to the Central Board, and shall be applied by the Central Board towards the payment of the claims of the licence holders in respect of the withdrawal of whose certificates such sums are payable.

"11. The clerk of a licensing court shall, on request, in writing, furnish to the Central Board or to an association or before the constitution of the Central Board to the secretary of the Licensed Trade Defence Association of Scotland a list of all the persons who have obtained certificates for the sale by retail of excisable liquor in the district within the jurisdiction of the licensing court for the current year, in conformity with the conditions set out in section twenty-live of the Licensing (Scotland) Act, 1903, which shall apply with the necessary modifications.

"12. In this Schedule unless the context otherwise requires— The expression "on licence" means a licence for the sale of any excisable liquor for consumption on the premises: The expression "off licence" means a licence for the sale of any excisable liquor not to he consumed on the premises.—(The Marquess of Salisbury.)

On Question, Amendment agreed to.

Bill to be read 3a on Tuesday next, and to be printed as amended. (No. 190.)