§ Order of the Day for the Second Reading read.
§ THE LORD CHANCELLOR (VISCOUNT SIMON)My Lords, in the enforced absence of my noble friend Lord Alness, I have been asked to move the Second Reading of this Bill, which is a Bill applying to Scotland, and very few words will be needed. Perhaps it may be of some slight interest to your Lordships to know that this is one of the very rare cases in which Scotland, after an interval for reflection, has decided that it had better alter its law to make it correspond with the law in England. But I do not suggest that that unusual circumstance is a reason why my noble friend Lord Alness is absent. The Bill amends the Courts (Emergency Powers) Scotland Act, 1939, in three particulars and, as I have said, these changes will bring the law of Scotland practically into the same shape as the law south of the Tweed.
Clause I removes the limitation contained in the 1939 Act to cases where the 201 contract was made before the outbreak of war. In cases arising out of contracts made after that, however, relief is given only where the war circumstances in question arose after the contract was made. Similar provision for England was made by Section 26 of the Liabilities (War-time Adjustment) Act, 1941. I am told that there is little evidence of demand in Scotland for this extension, but in view of the lapse of time there must now be cases where it would be appropriate, and the proposal was approved at a recent meeting of the General Purposes Committee of the General Council of Solicitors in Scotland. There is a slight difference between the English provision and the Scottish provision on which I need not delay your Lordships by dwelling.
Clause 2 of the Bill deals with the point to which attention was drawn in an appeal from Scotland which was recently before this House in its judicial capacity; the case was that of Tritonia, Ltd. It was then held that the relief which the Act authorizes is available only to a person who is himself debtor in an obligation, and not to a person who has pledged his property in security of another person's obligation. This brings a person who has done so within the scope of the Act. That also is a provision which we, south of the Tweed, have had the happiness to enjoy since the passing of our own Act.
Clause 3 makes provision for the case where a person who has obtained goods under a hire-purchase agreement is unable, owing to war circumstances, to pay the instalments punctually, and the Court either refuses leave to the owner to enforce redelivery or grants it subject to conditions. This clause secures that in such a case the hirer may still become the owner of the goods by paying the balance of instalments due, notwithstanding that he has not paid them at the due date. Similar provision was made for England by Section 4 (2) of the Act of 1940. No case of this kind is known to have arisen in Scotland, but in the view of the authorities it seems desirable to take advantage of the opportunity afforded by the present Bill of providing for such cases. It is not thought that any further Amendments are needed. Although these matters are in themselves small and technical, I am sure your Lordships will be very willing 202 to give Scotland the facilities which this Bill provides. I beg to move
§ Moved, That the Bill be now read 2a.— (The Lord Chancellor.)
§ On Question, Bill read 2a, and committed to a Committee of the Whole House.