AMICUS AI
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • S. 219 of the former Municipal Corporation's Act of 1900,
  • S. 282, New Zealand Municipal Corporation's Act 1920.
  • Public Works Amendment Acts of 1908
  • Municipal Corporation's Act
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Cites
Cited by
Citation Codes
Equivalent Citations
citation codes
Case Number
Attorney(S)
Judges
Acts
  • S. 219 of the former Municipal Corporation's Act of 1900,
  • S. 282, New Zealand Municipal Corporation's Act 1920.
  • Public Works Amendment Acts of 1908
  • Municipal Corporation's Act
Smart Summary

Factual and Procedural Background

The appeal concerns the interpretation of the word "adjoining" in Section 282 of the New Zealand Municipal Corporation's Act 1920. The appellants, the council of the borough of New Plymouth, are authorized to supply electricity within a designated area that includes the borough and a large surrounding territory. The boroughs of Inglewood and Waitara, which lie outside but border the appellants' area of supply at distances of eight and six miles respectively, entered into agreements with New Plymouth in 1924 (modified in 1928) for the supply of electricity. These agreements were validated by a 1931 Local Legislation statute but only until 30th September 1933. Due to the impending expiry of this validation, the respondents initiated proceedings in the Supreme Court of New Zealand to determine whether Inglewood and Waitara qualify as adjoining districts to New Plymouth within the meaning of the 1920 statute.

The Supreme Court initially ruled in favor of the appellants, holding that the boroughs were adjoining. However, the Court of Appeal reversed this decision, concluding they were not adjoining districts. The present appeal challenges this interpretation.

Legal Issues Presented

  1. What is the precise meaning of the term "adjoining" as used in Section 282 of the New Zealand Municipal Corporation's Act 1920?
  2. Do the boroughs of Inglewood and Waitara qualify as adjoining districts to the borough of New Plymouth under this statutory provision?

Arguments of the Parties

The opinion does not contain a detailed account of the parties' legal arguments.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Spillers Ltd. v. Cardiff (Borough) Assessment Committee (1931) 2 KB 21 Words in statutes are to be used correctly and exactly, not loosely or inexactly; burden lies on those asserting a loose meaning to prove context justifies it. The court applied this principle to reject a loose interpretation of "adjoining," finding no contextual basis to depart from its precise meaning.
Cave v. Horsell (1912) 3 KB 533 Contextual support can justify a broader or looser meaning of a statutory term. The court found that unlike in Cave v. Horsell, the present context does not support a loose meaning of "adjoining."
Mayor of Wellington v. Mayor of Lower Hutt (1904) AC 773 The word "adjacent" can include places close to or near, not strictly adjoining. The court distinguished "adjacent" from "adjoining," noting the stricter meaning of the latter as used in the statute.

Court's Reasoning and Analysis

The court examined the statutory language and context of Section 282, noting that the word "adjoining" should be given its primary and exact meaning of "conterminous" rather than a looser sense of "near" or "neighboring." The court relied on established principles that statutory words are to be interpreted precisely unless the context clearly demands otherwise. The contrasting use of "beyond the borough" in paragraph (a) and "adjoining district" in paragraph (b) of the section indicated a deliberate choice of a stricter term. The court further distinguished "adjoining" from "adjacent," referencing precedent where "adjacent" was interpreted more loosely. Since the boroughs of Inglewood and Waitara lie six and eight miles away, they do not meet the strict requirement of being conterminous. Therefore, the court agreed with the Court of Appeal's interpretation, rejecting the appellants' broader reading.

Holding and Implications

The court DISMISSED THE APPEAL, affirming the Court of Appeal's decision that the boroughs of Inglewood and Waitara are not adjoining districts to the borough of New Plymouth within the meaning of Section 282 of the New Zealand Municipal Corporation's Act 1920.

The direct effect of this decision is that the electricity supply agreements between New Plymouth and the two boroughs, which depended on the validity of the "adjoining" district status, lack statutory support beyond the validation period. No broader legal precedent was set beyond the strict interpretation of the term "adjoining" in this statutory context.

    Mayor, Councillors And Burgesses Of The Borough Of New Plymouth v. Taranaki Electric-Power Board

    Lord Macmillan.-

    Their Lordships have in this appeal to consider the meaning to be assigned to the word adjoining as employed in S. 282, New Zealand Municipal Corporation's Act 1920. That section reads as follows:

    A Council, having established electric light works for the purpose of lighting the streets and public places of the borough and of supplying electricity to the inhabitants of the borough may (a) supply electricity to any person residing beyond the borough, with the consent of the local authority of the district in which the supply is given, and the provisions of this Act as to the supply of electricity to the inhabitants of the borough shall, so far as applicable, extend and apply to the case of such supply beyond the borough, and (b) contract with the local authority, of any adjoining district to supply electricity to such local authority upon such terms and conditions as may be mutually agreed upon.

    This section applies to the appellants, the council of the borough of New Plymouth, who are authorised by Orders in Council made under the Public Works Amendment Acts of 1908 and 1911 to supply electricity within an area of supply which embraces not only the borough, but also a large surrounding territory. The boroughs of Inglewood and Waitara lie outside, but border on the appellants area of supply. They are distant respectively eight miles and six miles from the borough of New Plymouth. By agreements entered into in 1924 and subsequently modified in 1928 the appellants contracted with the borough councils of Inglewood and Waitara to supply them with electricity, and have since been affording supplies to these boroughs. The supplies are delivered in bulk at a point in each case within the appellants' area of supply. By a Local Legislation statute passed in 1931 these agreements were validated, but only up to 30th September 1933. In view no doubt of the expiry of this period the present proceedings were initiated in the Supreme Court of New Zealand by an originating summons taken out by the respondents which submitted for determination the question on which the validity of the agreements depends, namely whether the boroughs of Inglewood and Waitara are adjoining districts to the borough of New Plymouth within the meaning of the statute of 1920.

    The matter came in the first instance before Macgregor, J., who answered the question in the affirmative. The Court of Appeal in turn unanimously came to a contrary decision. Their Lordship agree with the learned Judges of the Court of Appeal that the primary and exact meaning of adjoining is conterminous. At the same time it cannot be disputed that the word is also used in a looser sense as meaning near or neighbouring. But as Lord Hewarfc, C. J., said in a recent case, where the question was as to the meaning of the word contiguous :

    It ought to be the rule and we are glad to think that it is the rule that words are used in an Act of Parliament correctly and exactly and not loosely and inexactly. Upon those who assert that that rule has been broken the burden of establishing their proposition lies heavily. And they can discharge it only by pointing to something in the context which goes to show that the loose and inexact meaning must be preferred Spillers Ltd., v. Cardiff (Borough) Assessment Committee, (1931) 2 KB 21=144 LT 503=95 JP 49=29 LGR 411=75 SJ 173=47 TLR 231.

    The context in the present case does not help the appellants as it helped the plaintiffs in Cave v. Horsell, (1912) 3 KB 533=31 LJ KB 981=107 LT 186=28 TLR 543. Indeed, it is rather against them for in para, (a) of S. 282, reference is made to any person residing beyond the borough, while in para, (b) the reference is to the local authority, not of any district beyond the borough, but of any adjoining district. The contrast is significant. In Mayor of Wellington v. Mayor of Lower Hutt, (1904) AC 773 this Board refused to interfere with a judgment of the New Zealand Court of Appeal which decided that the City of Wellington was adjacent to the borough of Lower Hutt within-the meaning of S. 219 of the former Municipal Corporation's Act of 1900, although they were over six miles apart. It is noteworthy that Sir Arthur Wilson, in delivering their Lordships' judgment, said, at p. 775,

    ' Adjacent' is not a word to which a precise and uniform meaning is attached by ordinary usage. It is not confined to places adjoining and it includes places close to or near.

    The framers of the present Municipal

    Corporation's Act in employing in S. 282 the word adjoining and not the word adjacent may well have had in mind the contrast thus drawn between the two terms and have designedly selected the stricter word. But it is unnecessary to pursue the matter. It is enough to say that there is here no context constraining their Lordships to give to the word adjoining any other than its exact and literal meaning. Their Lordships thus see no reason to differ from, but on the contrary, every reason to agree with the interpretation placed upon the word by the learned Judges of the Court of Appeal. Their Lordships will humbly advise His Majesty that the appeal be dismissed. The respondents will have their costs.

    Appeal dismissed.

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    Mayor, Councillors And Burgesses Of The Borough Of New Plymouth v. Taranaki Electric-Power Board
    (Jul 27, 1933)