LOUTH NAVIGATION
Facts and Observations, in opposition to the principle of
the proposed Bill in
Parliament for confirming an illegal Agreement, pending a
Suit in Chancery for setting it aside.
1763
-
An
Act passed for making a Navigable Canal, for public benefit,
from the River Humber, to the Town of Louth, in Lincolnshire
whereby the Commissioners had the power of borrowing Money for
completing the undertaking, and of levying Tolls upon the Public
for repaying the same, with a restraining clause that the
Commissioners should not lease the Tolls for any term exceeding
Seven Years.
1770 -
The
Canal was completed at the expense of £28,000. secured to the
Mortgages in £100. Shares upon the Tolls, with interest.
20 Jan A Lease of the Tolls for Seven Years was granted to
Charles Chaplin, Esq., at the Rent of £4. per centum upon the
£28,000; and a further Lease was to be granted to him for Seven
Years more at £6 per centum; and he bound himself to expend in
Repairs £500, annually, if necessary, during the Lease; if more
was necessary, the Commissioners to pay the excess: and he
further bound himself in the penalty of £500. to accept such
second Lease.
1777 - Instead of the Second Lease for Seven Years (according
to the Act) at £6. per centum, ten acting Commissioners (all now
dead) out of two hundred and fifty appointed by the Act, with
the consent of some of the Mortgagees, granted Mr Chaplin (then
an acting Commissioner) a Lease of all the Tolls, to the extent,
for Ninety-nine Years, on his paying £5. per centum to the
Mortgagees, putting and keeping the Works in repair &c., but
reserving no Rent to the Commissioners, who also remitted him
the above penalty.
It is alleged that the Canal was then out of repair; if so, it
was in breach of Mr. Chaplin's engagement: and it is further
alleged that no one else would, at that time, take a Lease for
Seven Years, and put it in repair. If the latter is true, the
Commissioners had the alternative, and it then became their
duty, to collect the Tolls by their proper Officers, and put the
works into repair thereout, or compel Mr Chaplin to do so to the
extent of his liability. But neither of the above reasons, it is
submitted, was sufficient to justify such a gross dereliction of
duty in, and violation of the Act by, the Commissioners.
Mr Chaplin received the full Tolls until his death in 1795. He
was a Mortgagee for 58 Shares, which his Executors sold.
Thomas Chaplin, Esq., succeeded his Father, and received all the
Tolls until his death in 1804.
George and Francis Chaplin Esqrs., the present Petitioners, as
Legatees of Thomas Chaplin, have received the full Tolls from
1804 to May 1825, which from1804 to May 1825, which for several
years past have greatly increased, and now amount to upwards of
£5000. per annum, with a further prospect of increase; while the
Expenditure, it is computed, will not amount, on an average, to
half that sum. They have now in their hands a very considerable
balance, and, if their present application to Parliament
succeed, will, on a moderate calculation, during the remainder
of the term of Ninety-nine Years, realize to themselves at least
£150,000. more, and still leave the whole Mortgage Debt unpaid.
The hardship and illegality of the above Agreement, as well as
the excessive Tolls levied and proposed to be levied upon the
Public for the private and enormous advantage of Two
Individuals, who are already Debtors to a large amount, have
occasioned a Suit in Chancery to be instituted by Mr. Stephen
Gray and Mr. John Naull two of the acting Commissioners, and
Shareholders to the extent of $1900., on behalf of themselves
and the Public, against Messrs. G. and F. Chaplin, and the other
acting Commissioners, for setting aside the above Agreement of
1777 - for an Account of the Tolls received and Monies expended
- and, in short, to compel the Due execution of the Navigation
Act; and hence has arisen the present application to Parliament
to confirm the
Agreement, and thereby shelter the Messrs. Chaplin, and the
Lessees, from the just consequences of the Suit.
The Bill was filed in 1824, and in 1825, on three different
occasions collateral to the Suit, and after hearing Counsel at
great length on both sides, His Honour the Vice-Chancellor
expressed most decided opinions against the validity, both at
Law and in Equity, of the Agreement of 1777, and has been
pleased to appoint a Receiver of the Tolls, with an Order to pay
the same into Court, to abide the event of the cause which is
now about to be set down for Hearing.
Messrs. G. and F. Chaplin, and the Commissioners who have joined
them in the Petition, have, by their Answers in the cause,
submitted the Agreement of 1777, and the circumstances attending
it, to the decision of the Court of Chancery; yet, before that
decision is made, they have in this Session presented a Petition
to Parliament to confirm the Agreement - illegal and oppressive
to the Public, and highly unjust and prejudicial as it is to
private interests. It is therefore for the above, and such other
grounds as may satisfactorily appear, that the attention of the
LEGISLATURE is earnestly solicited in OPPOSITION to the proposed
measure.
If the Act is duly executed, and the Tolls properly applied, the
Mortgage Debt may be discharged in Ten Years, and the Tolls be
taken off, except as to a small sum for repairs; neither of
which desirable objects can be attained for Fifty Years to come,
if Parliament should confirm the Agreement.
If all the Mortgagees had joined the Commissioners in the
Agreement, it was the opinion of His Honour the Vice-Chancellor
that they could not bind the Public, who had, and now have, an
interest in the reduction of the Tolls, which is incompatible
with the Agreement in question.
The Tolls paid to Messrs. Chaplin are 8s. per Ton for Groceries,
4s. per Caldron for Coals, 3s. per Ton for Stone, 4s. per Ton
for other Goods and Merchandise, 7d. per Quarter for Oats, 8d.
per Quarter for Barley, and 9½d. per Quarter for other Grain.
L. and C. PARKER, Solicitors, Louth )
JOHN DORINGTON, House of Com., Par. Agent, )
In opposition to the Bill