Darwin Taxis Pty. Want Keetley's Cabs
"The defendants appear to have been given a very raw deal. They have not been given on opportunity to pay their liability of £2,000." This comment was made by Judge Wells in Darwin Supreme Court at the week-end in the case in which Max Paul Keetley and Darwin Taxis Pty. Ltd. are suing Clive Winston Keetley and Jean Keetley, the present operators of Keetley's Taxi Service.
Judgment was reserved.
The plaintiffs are claiming the delivery of four motor cars and the certificates of registration thereof and damages for their detention.
The four cars comprise the present fleet of two new 1946 model Fords, one Mercury and one Chevrolet operated by Keetleys Taxis.
Mr. A. Brough Newell appeared for both plaintiffs and Mr. W. H. Coop for the defendants.
The case is concerned with a written agreement signed by the plaintiff Keetley and the defendants Keetley in the presence of a witness, and with the subsequent sale of the cars by Max Paul Keetley to Darwin Taxis Pty. Ltd., through Mr. Donald Speed.
Max Paul Keetley, of 630 Toorak Road, Toorak, Victoria, said that prior to November last he was in partnership with his cousin, Clive Winston Keetley, who was generally known as his brother. He bought a Mercury sedan which he paid for with his own money, and two new 1946 Fords from Washington Motors, Mildura, which he also paid for and put into the business. Later he bought a Chevrolet sedan for £250 of his cash, plus a wrecked utility which was his brother's property.
He put about £4,000 into the business, and the defendant Clive Keetley had put in a wrecked utility and about £100.
Plaintiff said that when he decided to leave Darwin he had a conversation with the defendants, and suggested that he should take 20 per cent, of the profits of the business and that the defendants should take 70 per cent., from which they would pay him for his cars. An agreement along these lines was drawn up signed, and witnessed.
Plaintiff said that his brother had since paid £137/10/ off £2,000 owing under the agreement for the cars, and approximately £139/18/ had been paid into his account to represent 30 per cent. of the profits.
He had, however, since sold the four cars to Darwin Taxis Pty. Ltd.
To Mr. Coop (for defendants): I paid £700 for the Mercury to Richard Lobb and more than £700 each for the new cars. I paid £2,376 for four vehicles.
Then how do you estimate you paid in £4,000? - The cost of bringing the cars overland, fares to and from Melbourne, expenses while in Melbourne, and equipment I bought for the business would bring it up to that amount.
Prior to 4th November, 1946, did you pack your goods one night and propose leaving without saying good-bye before your brother returned from the pictures, taking one of thc cars with you?-Yes, I did.
Do you remember saying, "As soon as the cars are paid for they are yours?" - No.
Do you remember your brother referring to the possibility of him losing all his money if the business went broke when the cars were nearly paid for? - Yes, and I said that I would hardly be likely to seize them if he had paid, say, £1,900.
Did you say he could have three years to pay for them? - Yes.
Did you say it would be in his interest to pay the whole of the amount off before then if he could? - No.
What was the contract price of the sale to Darwin Taxis Pty. Ltd.? - £2,000.
At first you wrote to your brother that you had sold the whole business of Keetley's Taxis to Darwin Taxis Pty. Ltd.? - Yes.
And when you found you couldn't do that you just sold the cars? - The cars are the business.
Didn't you tell your brother that as soon as he had paid the £2,000 the cars would be his? - No. I said that half thc cars would be his.
Well, then, did you retain a half interest when you sold out to Darwin Taxis Pty. Ltd. at £2,000? - No.
Francis John Reynolds, manager and a director of Darwin Taxis Pty. Ltd., said the company's fleet consisted of 10 vehicles.
To Mr. Coop: Negotiations for the purchase on behalf of Darwin Taxis Pty. Ltd. were conducted by Mr. Speed with my consent. He kept me advised. As far as I know Clive Keetley was not consulted at all about the purchase of the cars.
Clive Winston Keetley said that prior to November 4th, 1946, his brother was anxious to leave Darwin, so he asked him at what figure he valued the cars. He said £2,000.
An agreement was drawn up under which defendant was to pay £2,000 in three years, and that as soon as this amount had been paid the cars would be his. He actually said that the sooner defendant paid the amount the sooner the cars would become his property.
He was not aware of any suggested sale of the cars to Darwin Taxis Pty. Ltd. until he visited Mr. Newell's office on another matter and was told by Mr. Newell that he wanted a signature.
Subsequently he received a written notice from Mr. Newell informing him of his brother's intention to dissolve the partnership. His brother, had never written to tell him he wanted to dissolve the partnership or sell the cars.
Mr. Coop: Have you meticulously complied with the terms of the agreement?
Defendant: I have.
He added that at no time had there been any suggestion that his brother would take some of the cars when he had paid the £2,000.
Jean Keetley said that papers had been served on her by the witness Reynolds. She had seen a telegram from plaintiff Keetley informing them that he had sold the cars. This arrived two days after receipt of a formal notice from Mr. Newell's office.
Mr. Newell submitted that the signed agreement amounted to a partnership, which could be dissolved at will.
Mr. Coop submitted that it was a contract of sale between the two parties, and that it had three years to run. The defendant Keetley had complied with all conditions of the contract, and the plaintiff Keetley had no power to sell.
Judge Wells: The defendants appear to have been given a very raw deal. They have paid £137/10/ off the purchase price of the cars, for which they would get nothing if this claim succeeds. They have not been given an opportunity to pay the £2,000.
Judgment was reserved.
Source: Trove Northern Standard (Darwin, NT : 1921 - 1955) Friday 7 March 1947, Page 6