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Isabel Timber Company Ltd v Eastern Development Enterprises Ltd [1999] SBHC 52; HC-CC 056 of 1999 (13 May 1999)

CIVIL CASE NO: 056 OF 1999

ISABEL TIMBER COMPANY LIMITED

-V-

EASTERN DEVELOPMENT ENTERPRISES LIMITED

class="MsoNormal" style="mle="margin-top: 1; margin-bottom: 1"> HIGH COURT OF SOLOMON ISLANDS

(PALMER J.)
CIVIL CASE NO: 056 OF 1999

HEARING: 19TH APRIL, 1999

RULING: 13TH MAY 1999

G. SURI FOR THE APPLICANT/DEFENDANT
P. TEGAVOTA FOR THE RESPONDENT/PLAINTIFF

PALMER J.: This is a application by amended summons filed 10th March 1999 for orders to strike out the the Plaintiffs claim on the grounds it lacks locus standi to bring this action. Two reasons are given why the claim should be struck out. First, the Defendant argues the Plaintiff does not have any or valid Timber Rights Agreement over Paehena Land described as LR 673 (from Varagia to Pigi) and part of LR 674 (from Pigi to West Bank of Fufuana River). Secondly, or in the alternative it argues the licence of the Plaintiff TIM 2/32 does not cover the said Paehena Land.

SUBMISSIONS OF THE APPLICANT - (1) VALID TIMBER RIGHTS AGREEMENT.

The approach taken by the Applicant is to attac validity of the timber rights agreement on a number of grounds. In brief, thes these are as follows.

(i) &nbbsp;& bsp; that the Form I Application ison issued on or about 31st December 1990 (see annexure &qT4 and DT5") did not include the Etingi Clan, which it claims was the correct lact landowner of Pahena Land.

(ii) & Pahena was wr ngly describscribed and considered as coming within the jurisdiction of the Kia/Katova Area Council when in reality it came within the Havulei/Kokota Area Council.

(iii)  p; The Form I application did not comply with section 7 of the Fore Forest Resources and Timber Utilisation Act [Cap. 40] in that it did not state correctly and truthfully the particulars to be filled in.

Forest Resources and Timber Utilisation Act and therefore its proceedings were a nullity in respect of Pahena Land.

(v) &nbbsp;& Tsp; That that there was a delay in the commenc of operations pursuaursuant to the timber rights agreement issued on 21st July 1991, which was fatal to the validity of Timbehts Aent, tht, that at logging operations be commenced wced within six months of date of issue of licence.

(vi) &nnbsp; That that the Timbeh Riggrs Agreement signed on or about 21st July 1991 was invalid by virtue of the letters of revocation issued by persons entitled to grant timber rights over the said land; namely Johhoru and Elsie Koie Koitokeitoke.

(vii) That there were irregularities in the ct of the timber rightrights hearings such that it rendered the issue of the timber rights agreement a nullity and subsequ the ce alnullispan>

(II)

The grounds relied on can be summarised as follows. Firstly, that foot note (1) restricts logging operations to areas only where there is no dispute. Mr Suri submits because there is dispute over Pahena Land it is automatically excluded from the licence.

ass="MsoNoMsoNormal" style="margin-left: 36.0pt; margin-top: 1; margin-bottom: 1"> Secondly, if the timber rights agreement is found to be invalid, the licence should also be invalidated.

Thirdly, it is argued there was evi which showed that a licence had already been issued in respect of Pahena Land.

THE PLAINTIFFS ARGUMENTS

>

lass="ass="MsoNormal" style="margin-top: 1; margin-bottom: 1"> Mr Tegavota for the Plaintiff argues the focus in this application is locus standi; whether laintiff has any standing ing to take up this case. He points out there are many issues for this court to address. These include issues pertaining to the timber rights agreement, such as whether the Plaintiff had complied with the procedures set out in the Forest Resources and Timber Utilisation Act, its validity and also whether the licence issued is valid or not. Mr Tegavota submits the matters referred to by Mr Suri are the very matters which would be addressed by the court in trial.

He also points out that them of the Plaintiff is that they have exclusive right to log the said area by virtue otue of the licence which they hold.

THE LAW.

The law on standing originates front the position that remedies are availonly to those whose rights have been affected. In oth other words, no rights no remedies. Its development has gained momentum in issues pertaining to public law where public interest and private rights have been affected. The courts have developed guidelines in that regard to ensure hopeless or meddlesome applications are weeded out. The test adopted initially was that of "persons aggrieved" that is, a person whose legal right has been affected (see Sidebotham [1880] UKLawRpCh 148; [1880] 14 Ch. D. 458 and Buxton v. Minister of Housing [1960] 3 All E.R. 408 referred to by his Lordship Muria ACJ, as he then was, in Ronald Ziru v. Attorney-General Civil Case No. 21 of 1993, judgment delivered on 1st March 1993). The courts in the United Kingdom however have liberalised this test of "sufficient interest". In Kenilorea v. Attorney-General (1983) SILR 61, the term "sufficient interest" was thoroughly canvassed by his Lordship Daly C.J. in relation to rights of a person to bring action under section 83 of the Constitution of Solomon Islands. I find his references to the case of R. v. I.R.C. Ex-parte Federation of Self Employed (1980) 2 W.L.R. 579, in particular, the comments of Lord Denning and Lord Ackner in the Court of Appeal, and Lord Diplock in the House of Lords (referred to at page 68 of the S.I. Law Reports (1983) to be very helpful. The same was adopted and applied by his Lordship Muria C.J. in Ronald Ziru v. Attorney-General (ibid).

That would have also been the appropriate test to be pplied in this case had that been relevant. Unfortunately. the application to strike rike out on the grounds of locus standi is premature and misdirected. It has not been done in conformity to the High Court (Civil Procedure) Rules, 1964, which apply to the conduct of this case and how it is to be dealt with. It must be borne in mind this is an action that had been commenced by Writ of Summons and Statement of Claim filed on 17th February 1999. The appropriate provisions therefore for striking out are to be found in Order 27 Rule 4 in particular. Rule 4 provides:

class="MsoNoMsoNormal" style="margin-left: 36.0pt; margin-top: 1; margin-bottom: 1"> "The Court m>order any pleading to be struck out, on the ground tund that it discloses no reasonable cause of action or answer and in any such case or in case of the action or defence being shown by the pleadings to be frivolous or vexatious, the Court may order the action to be stayed or dismissed or judgment to be entered as may be just."

Note also Rule 4 of Order 21 which provides that:

class="MsoNormal" style="margin-top: 1; margin-bottom: 1"> 1">

"Pleading shall contain, and contain only a statemn a summary form of the material facts on which the pthe party pleading relies for his claim of defence, as the case may be, but not the evidence by which they are to be proved, �"

p class="MsoNoMsoNormal" style="margin-top: 1; margin-bottom: 1"> Rules 2 and 3 of Order 27 in turn provide for the situation which learned Counsel for the Defendn this action must have e contemplated when filing this summons, prematurely for striking out. The rules provide:

"2. Any party shall titled to raise by his pleading any point of law andw and any points so raised shall be disposed of by the Court at or after the trial, provided that by consent of the parties or by Court on the application of either party, the same may be set down for hearing and disposed of at any time before the trial.

3. If,n the opinion of the Court the decision of such pointpoint of law substantially disposes of the whole action, or any distinct cause of action, ground of defence, set-off, counterclaim, or reply therein, the Court may thereupon dismiss the action or make such other order therein as may be just."

lass="MsoNoMsoNormal" style="margin-top: 1; margin-bottom: 1"> Note the cause of action in this claim is that, inter alia, of trespass. Rule 4 of Order 21 res that a pleading must st contain the material facts on which a party relies for his claim to remedy or relief. Matters of evidence or law are not to be included.

In paragraphs 3 and 4 of the Statement of Claim the following material facts were pleaded:

"3. The plaintiff holds a current timber rights licence over area of land situate on Isabel island in the Isabel Provinrovince known as L.R. 673("concession"- the licence ence number is r is TIM 2/32).

4. Without the consent or permission of the plaintiff the defendant moved its logging equipment and machinery into and trespassed onto the said concession and has commenced logging operations."

lass="MsoNoMsoNormal" style="margin-top: 1; margin-bottom: 1"> The above material facts on the face of it would appear to be more than sufficient to enable the Dent to file a defence to theo the claims of inter alia, trespass of the Plaintiff. On the other hand, if the Defendant considers this to be insufficient to enable it to file defence, the Rules provide for this to be done under Rule 9 of Order 21. No defence his been filed by the defendant. Instead the defendant had sought to have the claim of the Plaintiff struck out on the ground of locus standi when such application according to Rules of Court is irregular and inappropriate and therefore should be dismissed. I am satisfied accordingly the only proper order in the circumstances is to dismiss this summons with costs and to direct that the Defendant file defence within 14 days.

class="MsoNoMsoNormal" style="margin-top: 1; margin-bottom: 1"> ORDERS OF THE COURT:

nbsp;

1. DISMISS AMENDED SUMMONS FILED ON 10th FEBRUARY 1999.

2. THE PLAINTIFF TO HAVE HIS CIN THIS APPLICATION.

THE COURT


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