High Court of Australia
ORS .
ERS 0)
PATE
v
M.
uN
FOR JUDGMENT.
SO)
McANULTY ve PATERSON & ORS.
REASONS FOR JUDGMENT . LATHAM C.J
By the judgment of the Supreme Court of Queensland (Mansfield J.), against which this appeal is brought, it was declared that the plaintiffs, who are the respondents to the appeal, were entitled to receive one half of the net profits from the manufacture and sale of canned meat products packed by the defendant between 9th August 1939 and 9th August 1944, It was ordered that an account be taken of such profits, and a separate account was ordered to be taken of the profits derived from the business carried on by the defendant between the dates mentioned at Finnie.
The plaintiffs and F.T. Grove (of whom the plaintiff Mrs. Grove is the legal personal representative) had been associated as shareholders in companies which had conducted an unsuccessful meat preserving enterprise on leased land at Finnie, near Toowoomba. The defendant carried on in South Brisbane a cheese manufacturing business under the registered name of Maxam Cheese Products pty./ PBS had! faa no experience in the business of meat preserving. By an undated indenture which was executed on or about 9th August 1939 the plaintiffs (called "the Syndicate") agreed to.permit the defendant 0.K. McAnulty (called "the manufacturer") to occupy the works at Finnie, he paying a rent of £300 per annum. The indenture refers to the four first named plaintitrs/*P°r. Grove, together with A.C.V. Bligh and J.J. Bloomer, as the lessees of the premises. But Bligh and Bloomer did not execute the deed, and the leases which the other plaintiffs held during the currency of the agreement were in fact made on 29th September 1939 and 25th November 1939 for periods of five years from 9th August 1939 with rights of renewal
for five years.
By /
2.
By the indenture the defendant agreed that he would faithfully work, carry on and conduct a meat preserving and canning business "or any other allied industry" in on or about the premises and that he would employ therein the plant, machinery, Slaughterhouses etc. as he might consider necessary with any additional plant or machinery as he might deem advisable,
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