High Court of Australia
38 C.L.R.) OF AUSTRALIA. 399
Gavan Durry, Rich anp Srarke JJ. We agree that the H.C. or A. demurrer of the defendant to the statement of claim should be ra
overruled, and that the demurrer of the plaintiff to par. 7 of the Fapsnst
defence should be allowed. SIONER OF TAXATION Demurrer of defendant to statement of claim . mcriax
overruled. Demurrer of plaintiff to par. 7 | Boor
Facrory
of the defence allowed. Defendant to pay — Lv. costs. Leave to defendant to amend its ~~ pleadings as advised.
Solicitor for the plaintiff, Gordon H. Castle, Crown Solicitor for the Commonwealth. Solicitors for the defendant, Minter, Simpson & Co.
fale ria
J —
[HIGH COURT OF AUSTRALIA.}
B. L.
THE STATE OF VICTORIA AND OTHERS . Ptarntirrs;
AGAINST
THE COMMONWEALTH. pak " . Derenpant.
Constitutional Law—Powers of Commonwealth Parliament—Granting financial assistance to any State—The Constitution (63 & 64 Vict. ¢. 12), secs. 51, 96,99— 0. or A. Federal Aid Roads Act 1926 (No. 46 of 1926), secs, 2, 3, Schedule—Surplus 1996, Revenue Act 1910 (No 8 of 1910). seg
Practice—Parties—Action by State against Commonwealth—Declaration of invalidity SYDNEY, of Commonwealth statute—Joinder of other States as defendants—Rules of the Nov. 29, 30. High Court 1911, Part I., Order IT., r. 9. Knox OJ
Held, by the whole Court, that the Federal Aid Roads Act 1926 is a valid "420s, Reins, exercise of the power conferred upon the Parliament of the Commonwealth ,PoWem:, uch by sec. 96 of the Constitution to grant financial assistance to any State on such terms and conditions as the Parliament thinks fit.
In an action brought in the High Court by two States and their respective Attorney-Generals the plaintiffs asked for declarations that the Federal Aid Roads Act 1926 was ultra vires the Parliament of the Commonwealth and void, that any agreement made by the Commonwealth with any State in the form or to the effect set out in the Schedule to that Act was ultra vires the Common- wealth and void, and that all moneys which purported to be appropriated
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