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Breach of Dundee Agreement Alleged

20th November 1936
Page 56
Page 56, 20th November 1936 — Breach of Dundee Agreement Alleged
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Which of the following most accurately describes the problem?

THE statement that Dundee Corporation buses were actually carrying Monifieth passengers to Dundee, despite an agreement to the contrary, was made at a sitting of the Northern Scotland Traffic Commissioners, at Dundee. W. Alexander and Sons, Ltd„ applied for power to reduce fares from 6d. single to 4d. Before the hear. ing was completed it was decided to adjourn, so that the representatives of the company and the corporation might be afforded an opportunity to discuss the position.

Mr. R. W. Currie, for the Alexander concern, said that prior to 1932 the corporation ran a service from Dundee to Monifieth. At that time there were also competing services, run by the Scottish Motor Traction Co,, Ltd., and by the Alexander company. It was well known in Dundee that the municipal service was run at a loss. An agreement was entered into between the corporation and the two other operators, whereby the corporation gave up its Monifieth service and undertook not to apply for that licence. The bus companies paid 45,000 for this concession.

The agreement provided that the.corporation would not enter into competition with the companies so long as it or its associates were supplying a service. At the time of the agreement, the corporation system, other than the Dundee-Monifieth service did not go farther than Barnhill Bridge, about

mile from the boundary of the burgh. Subsequently, the corporation extended to the boundary line, with the result that, since the licence was granted as far as the boundary, the local authority was actually carrying passengers from Monifieth to Dundee.

The corporation service was running at a fare of aid. single, whereas Alexander's service was charging 6d. single and 10d. return.

Mr. David Latto, town clerk of Dundee, said that he did not see any reason why Mr. Currie should not have approached him before he submitted his application. Mr. Currie replied that lie would have done so first, it the ,corporation had not broken its agreement.

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