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IS C-LICENCE FREEDOM BEING ABUSED?

23rd January 1948
Page 33
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Page 33, 23rd January 1948 — IS C-LICENCE FREEDOM BEING ABUSED?
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Which of the following most accurately describes the problem?

ADISINTERESTED onlooker—studying recent public utterances of certain persons in the transport industry, as well as published articles and letters in the trade and technical Press, some written by those who, presumably believing that discretion is

the better part of valour," write under noms-de-plume

through modesty or . ?—must often think that they reveal a strange lack of those qualities associated with what is called leadership. Nor could they indicate to him a sense of the need for uriity and co-operation in the road transport industry. Sound judgment, based on the experiences of the past, and a capacity to propound and pursue a policy for the future, taking all relevant facts into account, would appear to be conspicuously absent in certain cases.

Haulage will be Nationalized

January 1, 1948, brought the factual beginnings of what is nothing less than a revolutionary change in the transport industry of Great Britain. On that date the great railway systems of the country and the canal network came under public ownership. It is becoming increasingly accepted that the further implementation of the Transport Act, 1947, by the taking over by the Offish Transport Commission of the long-distance haulage undertakings, will materialize, wishful thinking to the contrary notwithstanding.

Faced with such fundamental changes, those whose road transport businesses are to be so taken into public ownership cannot but relegate to the past those things which belong to the past. One would reasonably anticipate, too, that those concerned with the future of those haulage businesses to be left in private ownership, but nevertheless facing a future as uncertain as any which could have been envisaged in the pre-war era, must now be exclusively engaged in seeking ways and means of insuring, as far as is possible, their future well-being. Instead, some, unfortunately, who should be more than preoccupied in other directions, seem still to live and think in terms of the past. The recent few years have brought about a most necessary degree of unity in the organization of the road transport side of the industry. Faced with the present situation is it too much to hope that none will act or speak in any way likely to wreck what has been so achieved?

It is the prevalence of ever-increasing, and so far unproved allegations of the (presumably) widespread illegal use of goods vehicles, which, to me anyway. requires this opening commentary before proceeding with the main purpose of this article, the more ro because of the often indirect allegations, as well as direct statements, that C-licence vehicles are Subject to illegal user.

A little knowledge is a dangerous thing. It may be a fact that the C vehicles of X.Z. Co., Ltd., are carrying the goods of the Z.Q. Manufacturing Co., Ltd. It does

not follow, however, that this is illegal use of the vehicles.

What is a C vehicle, and for what purposes may it legally be used? The answer is to be found in the Road and Rail Traffic Act, 1933:—

" A private carrier's licence (in this part of this

Act referred to as a C licence) shall entitle the holder

thereof to use the authorized vehicles for the carriage

of goods for or in connection with any trade or busi ness carried on by him, subject to the condition that

no vehicle which is for the time being an

authorized vehicle shall be used for the carriage of

goods for hire or reward." (Section 2, subsection 4.)

There is a proviso that " notwithstanding anything in this part of this Act, the licensing authority may, in a case of emergency and subject to such conditions as he thinks fit to impose, authorize the holder of a C licence to use an authorized vehicle for the carriage of goods for any person to whom he lets the vehicle, if the authority is satisfied that the needs of that person cannot conveniently be met from, other sources." The writer is not aware of the extent, if any, to which this procedure is invoked.

Whilst the war-time "blanket permit "—whereby ABand C icenced vehicles could be used indiscriminately without the need for specific authority, to carry goods for hire or reward and/or for and in connection with a trade or business—has now been revoked, it must be remembered that Regulation 13(a) of the Emergency Powers (Defence) Road Vehicles and Drivers Order, 1943, is still operative. This provides that:— " Notwithstanding any conditions attached to a licence, defence permit or other equivalent authorization, the holder thereof may use the vehicle for the carriage of goods for hire or reward (a) in accordance with the terms of a written authority of the Commissioner, who may at any time suspend or revoke such authority."

Legal Operation for Hire A number of C-licensed vehicles is still thereby carrying goods for hire or reward—often on the reauirement of the licensing authority and not necessarily at the desire of the C-licence holder.

The effect of Section 12 of the 1933 Act is also, apparently, forgotten or ignored. This provides that where a holding company—i.e., for this purpose, a company which is the beneficial owner of riA less than 90 per cent. of the issued share capital of 9nother companv—or companies—obtains a C licence in pursuance of this section, the vehicles of the holdino, campany and of its "90 per cent. owned" subsidiaries re licensed

under one C licence issued in the name of the holding company. Any vehicle authorized by thqt licence may be used in respect of any of the businssns concerned. Thus, to return to the supposed case of the X.Z. Co.,

Ltd., that could well be a holding company and the Z.Q. Manufacturing Co., Ltd., one of its subsidiaries within the requirements of this particular section.

Section 1 (5) of the 1933 Act defines various circumstances in which goods may be carried in a C vehicle without contravening the prohibition on the carriage of goods for hire or reward. For example: "the delivery or collection by a person of goods—

(a) sold, used or let on hire or hire-purchase, or (b) which have been, or are to be, subjected to a process or treatment in the course of a trade or business carried on by him (i.e. the C-licence holder)" does not for the purposes of the Act constitute carriage of goods for hire or reward. Vehicles used by persons engaged in agriculture are subject to special exemptions—some do not require to be authorized by a C licence, and in other cases where a C licence is required a limited degree of "hire or reward" work is permitted.

It will thus be seen that the extent of legal usage of C vehicles is clearly defined in the Act. On the other hand, unless these various provisions be clearly understood and taken into account, it is relatively easy for those not in possession of all the facts to "jump to wrong conclusions" regarding the legality or otherwise of certain classes of operation of C vehicles.

Lawful Freedom The Traders' Road Transport Association very specifically, and without ambiguity, stands for the maintenance of the right of trade and industry to operate C vehicles without restriction within the provisions of the Road and Rail Traffic Act, 1933. It will, as it has during the past two years when that right was clearly threatened, continue without hesitation and with all its resources to resist any efforts to curtail that right. On the other hand the T.R.T.A. equally specifically accepts the neecj for every C-licence holder fully and properly to observe the conditions attaching to his licence. It is no part of its purpose to attempt in any way to defend or to excuse those who may fail to honour that obligation. It was at one of the first of its meetings— in fact on May 29, 1945, that the National Council of the T.R.T.A. resolved

" That this Council is unanimously of the opinion that C-licence holders should strictly confine their transport activities to the carriage of their own goods and should in no circumstances seek powers to carry goods for hire or reward under a C licence."

The T.R.T.A. does, however, ask that those who believe they are correct in understanding that in a certain case there has been illegal user, should, before making public denunciations, make themselves fully acquainted with all the facts in that case. In other words, let the evidence be produced, and then leave the licensing authority, who will have the full support of all sections of the industry, to take appropriate action, as he is well able to do. It is, to say the least, unfortunate that certain people feel it, apparently, their duty to blacken, in public, the transport industry of which they are a part. Still less is it possible to understand such an attitude in present circumstances. Within the knowledge of the T.12,T.A., at any rate, there is no stibstantial, degree of deliberate noncompliance by C-licence holders with the conditions attaching to their licences. It may be that certain small traders, through ignorance or otherwise, fail to meet these obligations. It may even be that some Contract A vehicles are employed outside their legal usage—but that is a matter outside the control of the trader who is a party to the contract by virtue of which the Contract A licence was issued.

it is hoped that this brief résumé of the law relating to the use of C vehicles, as far as the carriage of goods therein is concerned, will serve to assist C-licence holders who may be in doubt as to their legal obligations. At the same time, maybe, it will serve to satisfy others that it is not only desirable but necessary to know the full circumstances in any particular case before assuming that there is illegal usage.

Difficult Days Ahead

The times ahead will be difficult for many concerned in the road transport industry. Trade and industry, as the main users of the transport of the country, will have to take an active interest in forthcoming developments in transport from the point of view of securing, in the changed circumstances, that the public transport services—whether publicly or privately owned— adequately meet the transport requirements of trade and industry.

The solving of the " take-over " arrangements must largely, and probably entirely, be a matter for those directly involved. On the other hand, the interests of • those haulage undertakings which are to remain in private ownership must surely, in the main, coincide with those of their customers—trade and industry.

During the period of transition from the past to the full implementation of the Transport Act. 1947, and thereafter, mutual understanding, between the different sections in the industry, of each others problems and viewpoints will be more imperative than it ever has been in the past. Only with such mutual understanding can, at long last, come that full measure of co-operation and unity in the transport industry which is so vitally necessary. Only so can emerge a true statesmanlike approach to the problems to be resolved, so that solutions may be reached which will bring the largest possible measure of satisfaction to all concerned.

As we proceed in the New Year let us all therefore • strive to leave behind such innate antaionisms, suspicions, and misunderstandings as may have arisen in the past, and resolve to face the future upon the basis of mutual confidence and co-operation.


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