Legal advice received by the council from law firm Simpson and Grierson about the original deed and the recent consultation process will not be disclosed.
What is now made public by the council is the find that the stipulation for the building to be a war memorial is nowhere on the official paperwork detailing the transfer of ownership of the land the building sits on, that was added in 2004, following a departmental dealing.
In council minutes from 1952 it is clear that clause 3 in a draft agreement did not meet with council approval, but Woolpak refused to delete it. The Foxton Borough Council said it believed the clause would bind future owners. However, the final and signed agreement has not been found, so verification of any statements expressly prevented the disposal of the hall could not be made.
If the land was vested into an endowment or a trust, this may require the council to hold on to the property, but the sale can still go ahead unless the original donor objects, according to the Local Governemnt Act Section 140 (3) and 140 (4) (b), respectively.
The building was funded by a government grant, community fundraising, including money from Woolpack, and the sale of a council building: the local library.
Council said any proceeds from the sale will be used to rehouse war memorabilia to Te Awahou Nieuwe Stroom and reduce any debt related to that building.
Given decisions in earlier Long Term Plans (2018-2038 and 2021-41), the decision to sell no longer reflects the community expectations and justifies further consultation with the community, the lawyer advised. Cost of further consultation is being estimated to be between $2000-$3000.