On December 6, 1889 Thomas Stacey took over the Railway Hotel at Bunyip from Sarah Hansen, even though she still retained ownership of the property. It was a unhappy relationship as in the next five years they were involved in multiple legal cases with each other.
The Railway Hotel was started in the late 1870s by William Hobson who married Sarah (nee McKernon) in March 1879. After William died, Sarah continued to operate the Hotel on her own. She married Christian Hansen in 1885. She sold the business (but not the property) to Thomas Stacey in 1889. He operated the Hotel until his death in January 1928 at the age of 77. Sarah died in October 1913, aged 73. Sarah had four children to William Dethmore before she married William Hobson. Her daughter Christina Dethmore is involved in two of the cases. I have more details on the hotel and the family here.
Here are some newspaper reports about these legal cases between Sarah Hansen and Thomas Stacey.
From the Warragul Guardian, August 12, 1892 (see here)" Dear Sir--I must call your attention to Stacey's hotel, at Bunyip, last Tuesday week. There were two drunken men in and out the place during Tuesday. The night before last and last night we could not sleep for noise there all night. I hear there is going to be a dance there to-night. There seems to be an open house there day and night. I have got the Church of England minister staying with me, and I think it is time their conduct was seen into, as there are drunken women and men singing all night. I think it would be wise to send some one in plain clothes. By doing so you will oblige, as it is my property, and I must have it seen to."
Mr. Gray submitted that the language was too strong to be privileged. The relations between the parties had been strained for some time. The defendant lived 200 yards from the plaintiff's hotel, and the allegations in the letter were perfectly foundationless.
Robert Hillard, sergeant of police, stationed at Warragul, was then called. Mr. Gray,: Do you produce any document? Mr. Wilkie: I thought that any communication sent to witness was privileged. His Honor allowed the question with the understanding that the witness could consider it privileged if he chose. Witness (continuing): Had had notice to produce a letter. Did not feel he could very well object to produce the letter (letter put in.) On receipt of the letter he sent it to Constable Trainor, of Longwarry. Mrs. Hansen had called at his (witness') office. She said that her daughter had written the letter for her, and that she had not written it, or words to that effect.
Constable Trainor enquired into the complaints contained in the letter. To Mr. Wilkie: It was not the practice for the police to disclose the name of an informer. It would be an improper thing for a constable to show the letter to anyone. It was confidential. Constable Trainor went on the evening of the 3rd July. Anthony Joseph Trainor, stationed at Longwarry, said that on receipt of the letter from Sergeant Hillard he went to Bunyip to make enquiries.
Mr. Wilkie submitted that the witness should not state the result of his enquiries. Mr. Gray: If there was no foundation for the expressions in the letter, and they were proved to be groundless then the expressions were libellous. Mr. Gray (to witness): What was the result of your enquiries? Mr. Wilkie: I object. His Honor upheld the objection.
He (witness) said- "why did you not tell me ?" She replied that a stranger would be best, I was too well known. Defendant's husband came in and said he had not noticed any misconduct at the hotel, and asked who had been reporting it? Witness replied "Mrs. Hanson has been reporting it. He replied, "She has no right to complain or write letters, it had nothing to do with her." The defendant had made previous complaints. He (witness) said, " It is strange you are always making complaints about the hotel. I cannot find anyone else in the township that sees anything wrong. You must have some motive in saying so." Defendant replied, " Yes, I have a motive. The place is not half insured; it is my property. They promised to insure for £400 when they took it from me, and have not done so. If is only insured for £200, and they might burn it down any time."
To Mr. Wilkie: Knew the rule in the police force, and that they should not reveal an informants name. He did not reveal the name, and did not show the letter to anyone. Could not say how Mr. Gray got the letter. Never saw it after sending it back to Sergeant Hillard. Told Stacey there was a complaint about his hotel, and who had complained, and what the complaints were. He had no reason to complain about the hotel. Heard Stacey had been fined for Sunday trading. Was not annoyed about the letter himself. Never told Stacey that the words were actionable. Mrs. Hansen did not say she did not want to make a charge.
Thomas Stacey, the plaintiff, was licensee of a hotel at Bunyip. Had purchased the place from Mrs. Hansen two years ago, and been in the premises ever since. Heard about the letter. There was not one truth in the statements made by Mrs. Hansen. Had been on bad terms from two months after he took possession of the house. On one occasion had put a man out of the hotel. She said that he (witness) had insulted her and summoned him at the Drouin Court, when the case was dismissed with costs.
To Mr. Wilkie: Did not now where Mr. Gray got the letter from. He had bought the hotel. Did not pay any money down. Mrs. Hansen lent him money. Had executed a mortgage to Mrs Hansen and was a tenant of hers in the meantime. Had agreed to rebuild the premises at an outlay of £450. Did not as a rule serve people on a Sunday. Admitted that a woman was dressed in men's clothes at the hotel and singing. To Mr. Gray: From what Constable Trainor had told him he came to see Mr. Gray. There were no drunken women on the place.
David Evans, storekeeper in Bunyip, said he did not hear any noise about the date mentioned. Knew that Mrs. Hansen disapproved of the way the house was conducted, but could not remember what she had said. Harold Nixon, Church of England minister as Bunyip. Remembered living at Mrs. Hansen's at the beginning of July. Never complained to Mrs. Hansen about Stacey's hotel. Did not remember any noise. It was not true that he complained about a noise to Mrs. Hansen. To Mr. Wilkie: Had said on coming down to breakfast one morning " what was that noise in the street last night."
George Farrow, selector, lived five or six chains from the hotel. Never complained about the hotel. Did not take any notice what Mrs. Hansen had said to him. Did not expect to be brought up as a witness. No one spoke to him about this case. Had heard Mrs. Hansen say that Stacey would be out of the place in three months, and that she could not see what kept him there, but she did not say that she would hunt him out. He had said that Mrs. Hansen was worth leaving alone. He did not want to be mixed up in a neighbor's quarrel. Never spoke to Mrs. Hansen about this case.
This concluded the base for the plaintiff. Mr. Wilkie submitted that there was no case. No proof had been adduced that Mrs. Hansen had written the letter containing the alleged libel. He contended that the letter did not contain any allegation of a breach of the Licensing Act, it was a general complaint, and it was hard to see how plaintiffs business or credit could be affected. His own evidence had shown that names of informants should not be disclosed to the public; and it was well known that defendant had an interest in the property and had a right to complain. There was no evidence of malice, or of a vindictive motive, and on the other hand plaintiff had been allowed absurdly easy terms to pay for the property. And a complaint made to an officer of police of alleged misconduct should be treated as privileged. Sergeant Hillard had said that the letter should not have been shown to any one.
At this stage the court adjourned for lunch, on resuming - His Honor: said that there was not a case for a jury, but he held that some of the evidence went to show that defendant desired to get complainant out of the hotel. He would therefore hear the defence.
Mr. Wilkie was at some loss what to answer. According to his view there was actually no evidence of a libel.His Honor thought there was, and he therefore asked for the defence. Mr. Wilkie contended that it His Honor held that malice had been proved, his evidence could not alter that belief.
Christina Detmore, daughter of the defendant, said she wrote the letter. The letter was written on July 1st. The night before she heard noises at the hotel, principally singing. Knew that it came from Stacey's hotel. The Rev. Mr.Nixon said on that morning that he had heard noises in the night. Her mother told her to send a note to Mr. Hilliard about the noise the night before: Wrote the letter about 9.30 on Saturday morning. Her mother did not tell her what to write, nor did she see what was, written or was aware of the contents, as the letter was written hurriedly. Previous to this time she had seen drunken men about the place, and had heard singing at night.
To Mr. Gray:- Wrote a good many of her mother's letters but not all. Was quite positive that she did not tell her mother what was in the letter until afterwards. Hardly remembered the contents of the letter until she saw it in the summons. There were no houses between their's and Stacey's. Never told anyone that they had a few pounds as well as Stacey and would fight him. She wrote the letter without her mother knowing anything about it. To Mr. Wilkie: She told her mother about a portion of the letter.
Sarah Hansen, the defendant, said she remembered the 1st July. Heard a noise that night after 12. It came from Stacey's. Her daughter's evidence was correct. She told her daughter to write to Sergeant Hillard, as she could not rest at night. She did not know what had been written until she got the summons. Had sold the place to Stacey, but could get no satisfaction. She was always insulted. When asked to insure the place he treated her in a most vulgar manner. Had told Constable Trainor that the place was not insured and therefore was in danger. To Mr. Gray: This was not the first libel action she had been concerned in. Her daughter only told her a portion of the letter. Was sent to trial for perjury on one occasion. To Mr Wilkie: The charge of perjury was dismissed.
In closing the case for the defence Mr.Wilkie remarked that he must repeat what he had previously stated - that there was no case - and held that the mother could not be held responsible for what her daughter had written. His Honor had admitted that the communication was a privileged one, therefore the plaintiff must prove a strong case in order to secure a verdict. It had not been shown how the letter had been made public. Sergeant Hillard had stated that it should have been confidential, and Constable Trainor denied showing it to anyone. Mr. Gray contended that if Mrs. Hansen said she did not know what was written in the letter she told a lie, as she must have been aware of the contents. The letter was full of innuendos of a libelous nature. The statements had been made broadcast, and there was no attempt to deny them.
His Honor held that the letter was defamatory, but that it was privileged being addressed to the police. The complainant was a debtor and did not keep his covenants; but the defendant had not gone the right way about. He gave a verdict for £3, costs to be taxed.
Mrs. Hansen subsequently determined to proceed against Stacey for perjury and on the 20th of April last swore an information in which she alleged that Stacey committed wilful and corrupt perjury by stating that "he never received from the said Sarah Hansen any cases, lemonade, or ginger ale, except 5 or 6 dozen mixed cordials, lemonade and squash." Mr. Gray, at very short notice, appeared for Mrs. Hansen, and Mr. S. Lyons (Melbourne) defended.
He then paid me the whole of his account, including the £3 2s. About 12 months after I told Stacey he had deceived me as he had not returned the empty bottles and cases to Gooddy and Co. I told him I had received a notice from the firm in the matter and he told me I could go and do the best I could. I was compelled to pay for the empties myself, prior to which I had received a County Court summons from Gooddy and Co., and on telling Stacey this he said, "Hook it and do the best you can" I then paid the amount claimed by Gooddy, and costs. Subsequent to this I made a demand for the amount from Stacey, and he refused to pay.
Cross-examined by Mr. Gray: When settling up with Mrs. Hansen the items were read over to me by Mrs. Shields. After I took possession of the hotel I received some stuff from Gooddy, but could not say the quantity. It was a good lot, and I thought I had paid for it in the bill I settled with Mrs. Hansen. I don't remember Mrs. Hansen coming to me in reference to the demand for the return of the empties. I returned the empties to Gooddy. I never told Mrs. Hansen that I would produce a receipt for the empties. I did not send the empties back myself. I told my man to do so, but I don't remember whether he did so.
From The Argus, December 11 1894, see here
In February, 1894, he gave notice to the defendant of his desire to continue the security for the further term of five years, but the defendant refused to do so, on the ground that there had been breaches of covenants to insure and repair, and she notified that unless the principal and interest were paid within a month she would at once proceed to exercise her power of sale. The plaintiff asked for an injunction to restrain the sale, and a declaration that he had not disentitled himself to the extension of the mortgage. The defence was that by a memorandum of agreement contemporaneous with the mortgage the plaintiff agreed to rebuild a certain hotel which had been burnt down, and to insure the new building for £450, and also the buildings on the other land for their full insurable value. The plaintiff, it was alleged, failed to effect the insurance for £450, or to keep the buildings in proper repair, and was disentitled from obtaining a renewal of the mortgage.
Mr Justice A'Beckett held that there had been no breach of the covenant to repair, but that there had been a breach of the covenant to insure to the full insurable value. The agreement to insure the hotel for £450, however could not be construed as a covenant under the mortgage, and the plaintiff was never properly called upon to perform the covenant to insure contained in the mortgage. Then the defendant had failed in the notice which she gave of her intention to exercise the power of sale, to state which covenant was said to have been broken, and the question arose whether this was rendered the notice bad. His Honour considered that it did.