E.—No. 2,

34

FURTHER PAPERS RELATIVE TO THE

16. For the service hereinbefore described, the Contractors shall be paid by the Government of New Zealand at the rate of twenty-seven thousand five hundred pound's per annum, payable as follows, namely : —The sum of one thousand and fifty-seven pounds thirteen shillings and ten pence, being one-twenty-sixth part of the said sum, upon the delivery at Port Chalmers of the first mail from San Francisco; and the sum of two thousand one hundred and fifteen pound seven shillings and eight pence, being one-thirteenth part of the first-mentioned sum, upon the delivery at Port Chalmers of every subsequent mail from San Francisco, and the sum of one thousand and fifty-seven pounds thirteen shillings and ten pence, being one-twenty-sixth part of tho said first-mentioned sum, upon the delivery at San Francisco of the last mail from Port Chalmers carried under this contract. 17. All sums payable to the Contractors under the two last preceding articles shall be paid respectively immediately on the delivery, at Melbourne and Wellington respectively, of each mail to an agent to be appointed by the Contractors at each of these places to receive the same respectively. 18. The Contractors shall be at liberty to carry mails between New Caledonia and the Pacific Islands, and between those places and New Zealand and Victoria, but the Contractors shall not, nor shall any person or persons with their consent or concurrence, carry any mails or run any steam-vessels to or from any part of Australia or New Zealand except under this contract and with the consent of the said Postmasters-General ; and the Contractors undertake to make all reasonable effort to give to Victoria and New Zealand the equal benefit of any mails to and from New Caledonia or the Pacific Islands. 19. The Governments of Victoria and New Zealand, but not the Contractors, shall have power to arrange with the Governments of New South Wales, Queensland, South Australia, and Tasmania, for the conveyance, in connection with the service hereby contracted for, of Her Majesty's Mails to and from New South Wales, Queensland, South Australia, and Tasmania, or any or either of such colonies or dependencies, to San Francisco, upon such terms or subsidies as by the said Postmasters-General may bo agreed inon: All sums so received to be first charged with payments made for the conveyance of such mails to and from the place necessary to join this service, and after making such payments the annual surplus from the total sums so received shall belong and be paid as follows, namely : —One-third part thereof to the Contractors, and the residue, to the extent of two thousand five hundred pounds per annum, to the Government of Victoria, and if such residue shall exceed the sum of two thousand five hundred pounds per annum, then the excess over the sum of two thousand five hundred pounds shall be equally divided between the Governments of Victoria and New Zealand: Provided that nothing in this clause contained shall authorize the Postmasters-General to enter into arrangements to compel the Contractors without their consent to perform any service not provided for by this agreement. 20. The days and hours of departure for the vessels employed under this contract shall be those specified in a table to be settled by the said Postmasters-General: Provided that the Postmaster-General of Victoria may from time to time alter such days and hours, with the consent of the Postmaster-General of New Zealand, on giving reasonable notice to the Contractors of the required alteration, provided that no such alteration shall require the employment of any additional steam-vessel; and the altered days shall be observed and kept as if the same had been provided for in this contract, and the Contractors shall pay the sum of two pounds per hour for every hour's delay in the departure of any vessel after the specified time. In case of any such alteration being made, the Contractors shall not be bound to ascertain or inquire whether any such consent has been given; but any alterations so made as aforesaid by the Postmaster-General of Victoria shall be binding and conclusive upon the Contractors. 21. The Postmaster-General of New Zealand may from time to time appoint and alter the days and hours of the departure of the vessels employed in this service from any of the New Zealand ports other than Auckland ; but such appointments or such alterations shall not affect or be inconsistent with the times fixed under the previous article for the arrival at or departure from Auckland. 22. The Postmaster-General of Victoria shall pay to the Contractors the sum of two pounds per hour for every hour that any mail shall be ready for delivery in Melbourne or San Francisco in less than the contract time, and the Contractors shall pay to the Postmaster-General of Victoria the sum of two pounds per hour for every hour that shall be required for delivery of any mail in Melbourne or San Francisco in excess of the contract time ; but if good cause for any such excess be shown to the Postmaster-General, the payment in respect thereof may be remitted at his discretion. 23. The Postmaster-General of New Zealand shall pay to the Contractors the sum of two pounds per hour for every hour that any mail shall arrive at Auckland or San Francisco in less than the contract time, and the Contractors shall pay to the Postmaster-General of New Zealand the sum of two pounds per hour for every hour that any mail shall arrive at Auckland or San Francisco in excess of the contract time; but if good cause for any such excess be shown to the said PostmasterGeneral, the payment in respect thereof may be remitted at his discretion. 24. All sums payable to the said Governments for delay in the delivery of mails or for other breaches of this contract, may be deducted by them respectively from any sum due by such Governments respectively to the Contractors under this contract. 25. No mails whatever, except as herein provided, shall be received on board or carried in any of the vessels employed under this contract without the written joint consent of the said PostmastersGeneral ; and for every breach of this stipulation, with the consent and connivance of the Contractors, they shall forfeit the sum of five hundred pounds as liquidated damages, to be deducted from any sums then due or to become due to them under this contract. 26. The Contractors shall abide by and conform to any regulations that maybe made jointly by the United States Post Office authorities and the said Postmasters-General for the prevention of colonies not contributing to the subsidies payable from participating indirectly in the advantages of the mail service performed under this contract. 27. The term "Her Majesty's Mails," or "all mails," or "any mail," and the word "mails," throughout this contract shall be taken to mean all letters, newspapers, books, printed papers, and other things usually transmitted by post, and the boxes, bags, and packages in which the same are