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Messrs. Brogdin and Sons to the Hon. the Minister for Public Works. Sir,— Wellington, 25th May, 1881. We have the honor to forward you Petition of Right in the case of our Invercargill and Mataura Contract, as mentioned in our letter of 21st April, 1881, and to request that you will be good enough to inform us whether we shall receive this petition signed in exchange for that signed the 2nd November, 1878, or whether we shall have to rely upon the latter in the proceedings. We have, &c, The Hon. the Minister for Public Works, John Brogden and Sons.

The Hon. the Minister for PublicJ Works to Messrs. Beo&den and Sons. Gentlemen, —■ Wellington, 3rd June, 1881. I have the honor to acknowledge the receipt of your letter of the 25th May, in which you forward a Petition of Right in the case of your Invercargill and Mataura Contract, and request to be informed " whether you shall receive this petition signed in exchange for that signed November, 1878, or whether you shall have to rely upon the latter in the proceedings." In reply, I beg to inform you that, having given your request full consideration, the Government have decided that the best course will be to allow you to amend your claim and file the old petition without any fresh consent. I think it right to add that, in adopting this course, the Crown does not waive any of its rights under " The Government Contractors Arbitration Act, 1872," or otherwise ; and also that, in the event of any petitions being presented with respect to the other claims you have preferred, the course to be taken by the Government will not be considered until the questions raised in the present case have been disposed of. I have, &c, John Hall. P.S. The Petition of Right forwarded in your letter of the 25th May is returned enclosed.

The Under-Secretaet for Public Woeks to Messrs. Beooden and Sons. Gentlemen, — Wellington, 6th June, 1881. I am directed by the Minister for Public Works to acknowledge the receipt of your letter of the 21st April, referring to your claims under the Invercargill-Mataura Railway Contract. As the Government understand that you have since that date determined to proceed with the Petition of Eight which was signed by His Excellency the Governor in 1878, it is unnecessary to reply specially to your letter. I have, &c. John Knowles, Messrs. J. Brogden and Sons, Wellington. TJnder-Secretary for Public Works.

The Undee-Seceetaey for Public Woeks to Messrs. Brogden and Sons. Gentlemen, — Wellington, 6th June, 1881. I am directed by the Hon. the Minister for Public Works to acknowledge receipt of your seven several communications, dated the 25th May last, covering accounts of claims made by you under your contracts with the Government, and to state that the delay in replying has been occasioned by the absence of the Hon. Mr. Hall from Wellington. The Minister observes that you request the Government to accept your several letters as formal notices that disputes have arisen between you (as contractors) and the Government relative to certain subject-matters of the contracts, and that you express your desire and willingness that the matters so in dispute should, immediately after the expiration of one month from the delivery of your letters, be referred in writing to the arbitrament of the respective Judges of the Supreme Court assigned to those judicial districts of the Supreme Court within which the several works relative to which the several disputes have arisen have been executed, pursuant to and in conformity with clause 30 of the General Conditions of the principal contract. The Minister gathers that the letters referred to are intended by you to operate as formal notices under a clause of the General Conditions of your contracts, and not under section 7 of "The Govern* ment Contractors Arbitration Act, 1872." lam directed to refer you to the provisions of section 3of that Act, and to inform you that the Government do not admit the validity of your notices. I am directed to state that the claims rendered by you, and the numerous items in the accounts attached to your letters referred to, must first receive careful examination and consideration by special officers of this department before the Government can be in a position to make a definite statement as to the course they will adopt upon each particular claim, and that such examination and consideration have already been commenced and will be pursued without unnecessary delay, I am, however, to state that the Government neither admits any part of the claims, nor your right to advance and prosecute them ; that this letter must be understood to be without prejudice to any defence which the Government may have to any of the claims ; and that the Government specially reserve the full right to avail themselves of any of the provisions of the Government Contractors Arbitration Act. I have, &c, John Knowles, Messrs. J. Brogden and Sons, Wellington. Under-Secretary for Public Works.

Messrs. Brogden and Sons to the Hon. the Minister for Public Woeks. Sib,— Wellington, 7th June, 1881. "We have the honor to acknowledge your letter of the 3rd June, and regret to perceive that every obstacle possible is to be put forward against the settlement of our claims. 4—l. 7.