The Gazette 1987

GAZETTE

SEPTEMBER 1987

Licensed Haulier and the Road Transport Act, 1986

In 1 971 the Road Transport Act a l l owed the holder of a merchandise licence to increase the number of vehicles operated by him. The European Communities Act 1972 was an enabling Act, to allow Ac ts adop t ed by the institutions of the Communities to become binding on the State and to become part of the domestic law from the 1st January, 1973. This Act allowed many Community Transport Regulations to be applied in Ireland including the requirements of good repute, sound financial standing and professional compe t ence for those involved in carriage for reward. The main change brought about by the 1986 Act will be in force from 30th September, 1988. From that date only one licence will be obtainable, a Road Freight Carrier's Licence. There will be no exempted areas and no question of a licence being transferred. There are interim measures relating to existing merchandise licences, national road freight carrier's licences and international road freight carriers' licences. These are designed to

In order to understand the changes introduced by the Road Transport Act, 1986, it is necessary to examine the historical factors giving rise to them. Legal regulation of road haulage began in the 1930s. Competition between rail and road transport was intense, and the railways were tending to lose out. Unrestricted competition meant that the vast investment in the railway system was endangered. For that reason, and also in the interest of road safety and industry in general, it was essential that only responsible firms should be allowed to operate in the haulage business. Prior to 1932 there was practically no statutory regulation of goods traffic by road at all. The Road Transport Act, 1933 was passed " t o make further and better provision for the regulation and con t r ol of the carriage of passengers, merchandise, and mails by road". The Act regulated the conditions under which a person could enter the road haulage business. Anyone, or the successor in title of anyone, who carried on an existing merchandise road transport business could apply before the 1st April 1934 for a certificate which, if issued, entitled him to apply for a merchandise licence. The Carrier, in his application, had to state the number of vehicles which he was using in his merchandise road transport business. Having satisfied the provisions required by the Act the applicant was issued wi th a merchandise licence. Apart from some few exceptions the mer- chandise licences authorised by the Act of 1933 are the forerunners of those in operation today. Apart from the requirement of a merchandise licence each vehicle belonging to a licensee had to carry a vehicle plate. These were (and

still are) issued at designated Garda stations. The 1933 Act prohibited anyone from entering into an agreement for the carriage of goods for reward with a person other than a licensee under a merchandise licence if the goods were to be carried outside an exempted area. A person employing such a carrier was liable to a fine not exceeding £10 (£1,000 under the 1986 Act). The exempted areas referred to above were areas within a radius of 1 5 miles of Dublin and Cork and 10 miles of other nominated cities and towns.

by J OHN P. ROWAN Solicitor

As a result of the foregoing it can be said that unless a person was: (a) carrying his own goods, or (b) operating in an exempted area or (c) the holder of a merchandise licence he could not lawfully carry goods for reward. The Act made provision for the transfer of both licences and plates, but a plate could not be issued except to a licensee. An individual or company could acquire extra merchandise licences and plates. At the time of writing one company has in excess of 70 licensed vehicles. However, there were no new merchandise licences issued. Any acquired had to be, for example, inherited or purchased. The 1935 Road Transport Act clarified the pos i t i on of an individual or company employing his/its own transport to carry is/its own goods making it clear that a licence was not required.

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