1907 DEPARTMENT OF LANDS, FORESTS AND MINES. 251 



of the bonus at the time they acquired the limits they were entitled to cut 

 the pine timber thereon and dispose of it as they saw fit, and that this action 

 by lessening the value of the timber to them was to that extent confiscation. 



The authors of the legislation held that when the holders acquired 

 these limits they obtained a license to cut for one year only; that they under- 

 stood when acquiring them that if they obtained a renewal of their license 

 the following year it must be subject to such regulations as the Government 

 saw fit in the interest of the Province to impose; that the new regulations 

 applied to Canadian holders of limits as well, and was desirable in the 

 interests of the Province. 



The American limit holders also claimed that this regulation was ultra 

 vires of the Provincial Legislature, being an interference with the "Trade 

 angi Commerce" which lay within the jurisdiction of the Dominion Gov- 

 ernment. The legislation was, however, allowed by the Dominion Parlia- 

 ment, and in 1899, by consent of the Attorney General of the Province, the 

 case of the validity of the regulation was brought before the courts. Jus- 

 tice Steele, before whom the case was heard, gave judgment in favor of the 

 Province, and at this writing no appeal has been taken from this decision. 



TIMBER SALES. 



In 1871 the area of timber land under license in Ontario was consider- 

 ably increased, and the revenue largely augmented by the sale of extensive 



Extensive Sales. 



timber limits in the districts of Muskoka and Parry Sound. These areas 

 had been thrown open for settlement by the "Free Grants and Homestead 

 Act of 1868," but by a report dated September 26th, 1871, the Commissioner 

 of Crown Lands recommended that the lands remaining unsold and unlo- 

 cated should be offered for sale as timber limits in berths not to exceed 

 twenty square miles in area, under the following conditions. Each limit 

 at its estimated area to be adjudged to the party bidding the highest amount 

 of bonus. The bonus and first season's ground rent at the rate of |2 per 

 square mile to be paid immediately after the limit is adjudged. License 

 to issue to the successful competitor within one month from the day of sale. 

 All red and white pine timber or saw logs cut upon the said limits to be 

 subject to the following special rate of timber dues. White and red pine 

 timber, per cubic foot, 2Jc. ; white and red pine saw logs, per standard of 

 200 feet board measure, 30c. So much of the Crown Timber Regulations 

 a? conflicted with this order to be' suspended for the purposes of this sale, 

 but in all other respects to apply to the licenses to be issued. The Commis- 

 sioner also recommended that the Department recognize the right of all 

 purchasers or locatees of Free Grant Lands to sell or dispose of pine trees 

 on their lots subject to the payment of the above duties. 



Diameter Limit for Cutting. •• 



These recommendations were approved of on the 4th of October, 1871. 

 By a subsequent Order-in-Council on 22nd of November an important addi- 

 tional condition was imposed in connection with these sales, the pur- 

 chasers being prohibited from cutting any trees of less size than thirteen 

 inches in diameter at the butt, all pine timljer under that size being reserved. 

 At the same time the duty of 30 cents per standard saw log on lands located 

 tc settlers, being considered too high was reduced to 15 cents. 



