18 DECEMBER NEW ZEALAND GAZETTE 4281

assessment of the Land Value contained in the Grantor’s Notice, then the Grantee shall notify the Grantor in writing (the "Grantee’s Notice") within twenty eight (28) days from the date of service upon them of the Grantor’s Notice that it requires the Land Value to be determined in accordance with clause 1.6 and the Grantee shall set out in the Grantee’s Notice the amount which it considers to be the Land Value;

(c) Unless the Grantee’s Notice is given within the 28 day period specified in clause 1.5 (b), then 7% of the amount stated in the Grantor’s Notice as the Land Value shall become the forestry licence fee hereby reserved as from the Review Date.

1.6 Where the Grantee gives notice disputing the Grantor’s assessment of the Land Value

the parties shall endeavour to resolve the dispute. Should agreement not be reached within fourteen (14) days (or such longer period as the parties shall agree upon) after the date on which the Grantee gives the Grantee’s Notice then:

(a) The parties shall, within twenty eight (28) days after the date on which the Grantee gives the Grantee’s Notice ("the 28 day period"), each appoint a valuer (being a member of the New Zealand Institute of Valuers or its successor) to jointly determine the Land Value;

(b) If either the Grantor or the Grantee fails to appoint a valuer within the 28 day period then determination of the Land Value shall be made by the sole valuer as nominated by either the Grantor or the Grantee, as the case may be, and such determination shall be final and binding on both parties as if the appointment had been by consent;

(c) If both the Grantor and the Grantee have appointed valuers then, before proceeding with their determination, the said valuers shall agree upon and appoint an umpire (also qualified in the manner referred to in clause 1.6 (a)) and obtain the umpire’s acceptance in writing of appointment;

(d) Subject to clauses 1.6 (b) and (c), the valuers so nominated shall within fifty six (56) days after the expiration of the 28 day period jointly determine the Land Value as at the Review Date;

(e) Each valuer shall provide to the other within twenty one (21) days after the expiration of the 28 day period a written assessment of the Land Value and will provide full details of the market evidence on which the assessment is particularly reliant;

(f) If the said valuers are unable to agree upon a determination within fifty six (56) days after the expiration of the 28 day period then the Land Value shall be assessed by the umpire whose determination shall be final and binding on the parties hereto. The umpire shall give such determination and the reasons therefor in writing;

(g) In assessing the Land Value, the valuer(s) and/or umpire shall be deemed to be acting as expert(s) and not as arbitrator(s).

1.7 Any variation in the forestry licence fee resulting from such determination of the Land Value shall take effect on and from the Review Date applicable thereto.

1.8 Where a review of the forestry licence fee is uncompleted on the Review Date, then:

(a) Pending completion of the review, payment of the forestry licence fee shall be made on the Review Date at 7% of the Land Value nominated in the Grantor’s Notice for the next year; and

(b) On completion of the review, either the Grantor shall refund any overpayment to the Grantee or the Grantee shall pay any deficiency to the Grantor. Any such refund or payment shall bear interest compounded on quarterly rests and computed from the Review Date until the date at which such refund or payment is made in full at a rate that is 2% above the FRA midpoint 30 day bank bill rate as at 10.45 a.m. on Reuters page BKBM (or its successor page) on the date on which such amount is payable.

1.9 Prior to the review of the forestry licence fee due on the 1st of July 2003 in accordance with clause 1.5 and prior to every ninth successive anniversary thereafter (each such date being herein called a "General Review Date") the basis for fixing the forestry licence fee may be reviewed in accordance with the following provisions:

(a) At any time not earlier than nine (9) months prior to each successive General Review Date but no later than six (6) months after each successive General Review Date either party ("the Initiator") may notify the other party ("the Recipient") in writing ("the General Review Notice") that it wishes the basis for fixing the forestry licence fee (initially based on 7% of the Land Value) to be amended either by a change to the specified percentage or by making such other changes as are considered appropriate to determine a market rental for the use of the Land, such market rental to take account of the terms and conditions of this Forestry Right;

(b) Any such General Review Notice shall set out in full the basis that the party giving such notice proposes should be used for fixing the forestry licence fee on the next Review Date and its reasons for the proposed change;

(c) In the event that the Recipient does not agree with the proposed change contained in the General Review Notice, it shall notify the Initiator in writing within twenty one (21) days from the date of service of the General Review Notice that the Recipient does not agree with the proposal ("the Counter Notice");

(d) Any such Counter Notice shall set out in full the reasons for the objection to the proposal in whole or in part and shall also set out in full the basis of and reasons for any counter proposal;

(e) Unless such Counter Notice is given within such twenty one (21) day period, then the basis for determining the forestry licence fee set out in the General Review Notice shall be the basis upon which the licence fee will be fixed on the next Review Date;

(f) Where a Counter Notice is given, the parties shall endeavour to reach agreement on the basis for fixing the forestry licence fee to apply from that particular General Review Date. Should agreement not be reached within twenty eight (28) days (or such longer period as the parties shall agree upon) after the date on which the Counter Notice is given, then:

(i) The parties shall, within twenty eight (28) days after the date on which the Counter Notice was given ("the 28 day period"), each appoint a valuer being a member of the New Zealand Institute of Valuers or its successor to