Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1871-11-21
Tennessee Lands I'm Suit.

The New York Tribune has the following
report in its issue of Nov. II:
An important suit has been in progress
before Judge Van Brunt during the last
three days, entitled Julius Gerding agt
VIM. A. Kobbe, and brought TO recover
damages for nOn-delivery of stock in a COM
pany amounting to 268 shares, of the nomi-
nal par value of 500 each. 1t was claimed
by the plaintiff that the stock had
been demanded on his behalf on Jan.
s, 1868, and the amount claimed by
him was the par value of the stock,
with interest from date. The evidence
shows that Charles Gerding had formerly
been a resident Of East Tennessee, and
while there had become acquainted with a
large section Of land, in what is called Cum
berland Plateau, in Morgan and Cumber-
land counties, which he claimed to be Of
great value. In 1865, Charles Gerding,
with the defendant, in whose employ he
was, purchased for speculation lands in that
district, Kobbe agreeing to furnish capital,
and Gerding to examine the titles. KObbe
was to have two-thirds of the profits. At
this time Kobbe, through his wife, had an
interest in lands in East Tennessee, gener-
ally known as the Sistare lands, Gerding,
under the agreement, purchased about H.
900 acres of land at the average price Of %
cents an acre, except "a acres, for which he
paid s.. He also purchased of his I'M
Gle, G.. I. Gerding, 104, 900 acres. The
original agreement was about this time
changed, land company being formed to
dispose of the lands purchased. The agrees
ment with G. f. Gerding stated that he
was to take his pay in the stock of the
company, each share Of stock to represent
not less than a dollar an acre. Kobbe
agreed to buy half his shares of him at half
price. In June, 1867, the parties to this
action made an agreement, providing that
the old agreement as TO division Of profits
should be rescinded, the defendant agree
ing to transfer to Charles Gerding shares Of
the company to the nominal value of $33,-
900, each share to represent 40 acres of
land. 1t appeared that this company was
the same as that of which George Gerding
was to receive the stock. but no reason was
assigned for the change in the par value Of
the shares. The company, however, never
issued any stock. There was no proof in
the case as to what would have been the
market value of the stock of
that company. Immediately after the
execution of that agreement, Charles Gerd-
ing assigned bis interest in 268 shares Of
the stock to A. II. Wallace, in II shares to
the defendant, and 50 shares to George F.
Gerding; and Wallace assigned his to the
plaintiff. Plaintiff claims that under the
agreement the defendant, not having de-
livered that stock, was liable for the amount
of it on the ground that the agreement was
TO pay a certain sum of money, as liqui-
dated interest Of the plaintiff in the partner
ship agreement in the stock of the company,
and that the stock, not having been de-
liyered, the pecuniary amount named on the
nominal par was the measure of damages.
The Court did not charge this, but sub
mitted to the jury to determine the value of
the lands, deciding that the value Of the
stock was such a sum as it might find the
value of the quantity of the land represented
by each share to be. The jury is still
out.