The Rock Island daily Argus. [volume] (Rock Island, Ill.) 1872-1873, 1873-02-11
THE GREAT COAL VALLEY CASE.
The Contract not against Fuonc
Policy.
Mr. Cable Practically sustainod--but must
80. ~. rivhtg BY a different Suit.


on;,iop of the supreme Court for the
Nortberp Grand Division of the State of
illinois. in cause submitted at term
thereof begun and held at Ottawa, ON
Tuesday, the tenth day Of September, in
the year Of our Lord one thousand eight
hundred and seventy-twO
Present, Charles Il. Lawrence, Chief
Justice Pinkney H. Walker, Justice
Sidney Breese, Justice John VI. Scott,
Justice William X. McAllister, Justice
Anthony Thornton, Justice Benjamin
r. Sheldon, Justice.
WOODBURY. W. TAYLOR CLERK.
Opinion filed February !. 1873.
THE PEORIA 4 Rock ISL
AND RAILWAY Co Anpeal from,
No 2Rl VS. > NVItto.;do
THE Coal VALLEY Win
1NG Co.
OPINION BY WALKER J.
This was n bill In chancery filed by
appellee, in the Rock Island Circuit Court
against appellants, b. compel them 10
perform a contract, and to enioin breach
Of the same The bill alleges that the
Coal Valley Mining Company was moor
pOrated in 1856 for the purpose Of mining
and TRANSPORTING coal from Coal ' alley 10
Rock Island and other points. It's powers
were increased by the General Assembly
in 1865. and was then authorized to acquire
title to 50 much OF the Rock Island q
Peoria Railroad us was then cnmplctcd.cx-
tending from Rock Island % Cual Valley.
Ii is further alleged that the Rock Island
X Peoria Railroad Company was lncorpor-
ated in 1880. with power 70 construct
railroad from Rock Island ~ Peoria, and
did construct a railroad from Rock Island
4 IN. 4 =. A l. \ 4
fifty bonds for one thousand dollars each
and murtgaged the road its property and
franchises ~ secure the payment Of the
same II is further charged, that appellee
acquired title 70 the Rock Island a Peoria
Railroad Company subject Z, the mort
gage on the road given to secure the $3.50
600 " bonds It had issued prior 10 1869.
Appcllees purchased these bonds, and
large amount Of floating Indebtedness and
nearly all OF the stock of the road all of
which was in the hands Of T. J.. Gable
But before this was all accomplished the
Peoria n Rock Island Railroad Company
had been Incorporated and authorized ~
construct a railroad from Peoria o. Rock
Island That on the 18th day of Septem-
ber 1869 a contract was entered into by
appellee with the Rock Island 4 Peoria
Railroad Company That agreement,
among other provisions contained this .
And the said party OF the first part for
itself It's successors and assigns, hereby
agrees % pay said party OF the second
part, the sum Of ten thousand and five
hundred dollars per annum, as interest
on the sum due said party Of the second
part, on account OF the surrender OF
said stock and said coupons, and the re
lease Of It's said claims, which sum shall
only be payable in track service. for the
transportation of coal over the said road
In Rock Island county, at the rate of one
cent and quarter per ton, per mile,
always computing the distance Us twelve
miles, thus making the rate fifteen cents
per ton for the use OF the track whether
transported that distance pr not and in
90 consideration that the said party Of the
" second part agrees to accept the right %
transport seventy thousand tons Of coal
~ during each and every wear over the
road a. aforesaid, with its own motive
power aud rolling stock in full satiStac-
ton of said sum of ten thousand and
five hundred dollars. whether it trans
ports that amount or not, and on or be
fore the tenth day of January Of each
year 20 pay said party OF the FIRST part
tor any excess 1t may transport over said
seventy thousand tons in or during the
year then next preceding at the rate OF
fifteen cents per ton; II is hereby agreed
that said party Of the first part its sue
" ce~-Ors and assigns. shall pay said party
Ot the second part, fifty cents per ton on
all the coal transported by any party. ex-
cept said party Of the second part, over
said railroad u the north side of Rock
river or over the bridges which said
party Of first part may use in crossing
said river, which fifty cents per ton the
said party OF the second part shall be
entitled b. to make up any deficit which
may have occurred, or may hereafter
0ccur,ln the seventy thousand tons afnre-
said Payment for all the coal 50
transported during each month shall be
made by said PARTY Of the first uart.
lts successors or assigns % said party of
the second part. within ten days of the
expiration VI said month and If said
party OF the first part, its SUCCESSORS or
assigns, shall fail to pay the same with
III the above limited time, the right of
any and all parties, except said party Of
the second part, to transport coal over
said road 10 the north side of Rock Riy
er, or over said bridges shall cease and
become exclusive in said party of the
second part, and 50 remain until said
payment is made--it beiHg the object ami
tycepi said party of tie ssc0ad mart. mn
right 10 transport cool orer satd road h
The HorH sids Of ROcb Rirer. or orcc said
ridges, only rhcq there il aothiag d,,
uHd9 Ms precision Ia said Dartg IF N,
second part. And the said party of the
second part hereby agrees IL perform all
the duties which said party Of the first
part IT. successors or assigns NAV owe
2" the public, so far as the transporta-
ton OF coal is concerned between Coal
alley and Rock Island and all inter.
yemng points, charging such rates there
Tor az 1t reasonably aud lawfully mo,.
and all coal which said party of the 6rst
part us successors or assigns, may brine
20 Coal Valley, designed for Rock ISLAND
and intervening points the said marty n
the second part will, at all times prompt
" transport, at such rates as il NAV rea
sonably and lawfully charge therefor
The bill further alleges that, subsequently,
the Rock Island and Peoria Railroad Com
pany consolidated with the Peoria an,
Rock Island Railway Company, and tn,
consolidated company became and is III,
company made defendant to the bin. an,
II assumed the contract OF September 4th
1869, between appellee and the Roc
Island and Peoria Railroad Company. an,
entered into a contract binding themselve
thereto That appellant has been and i
engaged IN carrying coal over their roaC
ana refuse 20 pay fifty cents per ton a.
agreed. The bill charges that appellant,
are insolyeut Il is also alleged that m,
Rockford Rock Island and 81 louis Rail
road Company had entered into a contrac,
with appellee in all material respects ann
lar to that made with the Peoria and Rncl
Island Railway Company, who were usin,
the track, switches side tracks and latera
lines OF appellees at Coal Valley, and tina
company Is made party to the bill. Tn
bill prays that appellants be compelled t