The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-04-14
THE QUICKSILVER MINING SUIT.
CONTEST OVER TIE POWER OF CORPORA
ZION TO CREATE PREFERRED STOCK BY

CONTEST OVER TEE POWER OF CORPORA
ZION TO CREATE PREFERRED Stock BY
RESOLUTION.
PououKEErsIE. April Is, 1878.
The cases OF Hoyt and Kent against tho Quicksilver
Mining company came up again In tho supreme Court
this morning or counsel tor Mr.. Kent appeared
9. p. Lowcry and Edgar NJ. Cullen; Mr.. hanIin and
John Dos Plssos Tor tho preferred aud
tor tho common stockholders, William Alien Butler,
G. r. stimaD Joshua n. Van Colt aud +. +. Marbury.
over 81. COO 600 involved In tho SUITS plaintiffs
claiming that the company the preferred stock
holders seven years. dividends. with interest Nc
Kent holds $500 Shares Of the preferred stock,
amounting to $3.50 900. the capital stock OF the
pany being $40 0oo, 900. In 1870 wnen tho company
was embarrassed, sad TO tho stockholders: Such
OF you Us can may pay So each share
held aud have stock changed 10 preferred stock,
TO be paid from year to year OF the earnings
OF the company II there be any net earnings OF
this preferred stock Mr. Kent purchased from time
time Whcn he heard that attempt being
made TO wipe u out by resolution OF the Board he
Obtained an Injunction and now asks Tor account
Ing rom tho company on'thc stock he holds.
Tho hIst witnoss sworn this morning was George L.
Kent, the painful He testified 70 the circumstances
under which he invested IN the preferred aud
mon stock, and his action on subsequently learning
OF an Intention TO create more preferred stock.
David Aahany, Secretary aud treasurer OF the Quick
silver Mining Company produccd and proved the
Of stockholders meeting, February 20, 1877 Ho
said Sc 0Q2 shares represented that meeting
put that That number voted Tor resolu-
ton. though therc dissent, and resolution
was UNANIMOUSLY adopted There Is nothing IN tho
record TO show how many preferred" to how many
conmon we're represented at that meeting or in tho
vote. There were. twenty or twenty-five persons
present. holders OF both cla sses OF stock.
Counsel for Mr.. Kent said, "rhat's casc.n
Mr.. Butler moved TO dismiss The mplaint, oh tho
ground 'that the allegations IN II show upon their
lace that the corporation had 40 power to make by
laws, ana that acts making amendments not hind-
ing upon the company" second that Mr.. Kent can
not MAINTAIN hts action because he Is The holder
Of both preferred ana common stock and
| inc evdenee shows no act OF omission
the part VI any OF tho common stockholders.
Third, II appears by the evidence that tho creation
ana issue Of the certificate OF preferred is illegal
ana unauthorized as corporate net, and that no
validity mas been gwen Tor the certificate by any
or omission by any OF the 'scommon'' stockholders
/ Motion 10 DISMISS denied IN d exception taken.
Ju.ge Van Cot' on behalt OF the Quick silver Mining
Company. moved TO strike evidence Of
record In the Supreme Court case OF
| Kcnt vs. rho Quicksilver Mining Company us
! incompetent and irrelevant. Also to dismiss tho
complaint on the ground that plaintiff has no
case which entities MIN to any part OF relief.
Motion dcEtcd aud exceptions taken. ihis closed
tho casc Tor tho day, when adjournment taken
10 some day IN tho inter part ot the month, when
! counsel Will