The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1883-06-28
THE DECISION
In the z. C. NJ. 1. Scrip Tax Gas

In the z. C. ID. 1. Scrip Tax Cas-.
Below we give the decision of the
Supreme Court IN the above case
which will doubtless be read with
interest:
IN the Supreme Court Of Territory
of Utah.
Zion's Co operative Mercantile Institution
Plaintiff AID Respondent.
US.
O. J. Hollister, Defendant and AppelEant
The plaintiff in its complaint al
leges that it is and WAS at the times
therein mentioned a corporation
organized and existing under the
laws of this Territory solely fol
the purpose of carrying on mercan,
tile business. That the defendant
at and during the same times was
and is the acting collector of in
ternal revenue for theUnited States
That in 1876 the plaintiff made
certain mercantile orders of the
denominations of 81, 81, and So
which were used in paying its en-
plovees who were willing to take
their pay in merchandise, and
also as a means Of convenience in
exchange for produce, which it was
agreed should be paid for in mer
chandise, and that they were moi
made, or used, or paid, Oh circulated
for any other purpose whatever
that upon the 18th day of July
1878, the United States commits
siOner of internal revenue set dOWI
to and assessed against the plaintiff
a special tax of ten per centum
amounting to $4,000, as tax upol
notes alleged to have been used b.
plaintiff for circulation, and pait
out by it for and during the wv,
months ending On the goth day o
| November, 1915, aid between TIL
Both day of November, 1876. and th
1st day of June, 1878 that tn
list containing said assessment Wa
| by said commissioner of interns
revenue placed in the hands of tn
defendant, as such collector; tina
the defendant, On the It'll day c
August, 1878, as such collector, de
manded Hof the plaintiff the pay
ment of the aforesaid tax, assesses
as aforesaid, and threatened tina
unless payment of the same wa
made he, the defendant, as such co
lector, would seize upon and Sc
sufficient of plaintiffs property t
pay said tax; that while defendan
was SO threatening to sell and abou
to sell the property Of the plaintiff
the plaintiff under protest and Wit
notice then AMI there given by it
the defendant, that said tax wa
erroneous and illegal, and that SUI
by the plaintiff would be con
menced against the defendant
recover the same, and to preveI
the seizure and sale Of plaintiff
property as threatened by the dc
PENDANT, paid to the defendant til
amount of said taxes, the sum ;
$4,000. That on the 18th day {
September 1879 the plaintiff in dU
form of law made its appeal to tt
Commissioner OF Internal ReVenr
to have said sum assessed again
and paid by the plaintiff, refunde,
That said Commissioner on the 14t
day of October, 1879, decided sal
appeal against the plaintiff, and r,
fused to refund the same, or al
part thereof, excepting $500. Th
the said assessment, demand f,
payment, and payments were MAJ
. upon the said alleged merchandi
orders. and upon no others, and Fl
the use and circulation of them
above stated: that by reason there
there remains due and owing to Il
plaintiff from the defendant Il
sum of $4,000, with interest thereo
The defendant in his answer aileg
that the orders described in Il
complaint were printed oil got
paper; in their general appearan
resembled bank notes, and would
taken and considered as such by t
masses of the people, or as circult
ing medium; that in addition to t
words and figures given in the col
plant as descriptive of said orde
the denomination of each of the
appeared upon the face thereof, a
across the same in their places,
large letters and figures. Defer
ant denies that the plaintiff did u
use, make, pay out or circuls
! said notes or orders except
the purpose OF paying its employt
3 or as means of conveI
y ence in exchange for produC
ami upon information a
belief, says that during the mont
of October and November, 1876, a
during the time frcm Novemb
1876 until July, 1878, the plant
issued its notes OF orders to
amount of one hundred four the
sand five hundred dollars, in ST
stantially the form above describ
and OF such form, material and
pearance as to be readily taken a
passed as money and a circulate
medium.
THAI plaintiff paid out and issJ
said notes or orders to any and
persons who would accept them
payment of any debts owing
= plaintiff for the produce, labor
-, other commodities or causes,
~ same as money also received tn
~ in payment of goods or other &C
i. i l.. LII 4, l.,