The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1883-10-19
SHAW BROS FAILURE.
Interesting Report of the Investi-
eating Committee.
The Assignee of the Firm Presents a
Statement.
Action of the Creditors at Yester
days Meeting in Boston.

Action of the Creditors at Yester-
days Meeting in Boston.
Boston, Oct. 18.-The creditors of F. Shaw
& Bros, the failed tanpars, met at the Shoe
& Leather Exchange 3 o'clock this after
noon. About 200 gentlemen were present. Mr..
Dunn, for the committee, called to order, and
was chosen chairman. Mr.. James B. Forgan
was made secretary. II investigating COM
mittee, of which Mr. G. o. Billings is chair.
man, submitted report in print. 1t comprised
first, statement of the work of the committee
second detailed inventory of the failed
firms assets and liabiities third, the report of
the expert accountant who has examined the
books. Below is full abstract of the reports
The report of the committee appointed by
the creditors which was presented by Mr.. CO.
Billings, the chairman, sets forth the circum-
stances of their appointment and the purposes
thereof, viz: To select person to be chosen
by the creditors or assignees, and to obtain
| written consent of majority in numbers and
value OF the creditors to such choice; to advise
with the asslgnees, and decide all questions of
difference among them; to investigate the af-
fairs Of r. Shaw & Bros, and report the most
/ advisable method of settlement. With these
purposes in view the committee first endeavor.
cd to ascertain what property. real and perso-
nal the hrm OF X. Shaw & Bros had on July
%, 1883, together with its description, condi-
ton, the encumbrances upon it and its actual
4 value, and to ascertain the actual bona fde
debts then owing by the firm, and which were
entitled to dividends pro rata out of the pro-
ceeds OF the property. Mr.. Henry A. Piper
was continued as accountant, and Mr.. Horace
ID. Bradbury as assistant The committee
have endeavored to verify their findings by in
vestigations independent of the firms books
and papers, and with this object have caused
1 examinations to be made of the records in case
of the firms lands in Maine New Brunswick.
Canada and New York. They have obtained
full and minute descriptions of the tannery
! property and merchandise wherever possible,
/ and arrived as near as possible at the actual
value OF these properties. The Shaws trans
actions in accommodation notes have also been
/ investigated, and the pecuniary condition of
! the persons and firms with whom their trans
actions were carried on ascertained as far as
/ possible.
f. SHAW & BROS.
The committee finds that by articles of CO.
/ partnership, made Jan. 2. 1882, by Fayette
Shaw, Brackley Shaw and William Shaw, the
co-partLe ership then existing between them
under the style of f. Shaw & Bros for bust
4 ness as tanners and leather merchants in Mas
! sachusetts, Maine, New York and the Domin-
4 ion of Canada was renewed and continued
until dissolved by the act of God. or
/ the mutual consent of all the co-partners."
This agreement contained the following
! clause:
SIT is agreed that said parties are equal owners in
4 common, each owning one a. undivided third (1s)
of all estate whether real personal or mixed where
ever the same may be situate or placed, ami now
standing or put during the continuance of this CO.
partnersh p in the name of f. Shaw g. Bros, in
the name of F~yette Shaw, Brackley Shaw and Viii
liam Shaw, Jointly or copartners, and all other
real, personal or mixed property that may stand in
the name or names of any one of the partners which
has been bought and acquired for the partnership
and which stands on the books of the partnership
| as its property"
The agreement is of great Importance, as by
1t all lands. whether standing in the name of
the firm or any individual member, are made
/ partnership property and must be distributed
4 as such. This includes the store on Purchase
| street, the equity of redemption OF which the
committee estimate at $4,000 The property
! at Newtonville is entered in the books of the
frm as an Investment by the firm, having been
/ paid for by the firm, at cost of $96, ,687, ,55.
which is not charged to Fayette Shaw and APP
! pears as assets of the firm.
The articles of copartnership also contained
! further provision, that in case of the death
! of any member of the firm, provided no objec-
| tion was made in writing by the representa-
tiVes of the deceased partner, which objection
may be within nvo years after the decease, the
survivors are allowed The term of FIVE years in
or within which to continue and close the bus
mess of the partnership.
William Shaw died August 81, 1882, and the
surviving partners appear to have availed
themselves of the last mentioned provision for
continuance of the business On September
! IL, 1882, Ferdinand A. Wyman and Walter D.
Shaw were appointed administrators of the es-
| tate of VIM. Shaw, Walter d. Shaw making
Ferdinand A. Wyman his agent. The COM
mittee say that it is apparent that VIM. Shaw's
representatives are not entitled TO any property
OF the firm as against its creditors, Tia ere not
being sufficient TO pay the debts. BY deed
dnfAd .Tapnarv 1899 no fo~,
nominal consideration conveyed to his son-in-
law, William f. Kimball, the dwelling house
and land occupied by him in Newtonville and
by deed of the same date for nominal con-
sideration Kimball conveyed it to Lavantia
Shaw, wife of Fayette Shaw. BY deed dated
January 81, 1883, Fayette Shaw conveyed as
gift to his daughter dwelling house and land
in Newtonville. On the 9th and 28th days of
July, 1883, Fayette Shaw Withdrew from the
firm $55 000 and F. Shaw & Bros paid to John
+. Mills Sl2 900 in cash; delivered to him 3d.
sol 19 in trade notes. $145 733 AT in notes of Chs
w. Copeland, $44 1851 in notes of Chas H.
Ward. indorsed BY John WoOldl idge. and at
that time or subsequent gave him promissory
note of $4,000.
SHAW BROS. & cAssILs
The report reviews at length the history OF
I this copartnership which was formed Feb 10,
1874, by admitting John Csssils to become
partner with Fayette Shaw, William Shaw and
Brackley Shaw, who had before carried on hue
chants under the style of f. Shaw & Bros
This firm was to continue five years from Jan
l, 1874, but it could be dissolved by either
partner by giving three months notice in writ
| ing. The capital was to consist OF the stock
and assets of f. Shaw g. Bros. in Moatseal and
John Cassils was to contribute $4,000. Three
fourths OF the profits were to go to +. Shay 4
Bros. and the remainder to Cassils. The real
estate of the Shaws in the city OF Montreal or
elsewhere was not to enter into the firm assets
and all tanneries owned or leased bv f. Shaw
| & Bros and which were TO be worked on the
| joint account OF the new firm ,were to be united
or stocked on such terms as might be mutually
agreed upon. A notice of the dissolution of
this firm by the death Of Wm. Shaw was given
Feb. IA, 1883, and registered at Montreal the
next day. Feb. 24tb, notice was given that
the firm then consisted of Fayette Shaw,
Brackley Shaw and John Cassils. Articles of
| copartnership we're made but not recorded and
the committee have been unable to get copy
| of them from the partners. The partnership
was to continue five years, however, and the
| articles were probable similar to these of the
| old firm. Feb Oath, 1883, the property in Mon
treal used by Shaw Bros. & Cassils for their
business was leased to the new firm for five
years, at q rental of $500 year. Feb. oath,
J 1888, by lease which was recorded March 10th,
| T. Shaw & Bros. leased to Shaw Bros & Cas-
| sIls their taunery property in the province of
| Quebec Tor the term of five years, for q rental
| OF one-quarter OF cent on each pound of
| leather tanned; the lessees having the
right to terminate the lease in whole
| in part on six months notice. By deed
dated Feb. %, 1888, and recorded May %,
Brackley Shaw gave to his son, Chas. Thaxter
| Shaw, certain real and personal property in
| Montreal, subject to condition OF maintenance
! of his {Chareso brothers and sisters until each
becomes q years of age. By deed, dated May
| II, 1883, Bracbley Shaw conveyed as a gift TO
his son, Chas. I. Shaw, his three-fourths in
| terest i'll the firm of W. L. Packard & Co., do
ing business at Roxton Falls, Canada and Top
Grating in tan bark lands and bark stampage,
and the procuring, manufacture and sale of
| hemlock bark in all its branches"
| A notice of the dissolution of the firm of D.
r. Northey & Co., leather merchants of Mon
treal, then composed of Brackley Shaw, John
Cassis and David r. Northey, was given Feb.
s, 1885, and registered Feb. 2l, On the same
Feb. 8, new partnership was formed, compos
| ed of David r. Northey and John Cassls, de-
clariDg that the said partnership had subssted
| since Jan. l, 1888. By an instrument dated
| July 2S, 1888, and registered July 81, executed
| by f. Shaw & Bros. and John Cassils, et al,
the time of payment of mortgage on the
property in Montreal, leased as aforesaid, was