Daily Republican. [volume] ([Wilmington, Del.]) 1874-1890, 1886-06-17

The Court Of Errors and Appeals,
now In session at Dover, has given an
opinion in the case OF William Fl
Swift, President of the Diamond Match
Company, plaintiff in error, VS.. the
state Of Delaware, ex relator David M
Richardson, defendant in error, which
was delivered by Chancellor Salisbury.
Ihis opinion sustains the ruling of the
court below, and declares the petition
ers below entitled to the writ of man.
damus prayed for. TIE opinion was
concurred In by Judge Houston, but
j udge Grubb declined to give an opin-
ION, as he taid that he had not exam
ined the matter enough to reach a
dehnite conclusion, but that IL, after he
mad FULLY examined the case, he deemed
it advisable, he would prepare an
opinion and hand it to Judge Houston
This case is one Of the most import
ant ever heard In this State, as 1t in
wolves questions rs TO the right Of the
courts TO issue writ of mandamus to
compel inspection, and to make copies
OF corporate papers, and also the right
OF this State to issue mandamus for
any purpose against an officer OF fore
lgn corporation, the Diamond Mai ch
Company being chartered in Connecti-
cut, but holding property and transact
ing business In Delaware.
The history of the case is as follows:
David M. Richardson, of Detroit, Mich,
large stockholder in the Diamond
Match Company, some years ago en-.
tered into contract with Messrs. Duhl
and Alger, by which they were to sn.
dorse certain paper for Richardson and
TO become surety for him 20 the govern
ment on his bond for match stamps.
Richardson thereupon transferred to
Duhl and Alger, as collateral security,
q large block of Diamond Match stock,
amounting to about S250,000 or $780,
600; they TO receive certain proportion
OF the net earnings OF said stock during
1881 All the liabilities which they
thus assumed have, 1t is claimed, since
been discharged and they have received
some S6O, coo or $40. 900 for their servi.
ces' Duhl and Alger claim that there
Is large amount yet due to chem out
OF these net earnings; Richardson claims
that they have already received too
much; the amount in dispute being
about $4,000.
The balance OF the amount claimed
by Dahl and Alger out of these net
earnings not being paid, aud Richard
oNh NSh ing JA6y
advertised for sale the stock held by
them as collateral; whereupon Richard
son instituted suit In Detroit and OBJ
tanned preliminary injunction. 1t
then became necessary to have access to
certain books and papers kept in Will
mington by Mr.. Swift as President of
the company. Richardson applied to
President Swift for leave to exam Inc
such books and papers and take copies.
Mr.. Swift allowed him to examine
them but, by order of the directors, re-
fused to allow him to make any copies
of them, without which the inspection
would have been valueless, ,as the copies
were needed for evidence. Thereupon
Richardson applied to the superior
court OF this county for writ of man
damus, and the application was argued
last fall by Messrs Sprusnce and E G :.
Bradford Of this city and Judge 10th
rop, now United States Minister to
Russia, for the petitioners, and by SsnA.
tor Gray and Benjamin Nields for the
defendants.
The superior court awarded the writ,
requiring Mr.. Swift TO allow the in
spection and the making of copies asked
for; upon which judgment of a writ of
error was taken to the court of errors
and appeals and there argued all of last
week by the same counsel, with the ex-
ception that Mr.. Lillibridge ofthe Mich.
igan bar took the place Of Judge 10th.
rOp.