Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1889-08-11
BREAKERS ARE NEAR.
Complications Threatened in That
Library Hall Mortgage.
A TALE OF THE TWO COMPANIES.
Will Sheriffs Sale Give an Unencumbered
Title to the Buyer?
SUPPOSED STATUS OF TaE Y.M.ML&M.I

attempt to sell Library Hall on a mortgage.
1 don't believe it can be done and 1 think the
purchaser will buy subject to perpetual
lease by the Young Mems Mercantile Lii
brary and Mechanics Institute. Go and
see the law published in 1860. page 81,
Acts of Assembly,"
S. M. Raymond. Esq. pulled down the
| volume required, but remarked when he
looked over the act that so far as anything
in it was concerned, he could not see
why the buildings might not be sold on
the mortgage.
An act passed In 1853 provides that said build
| ing. when completed and ready for use, shall,
| with the ground aforesaid be perpetually
leased to the Young Mems Mercantile Library
| Company and Mechanics Institute, on the fol-
lowing terms, viz: The Young Mems Mercan-
tile Library and Mechanics Institute shall pay
to the corporation hereby created, on, or before
the first day of January in each year, all neces-
| sary repairs and taxes to which said grounds
and buildings may be subjected, and in addi-
| tion thereto a sum not over per cent per
annum on the whole cost of said ground and
building, or such part thereof as shall not have
been repaired by the said Mercantile Library
Company. to the corporation hereby created,
and in consideration of the payment of the
before mentioned taxes, repairs and interest,
the Mercantile Library and Mechanics Insti-
stitute shall forever have entire
POSSESSION AND CONTROL
of said grounds and buildings erected thereon,
and shall have power to sub-let the whole or
| any portion thereof, and collect the rent and
revenues, and make appropriation of the same;
provided, nevertheless, chat whatever rents and
revenues they may receive over and above the
amount Of the taxes and interest and repairs
shall be paid to the corporation hereby created,
ground and buildings. And provided further,
that If the Mercantile Library and Mechanics
Institute shall at any time be in arrears for two
whole years taxes; repairs and interest then
corporation may, after six months notice to
President and Managers. take possession of the
aforesaid groun and buildings; in that event
the corporation hereby created shall annually
pay to the Mercantile Library and Mechanics
Institute such proportion of the net revenue
from the aforesaid ground and buildings, IS the
amount paid by the Mercantile Library and
Mechanics Institute, toward the reimburse
ment of the cost of the ground and buildings,
shall be to the whole cost thereof, and in case
of sale of the whole or any part thereof the
said Mercantile Library and Mechanics Insti-
tIfte shall be entitled to a like proportion of
the proceeds of sale.
of said buildings. the corporation hereby Gre
ated shall covenant etc, with the Mercantile
Library and Mechanics Institute, to convey to
ated In the ground and buildings aforesaid, so
soon as the Mercantile Library and Mechanics
Institute shall have reimbursed the corpora
tion thereby created. irs cash outlay for ground
and buildings.
PROVISIONS OF THE FIRST ACT.
The gentleman who first spoke said: 'The
original act of 1849 provides for a home tor
library and the diffusion of public educa-
tion. A time came when the Young Mems
Mercantile Library Company did not find it
expedient to assume the obligation to pay
per cent etc., spoken of above. 1t didn't
earn it. The Library Hall Company and
the Young Mems Mercantile Library and
Mechanics Institute are separate organic
ations, and the question that arises is what
legal action is there that car relieve the
hall company from its chartered
obligations to provide home for library
and the diffusion OF public education?
There is reference in the minutes of
meeting held in February, 1871, to an agee-
ment made or proposed to be made between
the two companies. have heard it said
the agreement was that the Hall Company
was to manage the buildings as trustee for
the Young Mems Mercantile Library Com
pany. This agreement was subject to rati-
fcation by the stockholders. do not know
whether it ever was or was not ratified. The
only thing could find was minute that
such an arrangement had been agreed upon.
AS TO POWER TO BORROW.
"The original company was only allowed
to borrow to the extent of its capital stock
which was $104, 900. 1t borrowed from the
Sanitary Fair fund, from the West Penn
Hospital and this mortgage of $50, 900 is
allowed to borrow and this is the one that is
being foreclosed. There is question in my
mind as to whether the Hall Company had
a right to give third mortgage. The two
companies act Independently of each other.
think the Young Mems Mercantile Lii
brary Company can stay these notwith-
standing the sale by the Sheriff"
Continuing the search another member
was found who said he believed some people
were made trustees and that they acted with
out authority and never made areport, as he
held that the loan could not be made without
the approval of the Library Association,
and he said the third loan was illegal be-
cause it exceeded the amount of indebted
ness allowed $4,000. He supposed, how
ever that equity might enforce payment up
to the amount allowed by legislative enact
ment. He further said the lines were re->
laxed in the days when the Legislature was
untrammeled and did legislative job work
for any one who wanted it and was willing
TO pay 1t Sdlu ut hHOW VI
any improper influences to get the limit ex-
tended, in fact didn't believe there were
THINKS IT MIGHT PAY.
This gentleman made an arithmetical cal
culation to show that he could rent the
building so as to make it more than self
supporting, and rather more than half inti-
mated that the management hadn't en-
ployed its talent, or talents, to the best pos
sible advantage, possible as the taxes were
light on account of the character of the in
stItution. He thought Mr.. Brunot might
possibly be partly submerged in the soup.
Still another member of the Mercantile
Library Association said: s'There will be
quite story in this matter when those who
are working it up are through, but don't
feel like saying anything at present"
From all that can be learned some inter-
esting information may be expected by and
by, but for reasons best known to themselves
nearly all the people interviewed refused to
tell all they knew, and made it a condition
precedent to talking that their names
should not be used