Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1891-01-06
TOOK ANOTHER TURN.
Different Aspect of Affairs in the
Mercantile Library War.
A NEW SET OF OFFICERS ELECTED.
The Old Board of Directors Turned Down
by the stockholders.
LEGAL COMPLICATIONS INEVITABLE

According to the way the stockholders Of
talked yesterday at their annual meeting,
which was held in the afternoon in Whitney
& Stephenson's Office, Fourth avenue, it
would appear likely that the perpetual
lease made to the Mercantile Library Asso-
citation on Saturday may possibly be some
what the worse for wear by the time it runs
the gauntlet of suit in court.
c. II. Mckee was especially pronounced
in his views of the Saturday meeting. The
proprietors of the Bijou Theater. Messrs.
Gulick and Bennett, were on hand, looking
to the strength of their lines. and the latter
gentleman was proposed as President Of the
hall company, but the election resulted
otherwise. Mr.. Bennett stated the validity
of the lease would be severely tested in
court, in order that the Bijou Theater may
secure lease on the building.
A Series of RESOLUTIONS Passed.
The meeting occupied the greater part of
the afternoon, and so per cent of the $780,
600 of shares was represented. The discussion
regarding the perpetual lease of the hall was
participated in by all present. and the PROPOSE
tion of the lessees to pay per cent on the
stock. if it were realized, was treated with
deris;on by the hall stockholders. and the
appended whereas and resolutions passed with
but Two dissenting votes:
"WHEREAs. On the Sd day of January, 1891,
the President of the company, upon the sup
posed authority of a resolution of portion of
the managers of this company. executed a
paper purporting to be q perpetual lease upon
certain terms and conditions in the said paper
stated. of the real estate of this company to
the Pit. sburg Library Association And
Wlara1s md 70 ca
Hereunder were not authorized by this COM
pany, and said action was in violation of the
rights of this company and its stockholders;
Resolved. That the Pittsburg Library Asso-
citation be notified that the said paper purport-
ing TO he a lease is not recognized by this COM
paDy as in any way binding upon it.
Resolved, That all the tenantsof this CON-
pany be Notified of the foregoing.
Resolved, That the Board OF Managers be
and are hereby instructed to take such action
as may be requisite in order to secure the
cancellation of said paper purporting to be a
lease.
"That the foregoing action contemplates no
more than the declaration made that it is not
the purpose of this company to repudiate or
evade any lawful claim of the Library Asso-
ciatlon upon it. but to repudlate the unauthor.
lied action of the retiring board and the Presi-
dent of the company"
Result of the New Election.
The following was the result of the election:
President, Frank Armstrong; Vice President,
John S. Sculy; Treasurer, L. H. Williams;
Secretary, George w. Crawford; Directors,
George L Whitney. ]. o. Brown. Thomas P.
Day, +. 1. Stephenson and s. w. Cunningham.
l. H. Williams said in an interview, regard
ing the complicated matter: THE real cause
of calling the meeting Saturday evening was
covered up. The reason given forcalling 1t
was to hear the report of the Treasurer. the
true object being purposely Concealed. OF the
nine directors there were present but five.
They sprung this proposition of leasing the
property in perpetuity to the Library Associa-
tion, which offered to pay all the ex-
penses, insurance and per cent on
the stock If the stockholders wanted it,
by leasing the hall to the library. I strenuous
ly objected to the proceeding, and said they
ought to have the advice of counsel, and also
protested in the name of the majority of the
stock, which held. and called attention to the
fact that The board had TO such power. But
the four passed it despite my remonstrance and
made the lease. They were Joseph Albree.
William R. Thompson. Henry Holdship and
j. +. Hudson. The best part of this is that
two OF them are believed to be ineligible,
as they hold no stock-as least so far as we
know from the record They are William R.
Thompson and j. +. Hudson. The whole ac-
tion looks shady, especially as they did it the
last thing before going out of Office. We hav
notified the parties that we will employ coun-
sci to have the lease cancelled. They claimed
advice 1 of their @ attorney ne my They c did Is nos
consult the hall eompany's attorney, but D. A.
McClung, who is attorney for the Library Asso-
clatlOn.
Mr.. Thompson States His Case.
William r. Thompson, for the opposition,
said: There was nothing at all underhand in
our action of Saturday evening, and the fact
that we did not state in the notices sent out
that the lease would be considered was simply
because we did not know As hours before the
meeting that we were to consider it. The fact
is the Library Association did not tell us
until Friday evening that they wanted such
a lease. L told the managers at first
| l could not do such thing without proper con-
sideration, but they urged that the charter
gave them virtually 4 perpetual lease on the
! alter people would try TO evicr them. They
| urged it was our duty to prevent the library
| from being turned out of the house which was
| built for II. said there was hardly any proba.
bility that the BIjou Theater would crowd
| them out. After getting legal ad-
| vice we executed the lease. There
| is nothing in the charge that l am
| not stockholder l own so shares, and while
| 1t may not appear on tie record, there is not
| gentleman present at the meeting to-day who
| does not know it. In this matter I wish you
would observe that it is simply a struggle for
the ownership of the builing, and if it is car
rIed into court then we will know exactly who
owns it. There is no feeling. and if there is
| litigation / hope 1t will he devoid of personal
| jealousies. We had no idea of turning out the
| Bijou people or any other tenants but simply
| did what was urged on US as our duty by the
| Library Association people"
| 1t will thus be that the Riiou people
| have played another trump, and the matter is
| almost certain to be carried to the courts for
adjudication,a as was foreseen in The DISPATCH