St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1894-06-29
LARGE ATTORNEY FEES.
SUPREME c0URT DECIDES AL THE
SEj8ERT CASES.
THE LAWYERS GET s1a5,ooo.

! foreclosures on the MfnneaDO.
lis q st. Louis Railroads.&c.
argument OF the Crookston
Water Works Case Is Denied
Other Decisions.
4 The supreme court yesterday handed
! down decisions in five of the celebrated
h Seibart suits against the Minneapolis &
Est, Louis railroad. all Of which were
+ written by Justice Canty. In all of
T these cases the decision of the lower
Court is affirmed. the decisions being
as was expected, and in the four fore
closure cases the attorneys interested
| get fees to the amount OF $l25,000. In;
al these cases the company contended
that by the terms of the mortgage pro-
vision was not made for the payment of
attorneys fees out of the mortgaged
assets in cases like this, where the
trustees were not attempting to fore
close the mortgage; that they should
have been paid from the proceeds of the
| mortgage foreclosure. and not from the
funds in the hands of the receiver, and
| that it was an error of the court below
to allow such fees.
BY far the most important decisions
| of.the lot, however. arc the two in
which the large amount is allowed for
attorneys fees. In the first Of the lot
the attorney for the American Central
Trust company. of New York. Harris
Richardson, who also acted for Butler,
Stillinan & Hubbard, the New York
attorneys for the firm. is allowed So, 0o0;
to the Fidelity Insurance, Trust and
Safe Deposit company. Of Philadelphia,
represented by Woods & Kiugman. of
Minneapolis, and to the Farmers Loan
and Trust company. represented by
Lawrence, Truesdale & Corriston, Of
Minneapolis, $4,000 each. These al
lowances are in addition to 5000
allowed each company before this, and
!;bring the total i'll these cases allowed
Fin attorneys fees up to S75,o 900. tn the
second appeal from tue allowance of
attorneys fees Seibert wins the $4,000,
| which, besides the $1,000, brings tine
amount of the clain against the CO IN
pany in four cases up to sl25, 1000.
The grounds upon which the order
+ appealed from is affirmed by the
court in the three trust com pany cases
Involving the $4,000 is this: Seibert
and tie trustees claim that the record
( brought III these appeals is deficient,
| and that it does not show upon what
the court acted in making the order.
The court holds this point well taken,
III that neither the findings nor the con-
illusions OF law were returned in The ap-
|, peal. This court further holds that the
|. mortgage contained a clause authoriz-.
hn in, AQfa y1t Of pf
2 take possession of and operate the road
K without fOreclosing, and out of the
/ earnings to pay the expenses of admin.
lStering the estate, and after that the
|, interest and principal Of the mortgage.
] There can be no doubt as to the pro-
/ vision in this for the payment of attor
!ineys' fees, and the question so far as the
Emort gagOr is concerned as to where the
fees are paid from is not material one.
|, The Minneapolis & st. Louis case is the
lone that involved the payment of $4,000
Fin fees.
|. An- opinion in the case of E. g.
Davis, respondent, VS.. The Crookston
Water Works, Power and Light Com
|pany, corporation, defendant. appel
Giant, Hugh Thompson. intervenor, was
handed down by the supreme court
yesterday. The opinion was written
| by Justice CAVITY, and by it the court
| denies the motion for reargumenE
| OF the case. ~
T OTHER DECISIONS.
| The syllabi of other decisions handed
down are as follows:
! Henry Seibert, trustee, plaintiff and respond
| eDt, VS.. Minneapolis u ST. Louis Railway
Company et al, defendants, The Northern
L it1p pntfv o.
| Northern Pacific hallway Company. re-
| spondents. Order affirmed. CAVITY, j.
+ Where two railroad companies agreed
that each should construct or cause to
be constructed specific part of con-
tinuous line, of railroad between two
terminal points and make certain con-
nections. and that each should have the
concurrent use of the whole lire and
have certain other traffic arrangements,
and that this contract should be in force
] for certain number of years, the line
/ was so constructed, and, after being so
used fol. some time, a receiver of one Of
SAID companies was appointed in fore
closure suit brought against It.; the
/ other company presented claim for
Trent. switching charges. expense of
handling freight and other operating
expenses accruing to it under the con.
|. tract before the receiver was appointed,
and the court below ordered the pay
| ment of the same by the receiver with
! interest.
Held. it is fairly to be inferred from
the order of the court and other pro-
ceedings that the court deemed this con-
tract valuable asset, and deemed it
for the best interest of the estate that
the receiver should adopt the contract,
and that it was necessary to pay the
claim in order to keep the contract in
force; it was therefore proper to order
the claim paid with interest,
Henry seibert, trustee. plaintiff and re-
/ spondent. VS.. Minneapolis g. ST. Louis
Railway Company, defendant and appel
liant. ct al. defendants. Order affirmed
! CAVITY, j
| /. Held, sec. A, CHI. 81, &. S. 1878,
does not apply to the foreclosure of an
ordinary railroad mortgage, or limit the
amount Of attorneys fees which may by
}.the terms of the mortgage be allowed in
case of foreclosure.
2. Plaintiffs mortgage construed.
Held, it allows the payment OF the
charges of the trustee for reasonable
! attorneys fees in part at least out of
lathe income Of The railroad in the hands
of.the receiver, and also allows, such
!; charges out of the proceeds of the FORE
EGl0Sure sale, and that 1t is not material
! to the m0rtgagor whether it is paid out
!of one fund or the other.
f. Held, from the record, it must be pre-
fsumed that such attorneys fees were
allowed only for the services rendered
i'll foreclosing this mortgage alone. and
that no part of such fees were allowed
for the services rendered OIL the unwar-
toranted attempt made to force the prior
mortgages into foreclosure. and to with.
hold the accrued interest due Oh them