The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1895-07-07
MINING DECISION.
AUSTIN AND TINDAL VS.. AMERICAN
EAGLE MINING COMPANY.
An Important Suit in Which the
Mammoth Copperopolis and Brit
ish Tintic Mining Company Are
Mixed Up-Chief Justice Merritt
OverruIes the Defendants De-
mu-rcr TO the Complaint.

Chief Justice Merritt yesterday handed
down his decision on the question of tn,
demurrer of The defendants to the plain
tufts complaint in the suit of Edward
Austin and Charles Tindal vs.. the Ameri
can Eagle Mining company, which wa:
argued ana submitted a short time ago
The opinion is very exhaustive and con
cludes by overriding the demurrer.
The Opinion.
The opinion is as follows:
The complaint alleges, that certain dis
| putes and controversies existed between
! certain OF the shareholders OF the Ameri
/ can Eagle Mining company, n corpora
! tlon, and the Mammoth COpperOpolis
Mining company, corporation, ana us
/ snare and debenture holders, represented
/ by one John Elliott and others their trus-
tees, touching and involving the right OF
possession and ownership OF a certain
! mining property situate in Juan county
| III this territory, known as the Mammoth
! CopperopollS mining property, ana tOucn-
/ ing and concerning possible claims for
! damage arising from dealings with the
! said property by the defendants; that the
! then officers and stockholders of the said
! defendant corporation, having doubts as
/ to the title of their company were deSir-
! Gus of neeotia ting ;, seftIement and com
I promise, and, upon the request of some Of
/ them, the plaintiffs engaged and under
/ thereupon entered upon the performance
OF their said undertaking;
That the proposition and agreement in
the premises, as agreed to by The defend
ants and by them entrusted to the plain
! tiffS for negotiation and settlement, was
IN writing. which is set out in haec Verba
in the complaint.
Proposition Accepted.
This proposition was signed by the
American Eagle Mining company, its
stockholders. and one John Elicit, and
| appears on its face to have been signed
by the corporation ana its stockholders
on March Ii, 1890. 1t proposes, that the
pleadinss in a. suit pending between John
Elliott and Claude Hamilton on the one
side and Bastian, Firth and Brown on
the other, should be amended by striking
out Hamilton's name as a plalntiff-he
I having died. and by striking out the
names of the defendants and substituting
the American Eagle Mining company, as
defendant, together with sucn other par
ties necessary 10 the carrying out of the
agreement: that, then the defendant
should submit to Il judgment in favor of
John Elliott, confirming mis- title as owner
of the legal estate in all the property;
that all claims for damage against de-
PENDANTS should he released, and that the
American Eagle Mining company should
deliver the property to a corporation
thereafter to be formed; that John Elliott
should cause to be cancelled, by decree Of
the court or otherwise. all debentures and
interest coupons against the property is
sued by the British Iintic Mining COM
pany Qimited) and all debentures and
coupons, if any, against the property, IS
sued by the Mammoth Copperopolls prop
erty, and should procure release of any
claim of title or interest had or asserted
by the heirs of Claude Hamlltont thdt mn
mediate steps should be taken Ato wind
up the British Tinric company pursuant
to certain acts presumably acts of par
liamenO and that a scheme to carry
out the various clauses of the agreement
should be submitted to and sanctioned ny
the high court of justice of England pur-
suant to another act of parliament, ana
thereupon, a new company should, as
soon as practicable be Incorporated with
limited liability, and capital of one nun
bred and thirteen thousand pounds, di-
vided into one hundred and thirteen
thousand shares. fifteen thousand to be
mainder to be credited as fully paid, up
stock; that upon title being perfected IN
Elliott. and said new company being
formed, Elliott should imEledlately grant
pany for ninety-nine years at rent OF
pepper-corn, in consideration OF the az
l3tment to him OF ms n nd Shares es
of the. paid Up stock; that
he should apply six thousand of these
shares in extinguishing the CLAIMS OF the
British Tintic debenture holders under
the scheme before referred to-, ana should
alot to the American Eagle company or
its nominees, thirty-eight thousand OF
shares in consideration of its waving all
claims against the property, and consent
ing to the Judgment contemplated by the
agreement; that the agreement should
not take effect, unless the scneme peIoIe
referred to should be approved by the
English court; that an official copy OF lhe
order of approval should be forwarded
to some bank in Salt Lake City, for in
spection and approval by a representa-
tive of the American Eagle company,
and that until such approval the agree
ment should not take effect, but such APP
prevail should not be unreaSonably with
6PlaVRd. POSSESSION
mine should not be given until the par
ties were respectively satisfied OF the ie-
agreement; that the American Eagle
company should retain possession ana /
have the right 10 work the mine until
compliance with the agreement, when II !
should at once transfer possession TO the |
new company referred to. There are
other provisions determining the control, |
management ana operations OF the new !
company, not necessary to be considered |
in the disposition of the demurrer, and |
they are therefore not stated. After set I
ting out this contract, the complaint pro- |
and signing of the said agreement and !
by all OF the parties, and /
while the same was pending ana pro- |
posed as stated, to wit: on>or about the !
PENDANTS made with the plaintiffs of and !
the foregoing proposition /
and agreement and the matters and |
controversies heTeinDefore stated, an I
agreement in writing which was accepted /
bv plaintiffs, and this agreement is set /
out in haec Verba. 1t refers to the ne
gotiations for compromise as pending be-
tween Elliott and the American Eagle
Mining company, in the First district /
court of Utah. and to the proposal for
before mentioned, and states
that the proposed agreement has been
signed by the stockholders of the Amerl-
can Eagle company and have been for
Warded to Elliott; it states that it is nlu-
italy understood that Austin q Ilndai
have an interest in the compromise, and
have been active in promoting the same
and that in event of the contamination
thereof they are to be repaid for their
abor and expense. and that they are TO
receive 5000 shares of the A.ock Of the
new company to he formed to be allotted |
1ut of the $500 shares 10 be set over TO
he American Eagle Mining company. Il
concluded as follows: Now. therefore
le it resolved, that the officers of said
corporate ne and they are hereby Su-
horized and instructed to issue and de
liver to the said Austin & Tindal or their
)rdeT, the said 5000 shares of the stock
II said corporation, the same to be taken
rom and out of the SO 600 shares in said
)art of the ca pital stock of said proposed
corpora ton to be received and issued to
he stockholders of said American Eagle
Manufacturing company itself. The
then states, that in pursuance
f said contract plaintiffs entered upon
he performance of the service, anG
hereafter fully performed their under
akingS in accordance with the contract,
o that-t British Tintic company was
wound up and q scheme to carry out the
aricuS clauses of the agreement with I
elliott was submitted to and sanctioned
" the high court of justice. England, !
nd by said court declared to be binding |
n the debenture, shareholders, and cred
-ors of the British Tintic and the Nam |
10th Copperopolis companies; that the
1corporation OF the proposed new COM
-