The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-03-17
SETTLEMENT OF
A GREAT Case.
c. A. SPRECKELS' SUIT AGAINST
HIS FATHER HAS BEEN !.
COMPROMISED.
AN IMMENSE TRANSACTION
The STORY TOLD IN AN AFFIDAVIT
IN A CASE AGAINST THE
NEVADA BANK.

"A
NEVADA BANK.
Rudolph Spreckels' suit to enjoin the
Nevada Bank from sending to the Hawaiian
Islands to have transferred to its name as
Pledge some $500 shares in the Paauhau
Plantation Company brings out the hidden
history of the settlement of the suit brought
in 1898 by H. n. Woolley and G. A. Spreck-
els against Claus Spreckels and the Ha-
waiian Commercial and Sugar Company.
In that suit an accounting was demanded
of the whole business of the company. The
case was settled out of court on the 4th
of January. 1894, but none of the terms of
| settlement were made known to the public
at that time.
Yesterday afternoon there was filed
demurrer by the Nevada Bank in the suit
brought by Rudolph Spreckels upon the
usual statutory grounds. There was also
| filed a motion to dissolve the injunction.
In support of said motion certain afidavits
and exhibits were also filed. The exhibits
consist of copies of the original agreement
of January 4, 1894 The terms of the agree
ment were as given in the paper signed
by the parties, that Claus Spreckels trans
|
| bonds of the Hawaiian Commercial Sugar
| Company, half of the shares of the capital
stock of the Waikapu Plantation Company
| Qess sixty shares), promissory note of
George w. Macfarlane for SIPS 600, and 1900
shares of the Hawaiian Commercial
and Sugar Company for which C. A.
Spreckels was to pay $703,500, one-half
January 4, 1895, and the balance January
4, 1896. AS security for the payment of the
first half of this sum c.. A. Spreckels
pledged 100 shares of the stock of the Cali
| fornia Sugar Refinery. $500 shares of the
Paauhau Plantation Company, 1888 shares
OF the Hilo Sugar Company, and as security
for the second payment the same number
| of shares in the same corporations.
Part of these shares put up as security
were the property of Rud olph SpTeckels,
who sympathized with his brother "Gus''
in the dispute with their father, and it
was to prevent the bank from having
them transferred to its name that the suit
| was brought. Rudolph claimed as basis
for his suit that Claus Spreckels had
agreed that the shares should not be trans
ferred out OF his name on the books of the
! Plantation Company until after the ma
turity of the debt which they secured.
This agreement, he alleged the Nevada
| Bank, the present holder of the pledge,
| was about to violate.
| With the demurrer and motion for disso-
luton of the injunction filed yesterday are
| u.
Claus Spreckels. The two latter recite that
the whole agreement between Claus
| SpreckelS and his sons was in writing and
is annexed to their affidavit, and that there
was no agreement whatever as to the trans
fer of the shares of the character claimed
by the plaintiff, nor any contract made
| that the shares of stock would not be trans
ferred on the books of the corporation.
John f. Bigelow, who is Vice-president
of the Nevada Bank, says that when the
| agreement and collaterals were assigned to
the bank it had no notice Or knowl-
edge or information as to any con-
tract not to make the transfer. He saws
that it is the banks intention to have
the shares transferred to the name of it.
self as pledge thereof which the affiant
asserts it has the legal right to do He
then proceeds to assign as special reason
for the present exercise of this right the
unsettled political and business condition
of the islands at the present time He
states that there has come to the notice
| of the bank rumors of the connection.
actual or suspected, of Rudolph Spreckels
! with the late attempted revolution, and
that the Government of the Hawaiian re-
! public may proceed against him and con-
fiscate any property they may be able to
find belonging to him. Under the circum-
| stances they think that they should not be
enjoined from having the shares trans
ferred to their name.
Further, reference is made to the fact
! that under the agreement between Claus
and c. A. Spreckels, the latter might, if he
chose, at any time before the date for the
| payment of either half of the $703, 500, paw
one-third of that half and take CORE
spending number of the shares pledged,
and that last December he did offer to pay
one-third of the first payment. This could
| not be done at the time without sending
some of the certificates to the islands for
transfer and to this G. A. Spreckels
agreed.
The following is the contract between
Claus and c. A. Spreckels in full:
This agreement, made and entered into this
4th day of January, A. D. 1894, at the city and
county of San Francisco, State of California,
by and between Claus Spreckels of said city
and county, the party of the first part, and C.
A. Spreckels OF the same place. the party of the
second part.
Witnesseth, That said party of the first part
does hereby SELL assign, transfer, set over and
deliver to said party of the second part, and
said party of the second part does hereby pur-
chase of and from said party of the first part,
upon the terms, conditions and covenants here
matter set forth, all the following personal
property, that is to say:
Ffrst-Seven hundred bonds OF the denomina-
ton OF $1,000 each and coupons thereto at
tached of the Hawaiian Commercial and Sugar
Company, secured by certain deed of trust,
dated April l, 1885; and also,
Second-All the interest of the party of the
first part in and to the shares OF the capital
Waikapu Plantation Company corporation
organized under the laws of the Hawaiian
Kingdom, and being one-half of the capital
stock of said corporation, less sixty shares held
by Welsh & Co., and which said stock
SO held by the party of the first part was
delivered by one George W. Macfarlane to one
Charles R. Bishop in pledge to secure the prom
issory note of said George w. Macfarlane for
the, sum of $4,000, and all rights, benefits
and advantages by said party of the first part
derived or to be derived by reason thereof in
Guiding any and all judgments in favor of said
party of the first part by reason thereof; and
Third-Fifteen hundred shares of the capital
stock of the Hawaiian Commercial and Sugar
Company.
Said party of the second part agrees to nav
said party of the first part for said property
the following sums and in the manner follow
ing, to wit:
Three hundred and fifty-one thousand seven
hundred and fifty dollars in gold of the United
States, on the 4th day OF January, 1895, and
Three hundred and fifty-one thousand seven
hundred and fifty dollars in said gold coin on