The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-07-14
MILLIONS 81 DEFAULT.
Northern Pacific Receivers
From Lake Shore.
The OLD RECEIVERS RELEASED.
An Order DfsmIssfng Confempe Pro-
cecding~ Affer q Satisfactory
showing 20 the Court

A Judgment for q cool million and half
IS no. such an everyday matter in Seattle
sx<al circles as to De passed over N rc3-
the oascuF1ty. even xhen IL follows In ths
ordinary course Of legal proceedings That
xas Tia amount Of Judgment by default
wnich Judge HanfoTc. OF the United states
court, yesterday awarded A r. Buraetgh
as receiver Of the Northern Pacific haaa-
road Company against the Seattle, Lake
Shore & Eastern Railway Company.
The Judgment Involves two separate
causes OF action, the first OF which was
for Indebtedness 10 the Northern Pacific
for overcharges made by the Seattle, Lake
Shore Il Eastern against the Northern Ia
clfc In connection with the Lake Shore
as a connecting carrier with the Northern
Pacific, for money loaned. and for ser
VICES performed. between February Is. is'S.
and August q 1895 amounting 10 81 sAo-14.
The other and larger claim. amounting 10
81 Is So S. Was for losses incurred by the
Northern Pacific IL operating certain Lake
Shore properties under special contract
in which the Lake shore agreed 10 pay All
losses This included some ss-.fzi. adverse
balance OF current account between the
two roads for the transportation OF pas
sengers, mail and express
These two claims were brought before
Judge Hanford by counsel for the Ncrtn-
ern Pacific receiver with an application Tor
q postponement OF the sale or the Seattle,
Lake Shore K Eastern on the day on
which the sale took place. The applicants
pleaded that no provision whatever had
been made In the decree OF sale for these
claims. and they asked either that the
sale be postponed or that the court SO
modify It's oreD as TO make the future
purchasers Of the Lake Shore subject 10
the Northern Pacific claims.
The incidents of that application. Judge
Hanford's refusal. and the subsequent
sale OF the Lake shore property 70 the
bondholders for s. .0ca 90 are too recent
10 need reteliing. Judge Hanfords denial
OF the application was based mainly on the
ground that an appeal had been taken.
thus removing the case from his Juris-
sflction. The Northern Pacific has APP
pealed from his decision and has mean
while continued 10 press its claim. The
case was set for yesterday, and as the
Lake Shore made 70 appearance or de-
Tense, Judge Hanford gave Judgment by
default on the two causes Of action as foi-
lows: First. for sai,sisE with interest
from August q. 1Sa5. second, for sl.2Ss.-
coo So with interest from June 81. 1898, the
total judgment amounting TO the neat sum
of 81. SIS. SIS. s., besides the costs and inter-
est from date TIL paid.
Among lawyers the Judgment was re-
garded rather as a matter or course, ana
the only point which seemed TO excite
their interest was the query as 10 whether
the Northern Pacific would endeayor 10
enforce It's Judgment against the old Lake
Shore corporation or the Lake Shore as
reorganixed Samuel II. Piles, James HAM
ton Lewis and others who had been inter-
esfed in the case, gave Ii as their opin-
ion that this point could be settled only
by future court proceedings