Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1896-01-20
THEY STRIKE BACK.
Hardware CompaHy'S Answer 10 EI.
Manager Bauer
IT IGIyEs "A TROPICAL REPLY.
Says the Business Wrecklng Desire md
Effort is ON the Part Of
Another.

Tho case Of benjamin f. Bauer va
the salt Lake Hardware company for
the snpoiztmout Of a receiver came up
In Judge Hiles's branch Of the Third
district court aud ocoupieilooth the fore.
noon and afternoon sessions. Su,her.
land and Murphy are the attorneys for
the defendant corporation against lie
manager.
In their answot the company alleges
that only 400 shares Of tho company's
capital stock has been subscribed and
fully paid; that defendant James Il.
Clasbey was one Of the original incor-
porators aud Ia the owner Of l57 sharo,;
that no owns thirteen others not trans.
ferred to him GA tho hooks Of the com.
pany, anu that II. w. Spencer holds
ten shares and Julian Il. Clasbey 10;
that said stock has been nO held for tie
pact 1--WE yeaGa.
Defendants deny that they are not
owners OF sufficient stock 10 make
them eligible as directors; admit that
plaintiff ever since the incorporation
OF the company had charge Of AMI
managed the business Tor $3.50 PET
month; that no has not yet
formally resigned hls managerial
trust; tnat no abandoned II OF his owa
accord Gnd without defendAnts' con-
ssut In December last; deny that seri.
Gus trouble and disagreemeuts arose
between them PRIOR TO tnAt time In
respect " the management or control
OF the businear; ieny that there IL now
any trouble between thom Of such a
character.
Defendants claim that they are In
charge OF tue business simply from the
fact VI plaintiff having abandoned II
anu under such circumstances arr
managing u 10 the best OF their ability;
| deny that defendant james +. ClAsbuy
was nj any time or IL now Ia favor Ol
winding upnnd closing cut tue business
VI the corporation; aver that there ID
no question about continuing the buti
meas ne IL has continued successfully
| without interruption ever since the
Incorporation OF tho company; thai
defendants insist on continuing n,
heretofore.
Its further alleged that only two
subjects have been discussed between
plaintiff and defendant Clasbey, re.
| Gently, before tno former abandoned
his petition ~ manager. TINS frsl re-
lated TO the plaintiffs dosire 10 aoquir,
more stock In the business, anu tn,
SECOND was with regard TO having hi,
salary increased TO $500 per month
these discussions, Il 10 futther alleged,
were without Any,exh ibition OF auger
Defendants fuTtner deny that the
company IL indebted to divers persons
TO au amount exceeding S55, 900 or In
any sUm exceeding S5O, OOJ; deny that
tho company has no means with
which 10 pay It's Indebtedness except
by borrowing money; deny that II II
financially embarrassed or unable "a
/ pay Its creditors, though the plaintiff
has, NJ defendants are Informed,
sought 10 create distrust with tue hope
Of embarrassing the company; that he
has been instru me ntAl la organizing a
rival company with the Intention oi
bringing about crisls In defend ant'i
business, by which its mer ohanditt
will have 10 be- sold NJ n sacrifice.
In addition to this deiendants make
the serious allegation that, 40 they are
| lulOIuntAI IlhlhklAI btlUlo hhNuuDlluk
his position as manager, used the
money OF the company to pay, prefer.
entlally, bills to creditors not due and
| on leaving ovOf-dfew for himself about
81, 285 In addition TO previous over.
draft OF g90i.62 and that he has since
caused distant creditors TO present theiI
accounts for payment; that prior to
leaving he made eKtrsvagAnt puT.
chaEes which had to be- cancelled; deny
that their present stock In not worth
| 5000 affirm that at invoices
hgures II exceeds more than
| 100000; deny that the solvent
outstanding accounts do not reach
$50, 600; aver that they exceed $50, 600;
that the company 10 btill prosperous
tha!iln 1896 IL sold more than $500, 0OU
worth Of goods nj q net profit OF s2U, 900;
deny that they have borrowed money
Of late al rates OF interest higher than
heretofore or In amounts not made
necessary by plaintiffs hostility; deny
that it 10 In imminent danger OF insol
vency--a condition plaintiff 10 endea'
vorinR 10 bring about; denies that
| defendant Clasbey intends borrowing
money from his friends TO pay the debt
OF this company or that lie In way
desires TO inlute the business Interest;
OF plaintiff.
In view Of this showing the defend
ants ask that tho case be- dismissed and
that they be given judgment for theil
costs.