Arizona republican., 1897-10-12

on the market; but whether or not they were informed or had notice at that time that he did not intend to pay the purchase price agreed upon, or only as he realized it from the sale of the stock of his projected corpora ticn, I am unable to state.
 That some time prior to the 18th day of October, 1892, ,Cowland and War ner, as a result of previous negotia- tions between them and said Lawler and Wells, secured from the latter an extension Of the time for the payments required under said contract of May 12, 1892, and at CT about that time, said Wells and said Lawler were informed and had actual notice that said War ner, Or said Cowland, and both of them, were either unable or had no desire or intention of making any fur ther payments on the said contract of May 12th, 1892; and were either obliged or intended to look to the receipts from the sale of stock in this corporation and from ore and bullion to make the future payments and find as a fact that all payments made to, and received by Lawler and Wells from the time these negotia- tions which led up to the extension of October 18th, 1892, were received by them with actual knowl- edge and notice of Warmer and Cow lands intentions and that all such payments were received by them with constructive notice that they were derived from the sale of the stock of the Seven Stars company, and that all additions and improvements made on these properties and all expenses incurred in the production of ore and bullion therefrom were paid from the funds received from a, similar source.
 THIRTEEN I'll
 That there has been paid to said Lawlen and Wells for an on account of the purchase price. of his proper ty the sum of two 1aundre$ and seven Seen thousand dollars (s417, ,O0O or therenbouts, and in addition thereto, a large amount of money for machin- cry and improvements thereon, and in the development thereof, the exact amount of which, as well as what proportion of the said several sums was derived from the sale of the stock of the Seven Stars company. it is unnecessary to determine for the purpose of this decree.
 FOURTEENTH.
 That on or about the Sth day of May, 1893, said Warner being insol- vent, made an assignment for the benefit of his creditors Ito one Hedges: that thereafter, through ne gotiations carried on partly before that date, through said Hedges, with defendant Wells in Present., and Lawler in Chicago. and parily there after by Warmer himself, an arrange ment was made and entered into with Dawler and Wells, they having actual notice of Warmers then financial con- dition, for an extension of time for certain payments, about to become due on said Cowland agreement: and as a result of those negotiations, an agreement for an extension was en- tered into, in which. among other things, it was provided that certain debts of the Seven Stars company which were them pressing, and which were liable to involve these proper ties, and which amounted to about forty thousand dollars, should be paid and discharged, that Lawler should be made manager for said Seven Stars company, and that Law Ter and Wells should have as a bonus stock in the Seven Stars company, Of the par value of fifty thousand dollars, all of which was acceded to by Warmer and the directors of the Seven Stars company
 And on the 18th day of May, 1893, said Lawler was made manager of said Seven Stars company, accepted said position and went into posses sion of said mines and min ing properties for and on be- half of and in the interest of said company, and not otherwise.
 That at the time of making this ar rangemenlt Warmer induced Warner Miller of New York to raise or as- sist in raising forty thousand dollars necessary to pay off the pressing ob- legations of the company above re- ferred to; and said Miller did provide said funds; but under just what cir crmstances nor whether defendants Lawler and Wells had notice of who provided the funds, or under. what circumstances, I am unable to state. But from the foregoing facts, they had notice that such funds were not the funds of Warmer, and that said funds and actual notice that said funds were used in the payment and discharge of indebtedness which was charge against said property.
 That after said Lawler took pos session of said property for and on behalf of said Seven Stars company he closed them down, and no effort
 was made to operate the same and the same remained idle up to and includ- ing the first day Of September, A. D.. 1 1893.
 FIFTEENTH
 ] That after said Lawler was
 made manager and took pos
 session of the said prop
 erty as aforesaid, said Seven Stars Gold Mining company contin- ued to make payments for and on &C.,
 count of said Cowland contract as
 amended and modified in May, 1893
 and, made each and every payment
 hereunder up to and including the
 month of August, 1893; which said {