Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1897-02-20
BEFORE JUDGE HILES
Temporary Injunction Granted in Case
Of Stout ct al Us American Gas Co.
CARTER VS. $. L. BUILDING ASSN.
Findings ard D,cree Fin erSd-Ihe
County Appeals-Oihtr Court
Matttrs.


morning in the cnse Of the State OF
Utah, county OF Salt Lake, J. M.
Stout ct al VS. The New American
Natural Gas and Fuel CompsDy,grant-
Ing the issue OF temporary injuno-
tion "a prayed for.
This Is cage wherein the plaintiffs
move for temporary injunction to
restrain the defendant directors OF the
gas and fuel company from collecting
an assessment OF two cents O share,
which was levied on tho 4th OF
December, 1886. Different grounds
nre alleged by the plaintiffs for the In.
Junction, but at the hearing the only
allegation sustained was that former
assessment made on the 2Sth Of Sep.
TENDER, 500, had not been collected
and that the powers OF the corp ration
had not been exhausted in collecting
It and furthermore that it's collection
had not been enjoined.
From the plesdings and evidence In
the case, 1t appeared that suit was
| already pending in the same court,
| assessment OF Eeptembsr 2S, 1896. THE
latter suit was begun on the ION of
| November last, and the court Issued u
| Teetraluing order till tho matter OF
| istu pg an iDjunction was heard. That
| was tina last proceeding in tbs case.
ThB court in giving iIs uecisiUn to.
day, ssyt:
"fbe general question here 10
| whether such an oTuer Ia proceeding
| by which the collection of an ASSESS
ment can be said to be eDjOiued within
the meaning OF eubdivisios . OF section
| 2,376 Compiled Laws OF UIah OF 1855.
| / 1t be not, then the collection - tue
! essessmsnt December Alb, 1896, IL
against the statute which provides
| that an assessment Is not valid whilst
| former assessment is uncollecled, or
the powers OF the corporation In lie col.
l.onon have not been exhausted, un.
less the collection OF such former
assessment has been enjOined.
| ~ am OF the opinion and 30 decide,
that restraining order Is cot such a u
Injunction as is efiectusl to eDioln IN
assessment so that IT may be said to be
'enjoined' within the meaning OF the
statute; but that the statnte means that
tho coiiection of the assessment muat
have been enjoiaed by writ OF In
Junction after o hearing thereon
pending the litigation or perneIuaiIy
as the caae may be. 1t was sa1d upon
the argument that in as much a. the
assessment OF September 2Slb, 1896,
was rescinded by the board of directors
by their resolution Of December An,
| 1856, there Ia no uutstandIn q
uncollt cted assessment, and the res.
training order was made In respect OF
the former assessment. This presents
aquestion which Is not without difll.
Guilty, but l think in view Of the
whole cese that the decision here
should proceed upon a consideration
of the legal status OF the parties on
the 18TH of November, without
reference to the resolution Of Decem-
Der 9Th, 1862
have arrived at this decision with
great reluctance, the evidence at the
hearing showing that the directors
levied this assessment in entire good
faith to get iunos to pay the homes;
debts OF the corporation, ana that III
Its levy all stockholders were treated
with equal fairness. Therefore the
essential justice OF the case would
seem to require that the directors be
unhampered in the levy aud collection
VI assessment for the purposes named;
but hold myself bound by the tech
meal requirements OF the case in ap-
plying This statute.
The best apparent remedy against a
recurrence OF such unjust results seems
to he IN the Judge or court reiraIuIng
hereafter from Issuing restraining
orders altogether In such casee.
| la thia Gaze for the TeAsOns before
stated it 10 ordered that temporary IT. :
ju melton isbue."