The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1899-08-17

The New York. ontario and West
| ern Railroad company yesterday began
an action in equity against the North
west Coal company, which aims
deathsblow at the proposed new coal
carrying road. The plaintiff asks for
an injunction to restrain the defend
ant from shipping coal from the Simp-
son and Southwest collieries, in Fell
township. over any other road than the
New York, Ontario and Western.
Judge Edwards granted a preliminary
injunction and made it returnable on
August 80.
1t is alleged by the plaintiff that on
February ., 1889, the Northwest Coal
company was organized, with G. ID.
Simpson as president. r. II. Watkins
as treasurer, and w. G. Parlte as Sec
retary. That they were organized for
the purpose of mining and shipping
coal from two tracts which they leased
in Fell township. on these tracts they
built the Simpson colliery and the
Northwest Colliery. At that time the
plaintiff company owned and operated
railroad from Wechawken, \. j., to
Oswego and Lake Ontario. the said
road passing through Hancock, y. Y.
The bill in equity then proceeds as fol-
lows:
THE AGREEMENT MADE.
"The officers of the defendant COM
pany urged the plaintiff company to
construct branch road from Hancock
through Forest City and Carbondale
to Scranton. They desired this so that
they might be enabled to ship the pro-
nf Ia TO fa,
over their road As an inducement to
them to build the road they agreed to
ship 100000 tons of coal annually over
their road.
This amount was necessary in order
to insure the financial success of the
road. In order to make it pay the COM
pany had to have the necessary ton
mage and a contract was entered into
whereby the defendants agreed to ship
the product of the two mines over the
New York, Ontario and Western to
tidewatcr
"On the strength of this agreement
the plaintiff caused to be organized the
Scranton and Forest City Railroad
company, running from Scranton to
Hancock. where it connected with the
main line of the plaintiffs road. Be
sides this yards had to be constructed
along the branch and also along the
main line, docks had to be built at
Weehawken and a great expense in
CURED.
The contract for delivering the coal
by the defendants to the plaintiffs was
to be binding until the coal in the two
mines should be exhausted. 1t was
also to be binding upon the assigns Of
the company.
RAILROAD CONSTRUCTED.
"On the signing of the contract the
plaintiff company constructed the rail-
road as agreed and combining with two
other companies organized what is
known as the Ontario. Carbondale and
Scranton Railroad company. The road
was put in operation July l. 1890, as
was agreed. They did this at an eX-
pense Of several hundred thousands Of
dollars
They claim that had they not had
such contracts made and expected the
fulfillment of the same they could not
have constructed the road. At least il
could not have done so without the
tonnage specified in the contract,
which is from one-tenth to One-siX-
teenth Of the total business.
THE shipments for the defendant
company commenced in September,
1890, and We're continued until June
1899. The shipments went on after 1890
to January. 1891, when the defendant
consigned all of its coal to Dickson IL
Eddy in New York. but it still shipped
over the plaintiffs road
Up to the present year the defend
ant company has shipped an average
of 1,0O5, 02405 tons per annum over the
plaintiffs road. The rates were more
favorable than could be secured from
other companies.
THE defendant ceased shipping over
the New York, Ontario and Western i'm
July and has shipped $4,000 tons over
the Erie railroad The life of the prop
erty in all probability will not extend
beyond 1909, At that time the leases
Will expire.
COMPANY FORMED.
During the year 1898 the said Simp-
son & Watkins, together with other
persons engaged in mining anthracite
coal, organized a corporation under the
laws of Pennsylvania with the avowed
purpose of constructing a railroad over
which they would transport coal, the
product of their mines thereby taking
the tonnage from other railroads then
existing.
During the winter of 1898 the plain
tiff was requested to Join with many
other companies in plan to buy up all
the collieries of the so-caled individual
operators, but refused to do so. The
other companies proceeded. and haV-
ing secured control of the Temple Iron
f.,N,,,
the capital stock of the mining corpor-
atiOns in which Simpson & Watkins
We're interested, including all the capi-
tai stock of the Northwest Coal COM
pany
"On June 90 they stopped shipping
coal over the plaintirfs' road. The lat
ter continued t. run empty cars i'm TO
the breaker, but the defendant would
run them out again, and finally locked
the switches leading to their colleries
and refused to receive or load any more
Of the plaintiffs cars. The defendants
now desire to ship their coal over the
Jefferson branch of the Erie to the Erie
road, thence to tidewater and distribut-
ing points. This would be an irrepar-
able injury to the plaintiffs"
They ask that the company he COM
PEELED to open the switch and continue
to ship the coal over their road
Tonnage is what the proposed new
railroad wants, There are many COM
panies like the New York, Ontario and
Western that have similar contracts
with carrying roads, and If they can
all hold their tonnage the new road
will never be built
COURT HOUSE NEWS NOTES.
MnrN npcknr NnsIarlnN hrnnnht IN ~