Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1899-10-31
WAIALUA CASE DISCUSSED.
Continued from Page 8.

make any difference whether it is
one share or one-third of all the
cha es that are in dispute, so long
as majority can be obtained for
carrying on the bueiness of the
company. | am at lose, how ever
to discover why this delinquent
stock Is not sold. SIP ,aking with
out reference to legal prec 'dents
for l have not looked up the matter
1 can't see why the owners OF this
stock should enjoy INN unities tina,
are not possessed by other stock
holders. 1t the stock cannot be
sold it puts premium on dis
putes, stock which ie held by a
a peaceful man has to pay each
assessment but all that few men
have to do to escape paying their
assessments is to get into some
difficulty, real or imaginary, over
the ownership of shares and they
are at once excused from paying
till their troubles are over. Such
contention encourages fraud AID
strife. The persons claiming this
stock must see to it that the as
sessm ents are kept up. IL this re-
suits in double payment il is the
misfortune Of the litigation. One Of
the parties surely owns the stock,
the Company don't care which. 1t
is the duty OF the Company to &C
cept assessments from both If
rendered and await the decision of
the court as to whom are the right
full owners. If assessments are
thereby paid doubly paid the Com.
pany will return the sum paid by
the losing party. the owners
must, at their peril keep these az
sessments paid. Suppose a per-
son holds a valid mortgage upou a
piece of land and afterwards a
dispute arises over the title. The
mortgage becomes due and the
mortgage call for his money.
One says to him, L will pay the
sum it you will quiet my title to
the land. The mort agee replies
have 10 power to quiet your title
or settle your disputes. EN- on
ly mortgage the capse of your
dispute arose after my mortgage
was made and all | want IS my
money. The other says. / own
the lad but | won't pay until the
dispute is settled. Then the
mortgage says to them both, |
am sorry for you gentlemen but l
see no other way but to foreclose
my mortgage. Then, in their
wrath they both say, you can't do
it, aud if you attempt it we will
epjoin you by suit in equity. Is
it possible that the mortgages
must wait for his money until the
dispute is settled ? Ii this is the
law the sooner those with money
to lend find it out the better. L
am sure that they will stop lend
ing money Immediately after as
certaining it for they well know
that in every loan secured by
mortgage they are liable TO be
obliged to await the termination
Of suit, or thirty three suits il
you please, that in no way effect
the validity of their mortgages ex-
. pting that they must be tesmin-
a,ed before their security can be
resorted to. 1t would be a happy
day for lawyers, as L
can imagine that there would
the same suits that would last
practically forever. Where is the
difference between the illustration
and the present case ? When the
10000 shares involved came into
existence there was lien upon
them for Sl,G00,000. A question
arises as to the title to those shares
between outside or third parties.
Amounts became due on them SO
cured by this lien and unless the
money be paid, the stock becomes
liable to be sold. 1t will be oh
served here, just as in the mort.
gage, that there is no dispute a,
to the validity of the lien, no d
pute as to the amount due. Let
those who think the loss to the
present stock holders will be trivi-
al be undeceived. Three stock hold
ers own one share or ! each under
the present capitalization but four
stock holders will own one share
or !, each under the proposed in
crease, the holdings being reduced
from ! to The company won't
earn any more on account OF the
plantation being divided into
quarters than it would by being
divided into thirds, 20 The divid-
| anHo tnoioal sc ls,.l 4