Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1900-05-17
ADAMS TAX LAW FIGHT
Litigation Transferred From the Court
Of ChanCery 10 The Superior Court.
LIEBERMAN SUES SPARKS ESTATE
As Co-obIigor on the Bond of
Peter T. E. Smith. sg,.
SETTLED WITH BANK A MONTH AGO

The fight against the Adams law for
the taxation OF Investments which was
carried on for time in Chancery Court
will be transferred to the Superior
Court, where the constitutionality of
the act is to be tested under suit
brought by the Equitable Guarantee
and Trust Co., az administrators of the
estate Of A lien V. Leslie, against John
]. Donaboe, collector of the Adams
tax In the Northern district OF this
city. In an action brought before the
Chancellor some time ago, he gave the
decision that he did not have iirisdic-
ton and the stop now taken follows a
suggestion made by him.
The trust company paid to Collector
Donahoe the amount of tax listed
against the Leslie estate and now sues
him to recover the sum. Through this
action, the question OF validity Of the
act can be raised before the court. The
trust company Is represented by Willard
Salisbury. Mr.. Dcnahoe will probably
bs represented by John II. Rodney for
the Levy Court, Peter l.. Cooper, Jr.,
for the State and Henry g. Conrad fol
the city, all being interested in the
outcome Of the suit.
Under the law the city receives one.
half Of the Adams tax collected in Will
mington and tho State and county d.
vide the other half between themselves,
The local collectors, Donahoe and
Lewis I. Dickey, had collected some
thing like Sl5,0 600, when the early liti.
CATION was begun and thousands Of
dollars OF that amount are still tied up
on account Of the uncei tainty involved
in the subject.
LrEBERMAN SUES SPARKS ESTATE.
Just month ago yesterday Nathan
Leberman paid to the First National
Bank the sum Of s33, l11.49 in full
settlement OF the judgments entered
against him, under Supreme Court
decision, as a surety for Peter II. n.
Smith, the defaulted paying teller of
the First National Bank. Under the
law, the bank had the right to sue any
one Of the bondsmen and Mr.. Lieber-
man was the one selected. After fight
ing payment for about seven years, he
finally made the settlement as related
Yesterday, one month after that settle
ment, the announcement is made that
Mr.. Lieberman has entered suit In the
Superior Court against the John
Sparks estate as co obligor on the bond.
In addition to Mr.. Lieberman,
Smiths bondsmen were John Sparks,
Christian Messick and Joshua Maris on
one of the two $500 bonds and John
Sparks and Hannah L.Sparks, together
with Mr.. Lieberman, on the other.
The law net only permits the suing
Of ANYONE Of the sureties on q bond,
but it also provides that where one
surety pays the whole of the bond, he
shall be entitled to all execution or
other process against the other debtors
tor proportionate part of the amount.
Upon his paying the s33, Ill. 40, Mr..
Liebermanf received the two SIS, 600
bonds from the henk, and 80 he has
his remedy against other sureties An
appraisement of Sparks property was
made about the time of the settlement,
and the information then obtained may
be useful to MIR. Lieberman 10 his
present suit to make that estate pay a
part of the surety money. Mr.. Lieber-
man is represented by Col. Benjamin