The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-03-10
ACCOUNTING Is
ASKED OF DOOLY
Supreme Court Orders State
ment in Norton Estate.
TRUSTEE 20 YEARS AGO
OPINION SAYS he VIOLATED HIS
TRUST TO DECEASED.

After a lapse of about twenty years
John L. Dolly must make an account
ing in the estate of W. a. Norton, de-
ceased, Of the funds received by him
as trustee of said estate In so rul-
ing I'm the case Of William II. Felix
ner, et al, W. John L. Dolly, Associ-
ate Justice McCarty of the state SUI
preme court holds that DoOly could
not divest himself of duties evolved
upon him as trustee and bid in the
Norton property for himself.
When the Norton estate was sold at
sherins sale about eighteen years ago
IL was bought in for about 100000, the
aggregate amount of the mortgages
and liens against it. In the suit OF
j. r. Hamilton and john :. ROher vs..
John l.. DOoly. IL was alleged upon
information and belief that
the amount held by Dooly so received
in payment of said property is over
S500.O 900. That the defendant, in vio-
lation or said trust. so placed i'm him,
as aforesaid. has mingled with his own
funds the money arising from the sale
of said property as aforesaid. and has
converted the same TO his own use
Dooly is Made Trustee.
The facts in the case, so far as ma
terial N the determination Of the ques
70 be as follows:
On Feb. y, 1888. Norton executed to
Dooly two prOmissOry notes for &c.
600 each, and to secure their payment
gave him a mortgage on an undivided
1WO-thirds interest in the Charles
Dickens mine. The same year Norton
borrowed $4,000 from w. s. McCOr-
nick. giving him mortgage on the
remaining one-third undivided interest
I'm the mine, which had been trans
ferred TO him by another party On
June 20. 1894 Norton conveyed the
mortgaged property 60 Dooly, with
other property, in trust, TO convert the
property into money and pay his debts.
At that time Norton was sick in
hospital. and expected to die. At the
same time Norton executed a will.
making Dooly administrator, with the
power TO take possession of all prop
erty and Ito turn the same into money
and out of the proceeds to sat
isfy, pay and discharge all just debts
and liabilities, and the costs
Of administration, and to distribute
and pay over all the residue of the
proceeds to Wilson and Mar
garet Norton" father and mother of
w. a. Norton.
Death Causes Litigation.
Norton died July Il, 1884, a little
less than a month after the trust deed
and will were executed. That same
year seventeen lien claimants began
foreclosure proceedings in Idaho. They
sued for wages. When the case came
10 trial the claims of Dolly and Nc
Cornick We're included. The latter was
given lien for $25,610H, DoOly for
S22S6S.t1, and the seventeen contest
ants S6.442.40.
A sale was made pursuant TO the de-
crees then entered, in 1886, to r. c.
Chambers, who acted as trustee for
Dooly and Mccormick. No redemption
was made, and on Jan. -, 1887. the
time for redemption having expired,
the sheriff who made the sale issued a
deed 10 Chambers who at the request
of Dooly, transferred the property, by
deed, TO John a. Marshall, trustee, and
on tlte same day Dooly received the
money for the property which plain
lifts civilian II. FeIkner, ct all are
now seeking to make him account for
Dooly Accused of Fraud.
on Dec. Is. 1857, Hamilton & Rohrer.
two creditors Of Norton, sued Doolv
in which they alleged the same trust
in their favor that appellants alleged
IN this action. 1t was they who al
legged that DOoly, through third par
ties, bought the property for which he
was acting as trutee, for the amount
o. the mortgages and liens, and then
HoiA IL ~ 4IilElSn DdIAlES IOE ABOUT
100000. Dooly won in the district
court, but the supreme court reversed
the case. The famous Hamilton case
was then made a part of the suit in
question, William II. FeIkuer. ct al. Us.
John L. Dooly.
on Jan. 16. 1900. the plaintiffs sued
Dooly TO compel him to account for
all funds that have come into his
hands by virtue Of this trust, includ-
in gthe proceeds Of the sale of the
two-thirds interest in the Charles Dick
ems property, which they allege are not
less than $4,000 and without DELAY
pay into court whatever balance shall
he found upon such accounting 70 be
in his possession. and that a receiver
by appointed by the court TO take pos
session of and sci 1.-The undivided half
interest OF the Hidden Treasure mine.
held by DoOly by vurtue of his trust
and all other property and money that
may be found in his hands by virtue Of
said trust"
In his answer D0oly held that the
money received by him for the sale
OF the Norton property was in trust,
and that no accounting should be de-
manded. The remainder Of Justice
McCarty's opinion is devoted to show
ing that the alleged 100000 was re-
ceived ina trust, and that he must make
an accounting of the Norton trust for
the benefit of the heirs of the estate.