The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-02-07
SUIT AGAINST
De LAMAR BEGUN
How He Acquired and Operated
His Nevada Gold Mines.
WANTS THE PROFITS DIVIDED
CLAIMS THE SUM OF 5000, 500
UNDER CONTRACT.

Details Of the action brought in San
Francisco against Captain J. r. De
Lamar for a division of the profits
which he made in the Nevada. mines
now belonging to Bamberger's De Ia
mar company, appear in the coast pa
pers Of Thursday. The nominal plain
tiff in the case is the Utah Nevada
Mining company, though, according to
the complaint, Isaac Z. Blake. through
whom most OF the properties were &C
I CURED by De Lamar, is the real PARTY
at interest. The sum Of s.. 260. 500 hinges
on the outcome of the litigation. so it is
no wonder that a strong array Of legal
talent appears for each side and that
a lively wrengle took place while the
hrst witness was being examined is
not TO be wondered at.
The case was opened before Judge
Morrow and a jury in the United States
circuit court on Wednesday. For the
complainant appeared Houx & Barrett.
George =. Bates, James O. Mcclure, ".
II. Nelson and Hiram johnson The
defendant was represented by Pillsbury,
Madison & Sutro and Lindley & Eich-
or
The first witness in the case. Isaac
j.. Blake, had been putsons the stand,
oral contract entered into between
himself aud the defendant, and one
upon the. Interpretation of which the
outcome of the whole suit hinges,
when a wrsngle between the attor-
neys ended in the court ordering that
the jury be excused for a day. This
was done that the attorneys might sub
nit arguments to the court, and ia
this manner come to some sort of an
testimony is to be introduced.
History of the Case.
The story of the case is told in the
complaint. The complainant asks for
damages to the extent OF 81, $50 500, to-
gether with interest This sum is the
amount alleged due him as 40 Rer cent
of the net profits and dividends of the
mines named below. The following is
the history Of the litigation as told in
the complaint.
On Jan. %, 1894, D. A. Reeves, Frank
Wilson. A. W. Ellis and W 9 Parian,
owners Of the Monitor Monitor No ?,
Monitor Dump, the Princess, the seq
regated west half of the Cliff, an undi-
vided quarters of the Millionaire
an undivided seven-eighths Of the
Lucky Bar mining claims in the Fer
gusOn mining district, Lincoln county,
Nevada, agreed to sell the same to
Samuel T. GOdbe of Utah, for $685.
333 SO casn, within thirty days. or on
the payment Of S200. 600. of which $40, 600
was to be paid in thirty days, and the
remainder in three equal payments in
six. eight and ten months.
The agreement required Godbe to
pipe water into the property, and to
erect a fOTty-stamp quartz mill 20 cost
from $4,000 to SS0cOO, and TO operate
fFr mines in on economical manner
How Deals Were Worked.
Il was stipulated that should default
be made in any of the payments, Godbe
should forfeit Immediately to the OWL
eTs al payments previously made, to-
gether with an undivided half interest
in all improvements made on the prop
erty by him.
On March 10 1894, the time set for the
making of these payments was extend
ed sixty days in consideration Of S3,VVO
paid them by GOdbe.
on Jan. q, 1884. James Nesbitt,
George Nesbitt, Mrs. Julia McFadden
and II. A. Cohen, owners OF the Jim
Crow mines, adjoining the property,
made an agreement TO sell to Godbe
for s150.00O under similar conditions TO
those prescribed for the sale of the
Monitor claims. Immediately after Sc
curing these agreements Godbe went
to New York and sold his options 10
Isaac Z. Blake. The latter, on April !,
1884. made an agreement with De La
mar whereby the mines were TO be
taken and worked by De Lamar, he 90
receive 81 per cent OF the stock and
dividends and Blake to get 49 per cent
Of the net profits
Costly Disagreement.
s disagreement then arose between
the sellers concerning the exact ioca-
ton OF the apex OF the vein in the jim
Crow mine and the Monitor Dump
mine. and because of this controversy
Blake and De Lamar, on April q, 1894,
obtained the conveyance to De Lamar
Of the legal title of the Monitor proper
ties for 500. 600 and Of the Jim Crow
mine for $4,000. De Lamar taking pos
session OF the mines and continuing &c
work them.
In the latter part Of the year 1894 De
Lamar incorporated the De Lamar Ne
vada Gold Mining company and trans
ferred these mines 10 the new corpora
ton.
II IS alleged that De Lamar has re-
ceived from the profits large amount
of Tn01ev. ard that he has stated that
he has taken SIS 600 out OF the
mines. Of which 100000 were net
profits Further, it is alleged that ne
has not turned over 70 Blake or the
complainant the 40 per cent Of the
profits. excepting s., 363.44, and that the
complainant is. therefore, damaged 70
the extent Of $3.50, 500, together with
interest.
MINING STOCK EXCHANGE