Weekly Arizona journal-miner., 1905-06-14
Charles Batres Sues To
Recover Value Of
Same
New Legal Point Raised
Affecting Mining
Operators

AS a result of depositing mining
stock which is alleged to be worth
some $4,000, as security for loan of
$3.50, with the Valley Bank of
Phoenix, and subsequent complications
caused by the death of the head of the
bank, Colonel Christy, there is now
suit pending that is of more than
ordinary interest. The general points
of law at issue as well as the peculiar
circumstances bringing about the
conditions resulting in the legal tangle
makes the case one of special signif-
canoe to those doing mining business
on a large scale.
The story of the transaction begins
in 1902, when Charles Batre secured
a loan in the sum of $3.50 from the
Valley bank, depositing as security
with the bank 5000 shares of stock in
the Cieneguita Copper Company of
Mexico. President Christy, of the
bank, who was a stakeholder in the
Mexican mine, went on the note is
sued jointly with Batre, agreeing to
place as additional security another
5000 shares of stock in that company
Batre secured the money he needed,
and at the expiration of the time in
which the note fell due, was in the
east.
Before the note became payable,
however, the president of the bank,
who made the loan, and who was joint
ly responsible with Batre, died, and
his son succeeded him at the bank.
At the time the note was issued and
the money loaned on it it was agreed,
and the agreement made in writing. a
copy of which Batre holds, that in
the event of it being necessary to sell
the stock held in security, the pro-
ceeds of such sale were to go to the
wife of Charles Batre, after the OBJ
legation was liquidated. The death
of President Christy left it unknown,
so the defendants allege, that such a
receipt had been made, and when
the note fell due and was not paid the
collateral stock was taken as forfeited
and the note itself destroyed.
Vhan DATE loAo E
stock and wanted to settle, the bank
officials said he owed them nothing,
and that they knew nothing about the
transaction as made by the deceased
president of the bank. Batre then
brought suit to recover what he claims
is due him, the value of the stock in
question having increased to about
$4,000.
The first case came before Judge !
Kent at the end of the term then in |
session, but before the case was fin
ished Judge Kent became seriously |
III, and the matter was necessarily put
over to the next term.
When called for trial at the following
court term Batre was in New York
IN urgent business, and one of his at
.orneys and one of his witnesses was
n Kansas City. Upon the showing
made at this time the case was dismis-
'ed without prejudice, by Judge
Kent, which to the layman means that
he matter had been indefinitely post
,oned.
Judge Kibbey and Attorney General
lark, who represented Batre both lat
r received official appointments, and,
f course, withdrew from the case, and
Attorney A. L. Hammond of Prescott,
vas employed to prosecute the case
" Batre.
Attorney Hammond, who had been
ssoeiated in many of his cases with
attorney General Clark, was familiar
nth the suit, and has since taken IN
ctive interest in preparing it for trial.
It the next term the matter will come
p for hearing on its merits, and Batre
opes to show that he is entitled to the
Inference between the amount of his
IAN with the interest and the market
alue of the stock at the time it was
with costs of suit and in
rest on the balance claimed, from the
me he demanded his stock. [
The suit is especially interesting, as
lie exact points in issue have never G
cen passed upon by any court in Ari- !
ina. The result viii prove to what a
Ztent a bank holding collateral can {
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