The Denison review. [volume] (Denison, Iowa) 1867-current, 1913-12-17
RELIEVES SHAW
FROM PAYMENT
Judge Arthur Rules That the Check
in the A., N. E. S. Deal Shall
Be Cancelled.
ATTORNEY HESS is ENUMERATED
elakedeI Company, in Whose Name
Shaw Bid Was Made, Insisted
Hess Had No Authority.

eIakede|I Company, in Whose Name
Shaw Bid Was Made, Insisted
Hess Had No Authority.
Council Bluffs, Dec. 10-Certified
checks for $14,5OO, rendered by John
J. Hess in behalf of the Blakedell
company when the Shaw interests
were making an effort to acquire the
Atlantic Northern e Southern rail-
way and later repudiated by Shaw, will
not have to be paid, according to a
decision handed down by Judge Thos.
Arthur here Wednesday afternoon.
The court sustained the contentious
of the Blakedell company throughout
except in their charge that Attorney
Hess had no authority to bid for the
road at the sale last May. In this con-
nection the court opined that Hess was
acting according to instructions, and
that when he filed the bid he had not
been advised to the contrary by the
Shaw syndicate.
The motion of the Blakedell com
checks was presented to the court at
Atlantic last September the opposing
litigants agreeing that Judge Arthur
might hand down his decision during
vacation time. Judge Arthur made
his ruling Wednesday afternoon, send
ing copy of the decree to the clerk
Of the court at Atlantic during the
afternoon.
1t will be remembered by those who
have followed the efforts of Shaw and
his associates to gain possession OF
the A. N. & S., that he, filed bid for
the road at a sale conducted in At.
lantic May 18th, last. The bid was
fled by Attorney Hess, who has rep.
resented Shaw's interests during the
past two years, and was accompanied
by certified checks for $14,70O.
Scarcely had the bid been filed than
q telegram was received from the
Blakedell company ordering the can.
collation. of the bid, and declaring
that Hess had no authority to act for
the Blakedell company. They asked
that the certified checks deposited
with the bid be cancelled.
When the case was tried, officials
of the Blakedell company emphat.
ically denied that Hess was author
lied to act for them. On the other
hand, Hess declared that he did not
receive the telegram ordering him not
to make the bid until after it had
actually been filed. The fact that a
telegram was received by Hess in
Dictated to Judge Arthur that the at.
torney had acted under instructions
to bid for the road. else there would
have been no occasion for telegram
cancelling these instructions.
Three Checks on Denison.
The checks were certified by the
Bank of Denison, which sought to
have the case tried in Crawford cOun.
ty, but this motion was Overruled by
Judge Arthur. Hess now has petit
ton of Intervention on file seeking
to attach the certified checks in COM
pensatiOn for his two years or more
of service for the Shaw interests.
Although the amount of the checks
deposited by Hess with the bid tot
allied $14,7OO, checks totaling $14,5O0
we're involved in the motion of the
Blakedell company to vacate the or
ders of court on the bids. Three
checks made up the total, one for 49,.
900, another for $4,000 and third for
$1,000.
In his ruling Judge Arthur especial
w points out that the cancellation OF
the Shaw bid worked no injury to the
railway company, as it was sold few
DAYS later upon bids for which the
estate realized substantially as much
as the amount of the Shaw bid.
Judge Arthur's ruling is entered in
the district court of Cass county in
the suit of Shugart & Barnes Broth
ers and others against the Atlantic
Northern & Southern Railway COM
pany and others. The text Of the rul-
ing in part follows:
Sustains Shaw Concern.
That upon the while cause submit
ted the equities are with the Blake
dell company, and that the Blakedell
company is entitled to the relief
prayed in it's motion or petition. The
court, however, finds that the bid made
for the Blakedell company on May Is,
1918, by John j. Hess, attorney, was
not made in violation of instructions
and without authority, as claimed by
the Blakedell company, but on the con-
trary. that such bid was made in &C
cordance with the instructions Of the
Blakedell company and by express
authority from such company.
The court finds, and it is upon this
hnding that the court bases his find
ing, that the equities are with the
Blakedell company, assembled In the
city of Chicago on the fifteenth day
Of May, 1913, decided not to bid upon
the property In question and to can
eel the authority which they had CIV
a to John ]. Hess. attorney. to bid
for them, and that such Officers wired
John ]. Hess. attorney, not to make