Imperial Valley press., 1913-03-20
COURT RULING BENEFITS
IMPERIAL LAND CLAIMANTS

I.l4 Angeles Timesl: The opiuior
lF Judge Courey in the case of III,
e Insurance ana Trust Con7pan!
Versus California Development Com
pans is. considered Of great importanc,
to the people Of the Imperial vale!
in as much as il authorizes the re
ceiyer for the California Development
Company to enter into contracts will
several mutual water companies to sup
0lv ther,, without fr.St recurring then
20 pay to the California Development
Company $40 a share for all watel
stock issued Thousands Of person.
will be benefited.
Heretofore the California Develop
ment Company had demanded that an!
mutual comnany receiving water from
il must pay SO share for every share
SOLD ny the mutual compa nies.
Recently a number of small com
panies have been organized and de
md was made upon the receiver for
the California Development Company
for water at the prevailing acre fott
charge of - cents without the pay
ment of this $40 Der acre. or share
Receiver II olaDird, having surplus
Pr water. was agreeable to the prop
osiuon and an application was madt
10 The court to authorize him to fur
nISh water to InDerial East Side Wa
Ter Company aud Wafer Company NJ. ,
Attorneys for the creditors objected on
AAiI OulluS lIdI III SIdnlinS InlS du
thority the court would be doing an
injustice to the wafer companies which
had already paid SO an acre for the
same privilege.
The case was heard by Judge Conrey
and in his opinion he says
All - the parties before the court,
including the plaintiff and the various
creditors OF the defendant. agree with
thr recetNe~ iu thc.r opinion that the
receiver should supply water to these
several companies. or their stOckhold-
erS and that d." proposed contracts are
satisfactory with one exception. This
eX option raises the only objection pre-
sented for consideration.
a certain paTag graph in the propos e d
contract i a follows: II is furt er
understood and agreed that in consid-
Grafton Of the performance Of the fore
go.r@ agreement On the part of the
sa PIX second PARTY said first party shall
relinQuish all Claims to any norton Of
III rec eipTS from the sale of stock OF
ss!,i second party for lands within the
exterior bound aries above deScrib ed.
"fn view Of the fact that the claim
of right above noted has been asserted.
and that certain large creditors of the
deN NelcTmeDt oomDany continue to as
sert that such right is a valuable as
set II IS not surprising that the cred
uors should object to any transaction
which they fear would release or di-
nlniSh the value of that asset.
II appeared at the hearing to be
the opinion Of the counsel before the
court. or at least some Of them, that
in authorizing these contracts the court
hGs the power to authorize the receiver
70 make contracts Of this kind which
viii be binding beyond the period Of
the receivers hip IN making this deci-
Sios- assume that this opinion is cor
rFt't.
The substance of Judge Conrey's
finding is that the receiver may make
contra cts with mutual companies which
NTh he permanent and need not re-
qurre the payment of SO a share which
ma heretofore been charged.
Receiver Robinson of the local land
office states that in his. oDinion the
commissioners Of the general land Of
nee viii consider these agreements as
all thar i necessary for entrymen TO
make final proof and obtain their pat
ents and all Of the attorneys who have
been interviewed are of the opinion
-h2- H3 anpeal will be taken by the
attorneys for the creditors.
I. VIII be possibly II irty days before
tie land office will set positive de-
ctsiOn from Washington. but the matter
is to be taken mp and urged to a
: i;;3-k decision just aS soon as the first /
final proof is offered On any lands .
n Waived.