The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1918-02-07

should have a dependable source OF
supply of reasonably uniform COM
modify for the smelling operation oil
itself and its associate companies.
1t was contemplated, however, and
within the minds Of the parties, thai
there would be some of the mini lg
company's ores that would not, in the
usual course of concentration, com
port with the normal standard; that
some Of them would fall below the
minimum of assay and some above
the maximum comprising the normal
grade; and as to these the parties con-
Cured in a different contractual treat
ment The smelling company was ac-
corded the option to purchase these
products at the best going market
rates and terms, and also any ores
shines and concentrates that might
carry copper, zinc or other metals OF
commercial value, the payment for
which was not provided for in the
agreement. As to the meaning AMI
intendment of this part of the agree
ment, Judge Lindley has given "a very
clear and lucid Interpretation. Adj
dressing letter to Mr.. Rust on the
subject, of date March 7, 1906, he says:
Judge Lindley Quoted.
"The Tacoma company had an alb
solute right to and was required to
take all ores, shines and concentrates
whose lead contents were not 30 per
cent and less nor rs per cent and more.
The price to be paid for this product
between the maximum and minimum
was fixed by the contract, AS to the
product varying from the above analy-
sis, the Tacoma Smelling company
had the option to purchase at best
going market rates and terms and it
is quite clear that until some notice
was given of the exercise of this OPP
ton the Bunker Hill company had the
right to deal with such product as it
saw fit. 1t is also quite clear that you
could not have been compelled to take
any product of 30 per cent and lower
or rs per cent and higher.
Il understand that this interpreta-
ton of the contract is concurred in by
Mr.. Chickering, your counsel in this
city and the counsel of the American
Smelling & Refining company in New
York. To say that the spirit of the
contract was that the Tacoma smelt-
er should have all the product of the
mine regardless of the lead contents is
to practically nullify the express letter
of the instrument. | know of no rule
of law which sanctions this method of
Interpretation"
The parties have since acted in pur-
suance of this intern ertation until the
coming on of the differences giving
rise to the present controversy. Of
these | will have more to say later.
Freight and Treatment Deductions.
Referring to the provision in the
agreement, under the head of "Deduc-
tions," which requires that from the
value of each lot Of products contain
ing not less than daily average of
" tons, nor more than 81, of metallic
lead shipped to the smelling com
panys smelter at Tacoma, there shall
be deducted certain freight and treat
tails for ore the lead assays of which
range above or below SO per cent, it Is
insisted that it is the intendment of
the agreement that this ore shall be
shipped to Tacoma and that it consti-
.utes a breach of the agreement to di-
'ert it elsewhere.
That the parties did not so under
tand it is apparent from their dispo-
ition of these ores, for since enter
ng into the agreement, they have been
Inverted to suit the convenience of the
company to smelters of the
5. IL r. company, with the knowl-
'dge of the mining company, and 1t
vas not until the present controversy
rose that 1t was claimed it was oblig-
tory upon the smelling company to
eceive this class of ore at Tacoma.
1t is quite obvious, from a consider
.tion of the history Of the draft of this
greement how the particular sentence
shipped to the smelling companys
melter at Tacoma" came to be writ
en- in that way. BY the previous
greement of May 81, 1904, known as |
Exhibit F, the smelling companys en-
ire purchase consisted of q tons min
mum and 81 tons maximum of lead |
er day under the identical terms in
orporated in the present agreement.
he A. S. & r. company's agreement,
date April IL, 1904, Exhibit G, was
D purchase a minimum Of 40 tons per
ay on terms coinciding with the gen.
raj terms of the purchase of ores run
ing from 30 per cent to rs per cent |
IN