Bates Coal Mining Company v. Mannon

168 S.W.2d 408, 205 Ark. 215, 1943 Ark. LEXIS 334
CourtSupreme Court of Arkansas
DecidedFebruary 8, 1943
Docket4-6951
StatusPublished
Cited by3 cases

This text of 168 S.W.2d 408 (Bates Coal Mining Company v. Mannon) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bates Coal Mining Company v. Mannon, 168 S.W.2d 408, 205 Ark. 215, 1943 Ark. LEXIS 334 (Ark. 1943).

Opinion

Robins, J.

This is an appeal from a judgment entered on the verdict of a jury in favor of each of the appellees for $1,500 against the appellant for damages growing out of the death of nine coal miners caused by an explosion in a mine on August 27, 1940, at Bates, Scott county, Arkansas. Separate suits were brought by each of the appellees who were, in seven cases, the widows, and in two cases the administrators, respectively, of the decedents against the appellant and two other corporations and certain individuals, and all the cases were consolidated by order of the lower court. During the trial nonsuit was taken as to two of the individual 'defendants and one of the corporate defendants, and the case was submitted to the jury to determine the liability of the appellant, Bates Coal & Mining Company, Arthur Baines and Ben Bedwell. The jury returned a verdict against only the appellant.

Four grounds for reversal of the judgment of the lower court are here urged by appellant, to-wit: First, that there was no substantial evidenc’e that the appellant was operating the mine at the time of the explosion; second, that there was no substantial evidence upon which to base a finding that the explosion and consequent death of the miners was caused by the negligence of the operator of the mine; third, that the court erred in giving instruction No. 9 at the request of the appellees; and fourth, that the court erred in permitting the jury to consider the doctrine of res ipsa loquitur in determining whether there was negligence on the part of the appellant which caused the explosion. These contentions will be considered in the order set forth above.

I.

The land upon which the mine was located was owned by Mrs. Waring of Joplin, Missouri. She leased it to the New Bates Smokeless Coal Company, by which it was leased to the appellant, Bates Coal & Mining Company.

A written lease under which the property was sublet by the Bates Coal & Mining Company to Arthur L. Baines, trustee of the “Scott County Development Company” for a term of nine years, with an option for an extension of an additional ten years, was prepared and appears to have been signed and acknowledged by the appellant on June 12, 1940. It was not signed or acknowledged by the lessee, Arthur L. Baines, until September 7, 1940, about two weeks after the explosion which caused the death of nine miners, and was not recorded until two days later. Under the terms of the lease it was required that within thirty days after its execution an inventory of all the mining property should be made by representatives of both parties, and that this inventory, when made, should be attached to and become a part of the lease. No such inventory appears in connection with the lease, and Miss Virgie Leather-wood, the bookkeeper at the mine, said she knew nothing about such an inventory being taken. She further stated that she did not know who owned the machinery of the mine. By paragraph ten of the lease it was provided that the lessor might cancel the lease for nonpayment of the royalty or for noncompliance with the terms of the lease, among which was the undertaking on the part of the lessee to operate the mine “in good and workmanlike manner with due regard to the safety of the employees . . . and in accordance with the laws of the state of Arkansas.” Thére was no proof to show that there was ever any such concern as the “Scott County Development Company,” and the managing officer of the appellant, who' had executed this lease on behalf of the appellant, testified that he knew nothing of the “Scott County Development Company,” and that he understood the mine was to be operated by Raines and Bedwell, but that Bedwell did not wish his name to appear a.s one of the lessees. The testimony tended to establish that Raines and Bedwell, either as lessees or otherwise, took charge of the coal mine about the first of August, 1940, and began to -operate it, and that some officials of the miners ’ union were advised that Raines and Bedwell were operating the mine, and that the appellant was not. It was not shown by the testimony that this information ever reached any of the miners who were killed.

Statements showing the amount due the miners for the work done during the first half of August, apparently prepared about the last of August, indicated that the mine was -being operated by the Bates Coal Corporation, and it appears that on, or about, August 9,1940, a payroll bond required by § 8543 of Pope’s Digest, to guarantee payment of wages due to miners, was filed by the Bates Coal Corporation, as principal, with Bedwell and Raines, as sureties. According to the undisputed evidence, the Bates Coal -Corporation did not come into existence as a corporation until October' 9, 1940, or long after the explosion occurred. Bedwell and Ms wife and Baines and Ms wife were the only stockholders in the Bates Coal Corporation. The evidence clearly established that neither Bedwell nor Baines had assets of any substantial character, although they had sworn, in qualifying for the payroll bond, that they were worth $7,500. Bedwell and Baines testified that they were each to receive a salary of $500 a month for their work in supervising the mine, and the testimony showed that Bedwell received a check for $247.50 and that Baines received a check for $245.50 drawn by the Bates Coal Corporation on August 31,1940. Each of these checks bore the notation “Wages half ending August 15, 1940.”

This mine, with the machinery of the appellant used in its operation, was property of considerable value. During the summer preceding the explosion, which occurred on August 27, 1940, the appellant spent from $4,000 to $6,000 in improving and developing the mine. .Since Bedwell and Baines were without means, the only source from which the payroll of the mine could be met was the selling of the coal, which naturally could not be effected until some time after it was mined. Witnesses for the appellant testified that a loan of $2,600 was made by the appellant to Bedwell and Baines' to be paid out to the miners. This money was not placed under the control of Bedwell and Baines, .but was deposited in a bank account called the “Virgie Leatherwood Special Account. ’ ’ It was explained by witnesses for the appellant that this money was to be used only for making loans to miners, and it was charged that it was kept in this special account in order to conceal the fact that the operator of the mine was lending his employees money and charging them an exorbitant rate of interest, and that the appellant was to get half of the profits made out of the lending of this money to the miners. There was apparently some contradiction in the testimony of the witnesses on behalf of the appellant as to the liquidation of this “Virgie Leatherwood Special Account.” Miss Leatherwood testified that she did not know whether the appellant had ever gotten this money back or not, and she stated that when the Bates Coal Corporation ceased operations it owed the appellant $6,252.97. Raines testified that he did not know whether this loan was repaid to appellant or not. On the other hand, the managing officer of the appellant testified that the loan had been repaid, bnt how and with what funds it was repaid was not disclosed.

In the case of Laser v. State, ex rel., 198 Ark. 945, 132 S. W.

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Sellers v. West-Ark Construction Co.
676 S.W.2d 726 (Supreme Court of Arkansas, 1984)
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553 S.W.2d 459 (Supreme Court of Arkansas, 1977)
Mannon v. R. A. Young & Sons Coal Co.
179 S.W.2d 457 (Supreme Court of Arkansas, 1944)

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Bluebook (online)
168 S.W.2d 408, 205 Ark. 215, 1943 Ark. LEXIS 334, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bates-coal-mining-company-v-mannon-ark-1943.