Drake v. Lacoe

27 A. 538, 157 Pa. 17, 1893 Pa. LEXIS 1396
CourtSupreme Court of Pennsylvania
DecidedOctober 2, 1893
DocketAppeal, No. 133
StatusPublished
Cited by16 cases

This text of 27 A. 538 (Drake v. Lacoe) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Drake v. Lacoe, 27 A. 538, 157 Pa. 17, 1893 Pa. LEXIS 1396 (Pa. 1893).

Opinion

Opinion by

Mb. Justice Dean,

The plaintiffs to No. 3, November Term, 1888, of the common pleas of Lackawanna county, filed this bill against defendants, praying for an accounting as to certain coal royalties pa}rable to them under two certain sealed instruments executed and delivered by their ancestor Gharles Drake, dated respectively the 28th of November, 1863, and the 13th of April, 1865. The first dated agreement granted to Ralph D. Lacoe and J. B. Shiffer the coal on a tract of land in Lackawanna county, containing about 78 acres, excepting from its operation the upper vein. The term of the lease was for ten years, and such other and further time as the lessees should continue to pay the royalty. The lessees agreed to pay a yearly minimum rental of $500, semi-annually, on the first days of October and April of each year, for which they were granted the privilege of mining and carrying away five thousand tons of coal, “ miners’ weight,” at ten cents per ton, and agreed to pay the same price per ton for all coal mined. The lease granted the usual mining rights, with the right of constructing all shafts, tunnels, slopes and air-shafts, and the using of all the surface deemed necessary. It was agreed that the lease should be forfeited if at any time an installment of rent should be unpaid for a period of six months.

Subsequently, this agreement was assigned by Lacoe and Shiffer to the Massachusetts Coal Company, and on the 13th [31]*31of April, 1865, Charles Drake leased to the same company the upper vein excepted in the lease to Lacoe and Shiffer, and by same contract granted the right to convey over or under said land, the coal contained in the same vein on a forty acre lot adjoining, known as the “ Zeph. Knapp lot.” The coal company agreed to pay semi-annually a rent or royalty of ten cents per ton, “ miners’ weight,” and in addition to deliver to Drake, his heirs or assigns, free of cost, fifty tons of lump or prepared coal as he might elect, annually, during each year the lessee mined the coal of the lessor, or upon the forty acres adjoining, or in any way passed over or \ised the land to Drake. By its terms, this lease was made subject to the provisions of the lease between Charles Drake and Lacoe and Shiffer, as to its continuance, the payment of taxes and the inspection of books, as well as in the conduct of the mining operations, in a workmanlike manner. Both leases were afterwards assigned to R. D. Lacoe and J. B. Shiffer, who, with one Gaines, leased the coal in the seventy-eight acres to the Glenwood Coal Company, at an advance in royalty payable to themselves, and under different terms as to forfeiture and other provisions from those contained in the lease with Charles Drake. From 1872 to 1876, the Glenwood Company mined from the upper vein and reported the mining to Lacoe and Shiffer, and Lacoe and Shiffer sent a statement of the number of tons of prepared coal to Charles Drake or his devisees. Charles Drake died in 1873. His devisees, who are the plaintiffs in this suit, Thomas Drake, Ebenezer Drake, George K. Drake, have owned since his death and still own their interests in the land. Lyman K. Drake’s interest was conveyed, and his interest in the accrued royalty assigned, to M. W. Morris and Isaac Everett.

Twenty-seven thousand eight hundred and sixty-eight tons, 12 cwt., of prepared coal were mined from 1872 to 1876, as reported in the statements. The Glenwood Company became insolvent, and Messrs. Lacoe and Shiffer repossessed themselves of the land and coal and again leased to John Jermyn and others.

The defendants paid the $500 minimum royalty semi-annually as required by the first lease. The plaintiffs, a short time before this suit, complained the returns were not by “ miners’ weight,” but in tons of twenty-two hundred and forty pounds [32]*32of prepared coal only, and so made a demand for payment with interest for the coal mined, and demanded that it be mined and returned in “ miners’ weight,” in accordance with the lease. The defendants refused, and the plaintiffs immediately after-wards filed the bill in this case, asking for an account, that the lease for the upper vein be declared forfeited for nonpayment of royalty, and that they have such other relief as to the court should seem meet.

The defendants, in their answer, do not deny the averments of plaintiffs’ bill as to the execution of the lease to Lacoe and Shiffer and the Massachusetts Coal Company, nor any of the material facts set out, except that averring default in payment. They aver, however, that the leases had subsequently, by the construction put upon them by both parties, become merged; that they were treated as one instrument, and the minimum royalty of $500 stipulated for in the first lease constituted their maximum liability as to annual payments under both leases ; that this sum had been paid by them and accepted by plaintiffs as in full of all demands.

They further averred, that they had accounted in tons “ miners’ weight ” for all coal mined according to the reasonable interpretation of the lease, and denied plaintiffs’ right to assert a forfeiture of the lease for the upper vein, because: 1. They had fully accounted. 2. If any such right could be asserted under the words of the grant, plaintiffs, by long delay, had waived their right.

The issue was referred to W. W. Lathrope, Esq., as master to take testimony, find facts and suggest decree. He had many hearings, took the testimony of more than forty witnesses, which, with much documentary evidence, is presented to us in more than 300 pages of the printed paper book.

The master finds as a fact, which is not disputed, that no coal was mined under the first lease, except about 700 tons. He also finds that the $500 minimum royalty provided for in that lease was annually paid in cash to plaintiffs. And further, from the years 1871 to 1876 inclusive, while the Glen wood Coal Company was in possession of the property, the 27,868 tons, 12 cwt., of coal were mined from the upper vein, the one granted to the Massachusetts Coal Company by the second lease of 13th of April, 1865.

[33]*33If the number of tons, by a proper interpretation of the term “ miners’ weight,” be correct, and. the $500 minimum royalty to be paid annually on the first lease of the lower vein, can be transferred and applied in payment of this coal mined under the second agreement from the upper vein, then plaintiffs have substantially been paid in full; there is nothing left of serious contention between the parties.

As to the meaning of the term “ miners’ weight,” much of the oral testimony was that of miners and mine operators ; they testified as to their experience and observation, and gave in some cases their opinions; very often they were at variance. Without any testimony on the subject, we would not hesitate to say that the obvious meaning of the term was, such quantity of coal as was computed at a ton in paying the miner who mined by the ton. It did not mean a net ton of 2000 pounds or a gross ton of 2240 pounds, or the parties would have so said. The defendants made returns to plaintiffs of the number of tons of prepared merchantable coal, which they allege embraced the number of tons the miners were paid for digging; the miners mined and brought out in weight, much more, but after eliminating from the weight on the mine wagon all bone, slate, dust, and material that was not marketable as coal, there was left the number of tons reported to plaintiffs.

This is, in substance, the finding of fact by the master, who says: “ 13.

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Bluebook (online)
27 A. 538, 157 Pa. 17, 1893 Pa. LEXIS 1396, Counsel Stack Legal Research, https://law.counselstack.com/opinion/drake-v-lacoe-pa-1893.