McMullin v. Magnuson

78 P.2d 964, 102 Colo. 230, 1938 Colo. LEXIS 263
CourtSupreme Court of Colorado
DecidedApril 4, 1938
DocketNo. 14,005.
StatusPublished
Cited by19 cases

This text of 78 P.2d 964 (McMullin v. Magnuson) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
McMullin v. Magnuson, 78 P.2d 964, 102 Colo. 230, 1938 Colo. LEXIS 263 (Colo. 1938).

Opinion

Mr. Justice Knous

delivered the opinion of the court.

*233 On March 1, 1928, the “Mica Lode” was located as a lode mining claim by the predecessors in interest of Colorado Feldspar Company, one of the defendants in error. The defendants in error Ralph H. Magnuson and "Western Feldspar Milling Company went into possession of the claim on October 17,1931, under a lease from the Colorado Feldspar Company and a then co-owner, B. O. Halsted, likewise a defendant in error, whose interest has since been acquired by the Colorado Feldspar Company, providing for the operation’ of the property on a royalty basis. During the period herein involved the claim has been continually in the possession of the Colorado Feldspar Company and its lessees. In 1930 the Colorado Feldspar Company located Suzana 1 to 5 inclusive and Feldspar 1 and 2, as lode mining claims in the same area and has since been in possession thereof.

The “Mica Hill Placer No. 1” containing 160 acres covering the Mica lode and a portion of the other claims mentioned, was filed as a placer on September 16, 1933, by the plaintiffs in error. These placer claimants thereafter filed their application for patent in the United States Land Office at Pueblo, the publication of notice thereof ending November 5, 1934. On June 2, 1934, the placer locators served notice of their claim and demand for possession on the lessees of the Mica Lode, where extensive and profitable mining operations were being carried on. Upon receipt of this notice the lessees withheld further payment of royalties, and June 26, 1934, instituted the proceeding now before us for review, joining the lode claimants and the placer locators as parties defendant, alleging the controversy as to the possession and ownership' of the premises upon which plaintiffs were conducting mining operations, and praying that the court require the defendants to enter their appearance and have determined as between themselves the ownership and title to the minerals contained in the Mica Lode, to the end that plaintiffs might be judicially advised as to whom royalty payments should be made. Plaintiffs fur *234 ther asked that both groups of claimants be restrained from interfering with plaintiffs’ mining operations and that they be permitted to hold the accruing royalties in a trust fund to be disposed of as should be determined. This fund, deposited in the registry of the court, and under stipulation of the parties invested in United States bonds, now amounts to some $90,000.

In due course and through extensive pleadings in the form of answers, cross-complaints and replies, original and amended, all of the defendants appeared in this proceeding. The group of defendants claiming by the placer location, who are the plaintiffs in error here and to whom we shall refer either by that title or as the placer claimants, asserted ownership of the property by virtue of their placer location and alleged that the ground was not subject to lode location by reason of which the lode claimants had no valid right to the premises. The original defendant, the Colorado Feldspar Company, to whom we shall hereafter refer by that name or as the lode claimant, claimed the property by virtue of its lode locations and asserted the invalidity of the placer filing. The remaining original defendant, B. O. ITalsted, disclaimed any interest in the property and the record shows that he had conveyed his interest therein to the Colorado Feldspar Company.

Thus, after the issues were framed, we find the rival groups'of defendants—the lode claimants on the one hand and the placer claimants on the other—arrayed to finally litigate on the merits the validity of their respective mineral locations, the one as against the other, with the original plaintiffs disinterestedly standing by, though continuing their mining operations, awaiting a determination of this issue in order that they might be advised as to which locator the royalties, accrued and to accrue, should be paid.

The ultimate question decisive, of practically all of the points raised by the assignments of error, is whether the premises involved were subject to location as lode *235 mining claims or as a placer mining claim. The evolution of the controlling United States statutes relating to mineral land locations was well epitomized in Henderson v. Fulton, 35 Dec. Dept. of Interior, 652, where it is said:

“The first general mining statute passed by Congress was the act of July 26, 1866 (14 Stat., 251). Provision was made for locating, working and holding, and obtaining patent for, any ‘vein or lode of quartz or other rock in place, bearing gold, silver, cinnabar or copper. ’ By the act of July 9, 1870 (16 Stat., 217, Sec. 12) [Sec. 2329 U. S. R. S., 30 U. S. C., Sec. 35], it was provided that claims usually called ‘placers,’ including all forms of deposit, excepting veins of quartz, or other rock in place, should be subject to entry and patent under like circumstances and conditions, and upon similar proceedings, as were provided for vein or lode claims.

“By the act of May 10, 1872 (17 Stat., 91) [Sec. 2320, U. S. R. S., 30 U. S. C. Sec. 23], the terms of the act of 1866 were enlarged in their scope. Lead and tin were included amongst the specifically mentioned minerals and the words ‘other valuable deposits’ were added. * * *

“Prom this resume of the legislation on the subject it clearly appears that Congress, in providing for the use, occupancy and sale of the mineral lands of the United States, * * * has divided such lands into two distinct classes, namely: (1) Those which contain veins or lodes of quartz or other rock in place bearing mineral of value, of any kind or character that may be found in rock in place; (2) Those containing what are usually called placers, including all forms of deposit, of whatever kind or nature, other than the deposits described in the first class. ’ ’

The commercially valuable mineral found in the ground involved in this proceeding is feldspar, a nonmetallic substance. The addition to the 1866 statute, supra, of the term “other valuable deposits” to the enumerated metallic minerals, makes it evident that the intention of Congress was to enlarge the scope of the mining laws and *236 embrace therein every character of deposit, metallic or nonmetallic, found in veins- of roclc in place which fall within the meaning of “mineral” in its broadest sense. Webb v. American Asphaltum Co., 157 Fed. 203, 84 C. C. A. 651; Nephi Plaster & Mfg. Co. v. Juab County, 33 Utah 114, 93 Pac. 53, 14 L. R. A. (N. S.), 1043; Northern Pac. Ry. Co. v. Soderberg, 188 U. S. 526, 23 Sup. Ct. Rep. 365, 47 L. Ed. 575; San Francisco Co. v. Duffield, 201 Fed. 830.

Under the terms of the statute, section 2329, supra, a placer location cannot be made upon rock in place bearing valuable mineral. If the mineral substance is not found in veins of rock in place, the ground would be subject to placer location. This situation was well illustrated in the opinion in Nephi Plaster & Mfg. Co. v. Juab County, supra,

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Bluebook (online)
78 P.2d 964, 102 Colo. 230, 1938 Colo. LEXIS 263, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcmullin-v-magnuson-colo-1938.