Trotter v. Heckscher

42 N.J. Eq. 254
Procedural entryThis page is a short order in Trotter v. Heckscher. Read the opinion of the Court — 41 N.J. Eq. 478
New Jersey Court of Chancery·Decided October 15, 1886·Published

Opinion

Bird, V. C.

The question now presented for consideration arises upon a bill supplemental to one filed in May, 1882. That bill was filed, amongst other things, to restrain the defendants from taking possession of a certain mine named in the pleadings. On appeal, the court of last resort decided that the defendants were entitled [255]*255to possession of the mine. The right to such possession, and the ground upon which it was given, was a clause in a contract between the parties to the effect that if Trotter should fail for thirty days, at any time during the continuance of said contract, to deliver ore from said mine according to the quantity agreed upon, the said Heckscher might, at his option, after thirty days’ notice, take possession of the mine and all machinery, and should have the uninterrupted right of entering upon the said premises and taking therefrom the amount of ore which Trotter agreed to deliver, charging Trotter with the cost of mining and delivering. The decree of the court of errors, besides providing that the defendants were entitled to possession of said mine, declared that their decree should be “without prejudice to an inquiry, after the said The Lehigh Zinc and Iron Company, Limited, should have taken such possession, into any change of the right of possession from matters arising after the bill was filed.” On May 6th, 1886, the defendants took possession of the mine, as they had a right to do, under said decree. The complainant immediately demanded possession to be redelivered to him.

This claim, for the present right of possession of the mine by Trotter, arises, not only under said decree, but also under the contract between the parties which, among other things, provides, in addition to the provision that the defendants may take possession, in case Trotter shall fail to deliver ore, that “the said Charles W. Trotter, for himself, his heirs, executors, administrators and assigns, guarantees that the said Charles A. Heckscher, his associates, executors, administrators and assigns, shall have peaceable and uninterrupted possession of said mine, vein, lode, or bed of franklinite ore, until the inability or failure of the said Charles W. Trotter to supply said ore, as agreed upon, shall be satisfactorily removed.” The supplemental bill alleges that said inability of Trotter has been removed, and that he is now able to supply said ore according to the stipulations of his contract. It also presents a claim against the defendants for waste committed by them the management of said mine, since they have had the possession.

The answer denies that the defendants are entitled to the pos[256]*256session of the mine only so long as the complainant may, or might be unable to fulfill his contract' or that defendants are under any obligation to return and give up possession to the complainant as soon as the complainant’s so-called inability or failure to supply said ore, as agreed upon, shall be removed. As a question of fact, and independent of every other consideration, the defendants admit that the inability of Trotter to furnish the ores has been removed; and further say “that the complainant has lost his right of possession, and working said mine, under said contract, not by reason of any actual physical inability on the part of the complainant to furnish the quantities and quality of ore required by the contract, but from a willful and deliberate failure and refusal to deliver any ore, at a time when there was no physical disability whatever existing to prevent it,” and insist that the decree of the court awarding the possession to the defendants was founded upon such deliberate refusal, and not upon mere inability. The charge of waste is denied, and, on the contrary, it is insisted that the method of mining has been materially improved, and the expense thereof greatly reduced. Besides the claim for possession and the charge of waste, the complainant asks for the appointment of a manager.

First. Is the complainant entitled to the possession of the mine, or has he forfeited all right thereto by some inequitable or unconscionable act? Trotter ceased to deliver ore in May, 1882, not because he had not the means, or was in any sense physically unable, but because the defendants refused to pay him over $30,000 which he insisted was then due upon the contract for ores already delivered. The original bill, besides asking for an injunction against the defendants, prayed for an accounting. There was an account taken, but instead of Trotter recovering over $30,000, there was found to be due to him only $5,793.71 at the time he refused to deliver ore. Was it inequitable for him to refuse to deliver ore under the contract so long as defendants refused to pay under the contract ? There was no offer to pay the $5,793.71 found to be due by the court until after the decree.

In determining whether or not Trotter has forfeited his right [257]*257to manage the mine himself under the contract, a few of the principal facts must be kept before the mind. Trotter was a resident of New York; he was the owner of a lease of this mine, embracing a term of thirty years. He was under obligations to his lessors, and accountable to them for the profits of the mine by way of rental. It was most natural for him to insist upon just compensation according to the contract; presumably that had been provided for, and equitably it might be insisted upon.

The defendants resided in Pennsylvania. They were without the jurisdiction of the state of New York, where Trotter resided, and of the state of New Jersey, the place where the mine is located, and where all the mining operations were carried on by Trotter. The consideration-money was to be paid on the 15th day of each month for all the ores delivered during the month immediately preceding, so that the refusal to pay, on the part of the defendants, did not arise from any surprise, for by the contract they had ample time therefor. Their refusal to pay was as deliberate as the refusal of Trotter to deliver ore. While at first the defendants only made the assays, upon the basis of which the payments were made, after a short time the complainant, becoming dissatisfied with the results of defendants’ work, began to take samples and to make assays, the result of which tended to show that the ore was vastly richer than the assays of the defendants proved to be. The difference in value of a given quantity then unpaid for was as the difference between $5,000 and $30,000. This resulted in the disagreement respecting the amount due. Trotter insisted that the defendants made erroneous assays, and he claimed, as stated, that there were over $30,000 due him, which the defendants absolutely refused to acknowledge. The one refused to pay and the other to deliver.

There was no inability upon the part of Trotter, either to produce or to deliver the ore. The contract provides that if Trotter shall fail, that Heekscher may take possession. In the same paragraph, but in a different sentence, Trotter guarantees that Heekscher shall have peaceable and uninterrupted possession until the inability or failure of Trotter to supply ore shall be satisfactorily removed. It will be perceived that Trotter’s fail[258]*258ure to deliver ore arose, not from inability, but from a mere naked refusal.

Free access — add to your briefcase to read the full text and ask questions with AI

Trotter v. Heckscher, 42 N.J. Eq. 254 (N.J. Ct. App. 1886).

42 N.J. Eq. 254 (Trotter v. Heckscher) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.