World's Fair Mining Co. v. Powers

100 P. 957, 12 Ariz. 285, 1909 Ariz. LEXIS 96
CourtArizona Supreme Court
DecidedMarch 20, 1909
DocketCivil No. 1078
StatusPublished
Cited by2 cases

This text of 100 P. 957 (World's Fair Mining Co. v. Powers) is published on Counsel Stack Legal Research, covering Arizona Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
World's Fair Mining Co. v. Powers, 100 P. 957, 12 Ariz. 285, 1909 Ariz. LEXIS 96 (Ark. 1909).

Opinion

KENT, C. J. —

Frank and Josephine Powers, owners of a certain group of mines, entered into a contract with one Ferguson for their sale, under the terms of which Ferguson or his assigns were to make the payment therefor within a specified time, and in the meantime to have possession of the property and to operate the same. Ferguson was to do a certain amount of work per day, to reduce the ores, and to deposit the net proceeds therefrom derived by him in a bank to the credit of the Powerses, to be applied on the purchase price. By an escrow agreement under which the deed for the property was deposited with a certain bank, it was provided by the parties that, upon demand thereunto by the Powerses to the bank, the bank should ascertain whether Ferguson had deposited the net proceeds from the ores within fifteen days after their receipt by Mm from the smelter, and if such deposit was found not to be made, then- the bank was to return the deed to the Powerses. The World’s Fair Mining Company subsequently succeeded to Ferguson’s interest in the contract, went into possession, and operated the mines under the contract. On June 6, 1904, the company received several thousand dollars proceeds from ores smelted, which, on June 11th, the Powerses attached in an action brought by them on the ground that the company was intending to convert them to its own use contrary to the terms of the contract, and at the same time obtained a temporary injunction against the company restraining it from shipping other ores. The injunction was shortly after dissolved, but the attachment remained in force. On June 25, 1904, the Powerses dispossessed the company by forcibly taking the possession of the mines from it. The company thereupon brought this action for damages for the breach of the contract by the Powerses.

[288]*288The complaint set up the contract, a subsequent modification thereof, and the escrow agreement; the acquisition by the plaintiff of Ferguson’s rights under the contract, the institution of the suit by the Powerses, the attachment and injunction therein; alleging that such suit was wrongfully brought and for the purpose of preventing the company from obtaining the benefits of the contract, and to harass'and annoy it; alleged that at the time the attachment was served the company owed the Powerses nothing; that, by issuing the attachment the company was made to fear that if it brought any other moneys into the territory for the purpose of carrying on its operations under the contract, such moneys would also be attached; that the attachment and injunction injured the company’s credit and crippled the company’s business, and impeded its efforts to work the mines. The complaint further alleged “that, when the plaintiff had finally succeeded in overcoming the conditions occasioned by the wrongful and unlawful acts of the defendants,” and on July 25, 1904, the Powerses forcibly entered into possession of the mines and deprived the company of the possession thereof and the right to work them, thereby rendering the contract valueless to the company. The complaint then alleged the damages suffered, and the amount thereof, and prayed judgment therefor.

The answer, while admitting the 'execution of the agreements, denied generally the allegations of the complaint; alleged that neither the plaintiff nor its predecessors in interest had complied with the conditions of the contract; alleged that the plaintiff and its predecessors in interest had retained and converted to their own use certain proceeds from the reduction and sale of the ore to which the defendants were entitled under the terms of the contract; alleged that the attachment and garnishment set forth in the complaint was necessary by reason of the intention of the plaintiff to use the funds and so to convert the proceeds of the ore due to the defendants to its own use; and further alleged improper and wasteful management of the mines by the plaintiff, and prayed judgment dismissing the complaint.

The plaintiff, for reply to the answer, denied that at the time of the attachment it owed all of the money attached by the Powerses, and alleged that it was not its duty to make payment of such amount as it did owe on the date of said attach[289]*289ment, to wit, the eleventh day of June, 1904, but that it was not its duty to make such payment until the twentieth day of June, 1904; that on the 11th of June, the Powerses instituted the suit referred to in the complaint, and caused the money to be attached with the purpose and object of endeavoring to break the contract, and for the reason that the Powerses thought that by instituting the action and causing the attachment and injunction to issue, through the injury to the company’s credit, it would be unable to carry out its contract with the Powerses. The reply further alleged “that, finding that the plaintiff still endeavored to continue under the terms of their said contract, the defendant Frank Powers, for himself and the other defendant, with force and arms entered upon the mines described in the amended complaint, and took forcible possession thereof, with the intent and object to wrongfully terminate said contract and to deprive plaintiff of the profits thereof.”

Upon the trial, and at the close of the plaintiff’s case, the court directed a verdict for the defendants, and from the judgment entered thereon and the denial of a motion for a new trial, the plaintiff has appealed.

The only assignments of error wlíich are properly before us upon the record pertain to the action of the trial court in directing a verdict for the defendant, and in refusing to permit the plaintiff to introduce in evidence the record of the proceedings in the injunction and attachment suit brought by the Powerses against the company.

Pending the payment of the purchase price the contract allowed the company to go into possession and operate the mines. This it did. The contract further provided that the net proceeds received from the ores during such period should be deposited to the credit of the Powerses. No time when such deposit should be made was specified in the contract. By the escrow agreement the time was fixed at a time within fifteen days after their receipt by the company. By the 20th of June, 1904, therefore, under the evidence in the case, the company was required to make the deposit of the proceeds received by it on June 6th. The evidence showed that such deposit was not so made. "Was this condition, to wit, that the company should deposit the proceeds realized from the ore, a condition mutual and dependent, or one which was independent of the [290]*290company’s right to possession, If the former, it was incumbent on tbe plaintiff to allege and prove performance thereof, or failure and reasonable excuse for nonperformance; if the latter, such allegation and proof was not necessary.

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Cite This Page — Counsel Stack

Bluebook (online)
100 P. 957, 12 Ariz. 285, 1909 Ariz. LEXIS 96, Counsel Stack Legal Research, https://law.counselstack.com/opinion/worlds-fair-mining-co-v-powers-ariz-1909.