Fox v. Mackay
Fox v. Mackay
Opinion of the Court
This action is brought by Fox, a dissatisfied stockholder of the Consolidated California & Virginia Mining Company (a mining corporation), in behalf of the corporation against the Comstock Mill & Mining Company, J. W. Mackay, J. P. J ones, and the Consolidated California & Virginia Mining Company. Mackay and Jones are the real defendants in interest.
By the complaint conspiracy and fraud are alleged against Mackey and J ones in the milling of the ores of the Consolidated California & Virginia Mining Company, and an accounting is asked. Under the contract entered into between the mining company, and the milling company and J ones, by which the ores were to be milled, it was provided: “Said ores, rock, and earth shall be worked in the usual and ordinary manner of working like ores, and returns therefrom shall not be less than seventy (70) per cent of the pulp assay.”
This appeal is taken from the judgment rendered against plaintiff, and the sole question raised revolves around a single allegation of the complaint, taken in connection with certain denials and allegations of the answer relating to the same subject matter. Plaintiff alleges that seven hundred and thirty-four thousand tons of ore were milled under the said contract with Jones and the milling company. And, after alleging various other matters, declares: “And for the fraudulent purposes above stated said ores were milled and crushed by the said Corn-stock Mill & Mining Company in a very superficial and imperfect manner, so that an unusually small percentage of the precious metals was extracted, therefrom and returned to the said Consolidated California & Virginia Mining Company, and plaintiff enumerates that less than seventy (70) per cent was returned by said milling company to the said Consolidated California & Virginia Mining Company for more than forty-one thousand two hundred and twenty-five tons of the ore of the said Consolidated California & Virginia Mining Company milled and reduced b.y the Comstock Mill & Mining Company.
It is now claimed that this allegation of the complaint is admitted, and that by reason of such admission a breach of the contract as to a return of seventy per cent of the pulp assay is shown, and that therefore judgment to that extent at least
If this allegation of the complaint is not strengthened by the allegations of the answer, we hold it insufficient; and the allegations of the answer upon careful consideration weaken, rather than strengthen, plaintiff’s pleading. While we find a direct admission in the answer that for four certain months the return to the mining company was less than seventy per cent of the pulp assay, yet we find the further allegation “and that while the average for said months was less than seventy per cent, as above specified, yet the returns from all of the ore worked during said months were not less than seventy per cent of the pulp
For the foregoing reasons the judgment is affirmed.
Van Dyke, J., and Harrison, J., concurred.
Hearing in Bank denied.
Reference
- Full Case Name
- THEODORE FOX v. JOHN W. MACKAY
- Cited By
- 2 cases
- Status
- Published
- Syllabus
- Mining Corporation—Action by Stockholders—Fraudulent Milling of Orb—Breach of Contract—Insufficient Complaint.—In an action by a stockholder o>f a mining corporation, for an accounting of ores claimed to have been fraudulently milled under a contract with a milling company, which provided that the ores “shall be worked in the usual and ordinary manner of working, like ores, and returns therefrom shall not be less than seventy per cent of the pulp assay,” a complaint alleging that seven hundred and thirty-four thousand tons of ore were milled under the contract and that said ores were milled in a very superficial and imperfect manner, and that less than seventy per cent was returned by the milling company to the mining company for more than forty-one thousand two hundred and seventy-five tons of ore, without stating how much less, or that the percentage was of the pulp assay, or when such tons of ore were milled, is not sufficient to support a judgment for the plaintiff. Id.—Construction Against Pleader—Bulb De Minimis.—Under the rule that pleadings are to be construed against the pleader, it may be assumed that the allegation of “less than seventy per cent” is satisfied by a shortage of the smallest fraction of one per cent, and that the rule of de minimis would bar a recovery. Id.—Construction of Contract—Average Percentage.—The contract with the milling company for the yielding of “not less than seventy per cent of the pulp assay” of the ores, rock, and earth worked is not to be construed as requiring seventy per cent of the pulp assay of each ton worked, but imports that upon a fair and honest milling of the ore the milling company was bound to return an average of at least seventy per cent of the pulp assay. Where it appeared that for four specified months the return to the mining company was less than seventy per cent of the pulp assay, but that the average of seventy per cent for the entire time was made up in the succeeding months, such average percentage is within the stipulations of the contract.