https://haylibrary.cvlcollections.org/files/original/73d40bcffa874e2bc58074422d883ad5.pdf 120dd3d41ef90910ecf6cdd8450dc896 PDF Text Text I \ • I I \ . _, \ f - - ;:--. 0 0 0 ' t ..: O 0 co ... , I ,· t �l t l I •l l I . \ I-Jr . Jc l-.11 ru .L c:-its , ;.._.nert,l ..!'. t~crney Union :Pi te:l :!.'.:. • _:,: .~_lronct Cc:..--ip!:ny 0 h.eycr.1.n0 9 : y : · ~ n ~_; I notice ia t1~" .f'0l.n.·u:-., ry l o , 194-4, .?c ci •ic fa;i!) Drt cr . ,:~dvt:.no0 U1.oe't s 1 ::econd ..ieri ec , tho cun e of fite1to 0x r 0 l:, Christo:u~,cu, c: ~;:.t o Trt,asurcr v. :~u,_J _, ott Co r:i l t:or1!1u.:.y, doci ded by the ::.:u1n·o:.1e vourt o? Ly-om.in ·~ , en l ·uuurJ ;? 5, 1944, ·Nti.orein ~.ho Coti.i:·t hold tbt 1-;u~:;,:;ett. Cc.:~l ~c:...pi:ny, b oorpor,2tion 1 i :.:; liu blo :or ".;ro i ndcbt&<lnC::s;;:; o t he 1,:u ,;;ret. t Cool Gor.1131_:,ny I c <H)pGrtn 01· :<:ili) • t,o. t, bo i t}Gi.., ~~'llrl-..al J~.QSJJ!:,~Jl.t..rf'nn9:;_ or in otn0r v1or d3 , tb.': li.:.! ·;il l ty ~c t ho -cou9cn:.:.0tion i'urit: ~cfenuot be c:u::,f~. ,: t ou by .Ji; ~-::-;-_,i.1 ~; :::ro:..:, ~ copnrtners hip -to ::. cor.:)orc.tion or f'ro:.:.1 :::. co:·_ ~er. _t ion ·to t! copcr ·tntfr> -, hiP, • . _,.z.~0ro 't ! le m:n:1c --u1lit 1 ~1 t i _e $£t. o o:,,~ -~. ubt.itm1tlnlly eo . I only ::uention U1i:) c:...~Jc b;=:c.:. ..wc :J .. •. e~·, :10:•c, 1;lon. ~ ti.1c line .1r. Ho.Auli f'i"e '.,w.a int-er 0ste -1. in ttc ouic "J.:w or t 11i e r:iatter c-::.nd .:.rncu~.:;od it. "it!i :1:c, c;;, l.1 it G•..;(:;_::} \ ,0 ,:w l. \ l .'i.'' Ote him. :~bout it, c y vio~-n 1:;oiul: l:w~ed Ort Ju ct or-tl i nfry .:: e,r~i!~,on ::eu;e Y✓hich ttc f_upri i.l~O Cou •i., u ' f r .sedo oc: ..21... i:·r. ;.ir. I / . ,I �I ' ( / ••• cl~ i ,/ •Roclt Sprin ;:;s, \iyomino; l.!'Cbru ry 22 , 194-4 Mr. J. onn tJ <> Loc::Jll. 8 , Gcne:rcl .i~t torn0y Union ?ncific _;i._ilr:oad Company Uheyen 10-i: ·.~yoaln1?- I notioo in tLo Pebru bry 18 , 1944, Pacific fi0p ortcr .Advc.nco Sheet s , t econ<l Sor:1.es, tt.c case of St" te e:x r el, Christonum, Dt.atc 1I1reasurcr v. Nu ~gc~ tt Cm.11 _ Co·::ue.ny, deci ded by ·tl1e 6up re.ae Uourt o1' V,yomin::; , on Ji::uu.:! ry 25, l 9/4.4, 1.·Jhe:rein ·the Court holds t ho:t Nu~e;et·i; Coal 0c.upany , u corp orati on, i s lia ble for the indeotoclrn.-:;ss of tho Nu r-_;;_-r.e'tt Coal Cot•li>eny, c. copartner ," hip, to tho inc.u s i.;rial accident fund; or in other vmrds, t hG liu bility tc t .ne compen3(-ltion fund cannot be defec ted by swu-11p in,:_:,. i'ro:n u copur·tner::hip t,o u .oorsioration or from Cl. oorr?or·c.ticn to 11 oop 0rtnership, • w.tiero the ov;:ncr:.:;hip i s the SDne o-:s.· s ub~tant,ie.lly oo. 1 I only mention this o·· se beoauGe sone 1, i1crc nlonb the line ;:!r. MoAuliffe vras interested in the outoo1"10 of ti1is matter End discuo t; ed it wi tll me , 2nd. it s oe:,,t.;;; to tlle I wrote him ~bout it, ny vie:.vs bei!l{:; based on .iust ordinary common Denae which the t.upnm11e Cour~.,; a:rfir£ued. Sinoftoly, LHB E.R /~/,/~~ oc: ~.'.ir • I.icJ~uli f fe---Ur. .Pryde ~ ilr. Bnyless �Rock Springs Llr. Eu.gene r:c1'.uliffe: I have :rou.rs or Septer.uber 25th, file 011-311, vJi.th the decree is sued by ,Judr:;e Cbri.s t ..'!'.as against the Nugget Coal Company. I ai.. ~;l a d to lmo·.-; of: this decision, because I believe it is a just one . i r- . . �~ ------------ ~ \) 011-311 I -l (. ' September 25, 1942 Mr. G. B. Pryde: Herei:·, i th co-py of decree issued by Judge H. R. Christmas in the case ~ _...9 f...Jiy_om_tng vs. Nugget Coal Company. I do not see how Judge Christmas could find otherwise. It is my understanding that the Nugget Company has appealed to the Supreme Court but it is m;y opinion tha.t that will prove to be a waste of time and money. cc: Mr. L. H. Bro~m �- C O p :V - Arthur Kline .Ass't Att 1 y Ge n eral Cheyenne, Wyoming • Ur. Mr. Go Ro McConnell Attorney at La-v! Laram-ie, Wyoming Gentlemeng Re: State vs. Nuggett Coal Co. The trial of this action recently held at Laramie, involved on].ythe equitable issues O . The petitibn,' among. other things, alleges fraudulent intent on the part of the partnership and. the members thereofo The defendant argues that the plaintiff has failed to nrove fraud and therefore the action should be dismissed. As to defendant 1 e contention of no proof of fraud it is correct as no actual fraud. was proved by the plaintiff. However, under the allegations of the petition I do not think it was incumbent on the state to prove actual fraud and a failure to do so does not constitute a failure of proof or entitle the defendant to an order of dismissal. The petition in addition to the allegation of fraudulent· intent alleges the ultimate fact, and ~n the absence of an attack is sufficient. It may be that more th2n one cause of sction is alleged, but if so, defenda.nt he,s not asked that they be separately stated and numbered. The motion to dismiee mnde by defendant at the close of plaintiff rs· case and renewed at the close of all the evidence will be denied.. • The ~riginal incorporatore of Nugget Coal Co. were Swenson, Yates and Johnson.· Swenson and Yates-being the co-partners doing business as Nugget Coal Co., received for the nartnershiu orooerty conveyed to the corporation, 6500 shares of the corporate ~to~k of the v~lue of $65,000 (par value of stock $10.00). Mr. Johnson contributed $100.00 for which he received 10 shares of stock. The corporation ·was created with the ·whole of the property and funds of the partnership, except the nominal sum of $100.00. Subs,e quently ·172 shares of stock were sold to various people. Mr. Swenson ·now owns 6500 shares of stock, having purchased that of Mr. Yates. He is President, Treasurer, and General Manager and he seems to be in control of the corporation. It app~ars from the evidence that the corporation intended to take over all credits and to assume.all the liabilities of ·the partners~ip. �- 2 - De f e ndant see ms to contend that the transaction between the partne rsh i-p.and corporation was a s ale As shown, tpe co-par~ners were pai d in stock of the corporation for the ·whole physical _-pr op er t y and assets of the Nugg~t Co al Co., · a coI:artnership p and t.n.ey were the principal incorporators of the Nugget ·Coal Coo, a cor'!)oration. · As applied to- corporations, · i t is generally he ld to i ndicate a consolida tion rather than a .s al e if payment is _mad e i n stock of the purchasing corpor&tlon. No~e Ann. Case 1913 E 1046. The legal effect of such a r ule is apparent. • 0 The ph.ysical pro-perty of .the partnership and the corporation are identical, the corporation is composed of substantially the same stockholders who own all but a few shares, ana. appe ars to be a mere continuation of the partnership - there is no substantial change of 01,rnership. It does not seem equitable that under the circumstances disclosed by this case that the court should reach a conclusion contrary to that already indicated. Our Supreme Court .has held: 11 If principles of J.:aw and equity both appear in the case, the latter must be given preference, un~ess a positive statute forbids." 49 Wyo. bottom Page 431 A decree ms.y be entered to the effect that the Nugget Coal Co., a corporation, is the alter - ego of the Nugget Coal Co., a co-partnership. The Attorney Gener.a l I s office will prepare the form of decree, allowing defendant an exce-otion and submit it to .Mr. McConnell for his approval as to form-. If Mr. McConnell desires a special finding that no actual fraud was shown, such_ finding may be included in the decree. Yours truly, {signed) H. R. Christmas �II ;lt / . I•• II 011..,.a11 ,1 . \ Omeha •- August 1'7, 1942 ~atter: · I ~r6te i.·. o~; T~ ~ro ~~rick Cheyenne, Au.g:uE:lt 10 a s f'ollowo : n lSc'ii 1o:: fiting . ove z, '·-hs ~'~port of iniii vidu.r. 1 comnRni<:"s, I i'5.n0. -thr-t _n J r:.n.~_,.,. 1940 re·por>t th.f; 'i:1ugget !Jos.i Conoi:m~r shCi·ref rl!'l oveX>dJ.f2.ft i::,f' C6 p 9~0 6-1:, 'C:Yhilo th~ \ Tu'.;;ge--;~ Cot,1 0 OoE_ GilY O. X11G Q shm•recl ere di t b~lr-mo~ of r1, ~~ - '7. t:-5 fot" the ye::,,-'Jl' din&: er~e:nber ~~1., 19'!0. In t.h0 19ti l 1:• -:,ol"t • . find th.e l~ug ~et (fo p]. Comy.>1:.n 1y, Inc o, ~ i th i ,_ c:t•ec:L t b <Um.oe O ~ 0 A of 't:l, 678. 5'5, ui th no z,,efe2"ence to th;,=J }!ug ;--~t Co P•l (:om:1~1: y ' g account . ~1 Onn .vcu r;..dvise !'.'le 'N~10.t bec~!ne of the u·bcive rJen t:!.on,:, d. over<l!'aft'i':1 • ' 1Tl~i~ ui;tl nck11oi1ledge you J.e ..Gte:;.-> 0f P,.,u~us,i 1 0 in x>e@-~r.i to the i.'-Su.~ ·get Ooal Coil.9:?i.!lY i::-J.°'!'l. th.G _vU(?;~e·i; Go - 1 CoDpan;y· , Inc . I fhe cve~dre.ft llf the ~Jugget Co:11 Cfo~D."yany :ls 06, 930 . 64 at this t1me, s..nd ·the acootmt has beon put in tho inactive file . f.. he&1i:"i·:1:z s:-r~.~ !1.eld 13,✓G La:"'ar~ie befopc ;:-udge 0:1.r:l strar. s. an · Judr.:s;o Ob.ristmns is otudying tho cnsG at thifl time. ~{e Gh.01 .ld hc..'v·e f.'. dcoinio ., on the □ ~i.·r.tcn."' efol"e long . ~, 111 T_ e I 1u.ggct Cloo..1 Co:1'0 ~_,ny n:m.0.geznant is f-l")!)Br.eirtly e.tterapt- ing t ~void peymont of thiG' overdraft. 1 have ?riled.to see nny eubetfl.ntiw.l. re.::r.:on t-:rhy the [Juggf3't Oornpany, •nen ·it eleots to. ohange ite oorr,or&.tc nutie, :,erhapa for res.sons of s""ooli: or.mership oha.ngae, shoulu b~ relieved of · n ove~draft ~oqui~ed -1~ op~ratin6 the sG1:1e 1dent1oal nro-perty under 1:ientioal ' phyaioa.l entl. raarket cond1 tions .. If a oo~:,uny i~ nlloue,1 t~o C'h!1.¥'\~"0 i t s COl"'i)Ol'.'O.te 'Gi tlG by adding the ,.-.·ord 11 Ino." -~~ aooe, and thereu-ter, as n reeult, be relieved of the poy:~enc of i te full :1blign.tions to the oom9ensatiou fund, the Treasurer and the Court 11111 be leay1ng the door i-11de onen to the evo.t11on of juot oomp~not,tion p _ymente . There io no element or oonf1so t1on or extr ordinary h rdsh1p attaohed, ~o this situ~tion, the oo~~any carrying tho dnf1o1t morely vln0ea•1n· th0 rate bracket provided toze by the la 1. • .:~-~· •••• •I run not ek1ng you to ~ake any action 1n this matter. but I thought Judge Ohr1stmae might perhaps talk to you about it. ~ ,u! • Mr.. ·G. B. Pryde -~ C~-~ .011 ""' -,,r '' l •·1 v-v...... r.11ri'n11 '"'1{11"1~iu JFff � Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource Union Pacific Collection Description An account of the resource This collection is made possible in part by a generous grant from Wyoming Humanities. All materials are the property of Union Pacific Coal Company, on long-term loan at Western Wyoming Community College. For usage inquiries, contact the <a href="https://www.uprrmuseum.org">Union Pacific Museum</a> Text A resource consisting primarily of words for reading. Examples include books, letters, dissertations, poems, newspapers, articles, archives of mailing lists. Note that facsimiles or images of texts are still of the genre Text. Dublin Core The Dublin Core metadata element set is common to all Omeka records, including items, files, and collections. For more information see, http://dublincore.org/documents/dces/. Title A name given to the resource State of Wyoming vs. Nugget Coal Company Rights Information about rights held in and over the resource CC BY-NC-ND Date Created Date of creation of the resource. 1944 Subject The topic of the resource State of Wyoming, Nugget Coal Company, 1944 Description An account of the resource Letters documenting the case between the State of Wyoming and the Nugget Coal Company. Documents are held together by a brass pin. Type The nature or genre of the resource Text Creator An entity primarily responsible for making the resource George B. Pryde, Eugene McAuliffe, H.R. Christmas, L.H. Brown Identifier An unambiguous reference to the resource within a given context 1-0277 Publisher An entity responsible for making the resource available The Union Pacific Coal Co.