Lund

In January, 1907, Ganahl & Co., a copartnership, with certain individuals and a corporation agreed to form a shipping corporation to purchase several steamers, to be operated on the Pacific coast in the lumber trade. In pursuance of the enterprise L. A. Ganahl, the authorized agent of the incorporators, went east and purchased two steamships, one of them being the “Minnie E. Kelton,” taking title thereto in the name of Ganahl & Co. Charles R. Lund, a marine engineer, proceeded from San Francisco to Milwaukee, and there arranged with L. A. Ganahl that he would take employment as chief engineer of the “Minnie E. Kelton,” and he also agreed in writing to purchase a .1/32 interest in that vessel, the purchase price to be a 1/32 part of her cost at San Francisco.

Thereafter the prospective corporation was duly organized under the name Tillamook Navigation Company and took over by assignment from Ganahl & Co. all right, title, and interest in and to said vessel.

In February, 1908, and subsequent to the arrival of the vessel in San Francisco it was found that, after deducting payments by Lund and certain credits to which he was entitled, he still owed on account of his purchase of a…