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^^A^ 
 
 ^/^ 
 
 AGREEMENT 
 
 Between 
 
 HER MAJESTY 
 
 Re[)resenteJ by the; Honourable tlu; Commissioner of Crown Lands 
 
 for the Province of Ontario, 
 
 ANU 
 
 THK SPANISH RIVKR PUI.P AND PAI'ER COMPANY, 
 
 Dated the 21st day of September, i.Sgq. 
 
 PRINTED liV ORDER OK 
 
 THE LEGISLATIVE ASSEMBLY OF ONTARIO. 
 
 TORONTO : 
 \\' aUWH^K BUG'S A RUTTEIl, Phinti rs. 68 anu 70 Front Rtkf.kt Wk.hi. 
 
 i900. 
 
 \ 
 
ditJS^^f 
 
 \ 
 
efu^y 
 
 AGREEMENT 
 
 Between 
 
 HER MAJESTY, 
 
 Represented by The Honourable the Commissioner of Crown Lands 
 
 for the Province of Ontario, 
 
 AND 
 
 THE SPANISH RIVER PULP AND PAPER COMPANY, 
 
 Dated the 21st day of September. 1899. 
 
 PRINTED BY ORDER OF THE 
 
 LEGISLATIVE ASSEMBLY OF ONTARIO 
 
 TO RO NT : 
 
 WARWICK BRO'S & RUTTER, Printers. 
 
 1900. 
 
1000 J 
 
 AGRERMRNT. 
 
 AGREEMENT. 
 
 
 This Indenture made in duplicute this twonty-first day of September, one 
 thousand eiglit hundred and ninety-nine. 
 
 Between 
 
 Her Majesty, represented by the Honorable the Commissioner of Crown 
 Lands tor the Provmce of Ontario, hereinafter called " The Government " of the 
 tirst part. 
 
 And Marshall Jewel Dodo;e of the City of New York, in the State of New 
 Irr.^l"^ ^<^ates oi America, Lumberman ; Adam Rutherford Creelmun of 
 the City oi Toronto, in the Province of Ontario, Dominion of Canada, Queen's 
 Counsel; John James McNeil, of Toronto, aforesaid, Lumberman; William 
 Joseph Sheppard, ot the Villajre of Waubaushene. in the County <,f Simcoc and 
 Province of Ontario aforesaid, Lumberman ; William Irwin, of the Town of 
 Peterborough, Province of Ontario aforesaid, Lumberman ; Angus McLeod.of the 
 lown of Bracebridge, in the District of Muskoka, and Province of Ontario afore- 
 said. Lumberman ; Thomas Henry Sheppard, of the Town of Oriilia, in the 
 ^ounty ot himcoe atoresaid. Lumberman ; George McCormiek, of the Tciwn of 
 Orilha aforesaid, Lumberman ; James Playfair, of the Town of Midland, in the 
 County ot bimcoe aforesaid. Lumberman ; Charles McCool, of the City of Ottawa, 
 in the County ot Carleton, Province of Ontario aforesaid. Lumberman, and Wil- 
 liam D. Lummis ot Spragge, in the District of Algoma, Lumberman, who intend 
 to torm a Joint Stock Company under " The Ontario Companies Act " to be called 
 
 -.r^V P^" l^»^:«'' P"1P f^nd Paper Company, Limited, and hereinafter called 
 1 he Company, of the second part. 
 
 • ^^^f'^'^tif ^^^^ Company is the owner of lot number eight in the sixth conces- 
 sion ot the Township of Merritt, in the District of Algoma, excepting thereout 
 that portion of the said lot which is described by metes an-' bounds in the certi- 
 facate oi ovvnership granted by the Deputy Local Master Titles at Sault Ste. 
 Marie, in the Province of Ontario, being parcel number L5<S1 mi the Register for 
 the District qf Algoma, and which certiticate is dated the seventeenth day of 
 February, one thousand eight hundred and ninety-nine. 
 
 Aud whereas the Spanish River, in the said District of Algoma Hows through 
 the said lot and at a certain point therein has formed a very valuable wa^er 
 power which the Company intends to utilize for the purposes hereinafter set 
 
 And whereas the Company proposes to construct and operate upon the said 
 lot and ill connection with the said water power extensive pulp and paper mills 
 and to expend a large amount of capital in connection therewith and with the 
 operation tliereot and from time to time to extend the same. 
 
 And whereas the Company is desirous of obtaining from the Government of 
 the 1 rovince of Ontario the right to cut from and upon certain Crown Lands of 
 the I rovince such pulp and other wood as is necessary for its uses in the carry- 
 ing on ot the said enterprises and in manufacturing pulp and paper and any 
 «ther commodity xvhich can be manufactured from such" woods at their saTJ" mills i 
 and at any other mill or mills which the Company may find it necessary to con- 
 struct, buy, Iea,se or operate in connection with its business. ' 
 
 And whereas thi,s agreement is entered into for the purpose of ensuring the 
 performance by the Company of its obligations as hereinafter defined and of 
 
ACUEEMBJNT. 
 
 [ No. 6a 
 
 sociiriiig to tho Company a continuouH supply of wood for tho purpose of its 
 busiiuHH upon the terms and Hultject to tho conditions and stipulations hereinafter 
 t'ontaiiied. 
 
 And whereas in order to carry the said unflei'takin<f into eH'ect the parties 
 ahovo named, licanff the parties hereto of the second part, propose to form a Joint 
 Stock Company under the provisions of "The Ontario Cotiipanies' Act" for the 
 purpose of accjuiring the said land and of taking over and acquiring this agree- 
 ment and all the benefits and advantages appertaining thereto, and of assuming 
 the obligations hereby incurred by the said parties, and of carrying on and oper- 
 ating the said undertaking, and which Company they propose shall be called 
 The Spanish River Pulp and Paper Company, Limited. 
 
 Now, therefore, this indenture witnesseth and it is agreed by and betweea 
 the Company and the Government as follows, that is t(j say : — 
 
 1. The parties hereto of the second part shall forthwith proceed to form a 
 Joint Stock Company under the provi.sions of " Tlie Ontario Companies' Act," 
 with a capital stock sufficient to carry out the obligations entered into herein, 
 and of which Company the said parties shall all be members. 
 
 2. Immediately after the incorporation and organization of the said Joint 
 Stock Company the .said parties hereto of the second part shall convey to it the 
 said land above described, together with this agreement and all benefit and ad- 
 vantage to be derived therefrom. 
 
 3. The Joint Stock Company so to be incorporated shall assume all the liabili- 
 ties and engagements which are assumed and entered into herein by the parties- 
 hereto of the second part, and their personal liability to the Government, except 
 the agreement to expend tHe first one hundred thousand (SIOO.OOO) dollars as 
 hereinafter set forth, shall cease and determine when such liabilities and engage- 
 ments have been assumed by such Joint Stock Company. 
 
 4. The Company shall with all convenient despatch proceed to the construc- 
 tion of a pulp mill and a paper mill on the said land in connection with the said 
 water power, and will thoroughly equip the same so that the expenditure of the 
 Company in the construction and equipment of the said pulp mill and paper mill, 
 and of such other buildings and constructions as are necessary to the undertak- 
 ing will be at least the sum of five hundred thousand dollars, and will operate 
 the same so that the annual output of the said mills in pulp and paper will 
 amount to at least twenty thousand tons, and so that at least two hundred and 
 fifty hands on an average will be continuou.sly employed in connection therewith. 
 
 5. Of the said sum of five hundred thousand dollars not Ie.ss than one hun- 
 dred thousand dollars shall be expended within eighteen months from the date 
 hereof, and not less than than two hundred and fifty thousand dollars within two 
 years from the date hereof, and the balance within three years from the date 
 hereof. 
 
 6. In consideration of the .said expenditure and of the contracts and engage- 
 ments entered into on the part of the Compfinj-, the Government will grant to 
 the Company for use in their said busine.ss the right for a period of twenty-one 
 years from the date hereof to cut and remove spruce poplar or whitewood and 
 banksian or jack pine six inches and upwards in diameter to enable the Company 
 to work the said pulp and paper mills and any extensions thereof to their full 
 capacity from the time wlien the Company commences cutting under this con- 
 tract from those portions of the lands of the Crown on which the said woods or 
 
 1 
 
1«00J 
 
 AOREKMENT. 
 
 I 
 
 1 
 
 any of thoiii may bo fcninrl atid wliicli may bo at any time unoccupiol, unKwatod 
 or unsold, aloiij; tht Spanish V^irmillion and Onapiiij,' Rivers, in the District of 
 Al^onia, and alon^ the o\ton.sions and tributaries of tho said rivors other than 
 tho Saublo branch of the Spanish River, for a distance extending' back five miles 
 fromtlio shores thereof respectively, for the rates and prices hereinafter set fortli 
 and provided and subje'^t to such reasonable terms, conditions and roj,'ulation8 
 as to tho cuttiuff, removin;;; and drivinj^ of the same as may from time to tiuio be 
 imposed by the Lieutonant-(jovernor-in-Council, and subject also as is herein- 
 after set forth and contained. 
 
 7. The Company may select and delimit oi- set out fifty sfjuaro miles of un- 
 occupied and unlicensed public land from the said territory upon which is to bo 
 found the woods aforesaid, but in sucli a way that merely patches of land cov- 
 ered specially by spruce shall not be particularly selected. 
 
 8. The Government will from time to time as occasion may ro(iuire grant per- 
 mits to the company to cut elsewhere within the said territory than on the said 
 fifty miles at places to bo agreed upon between the company and the government 
 or the agent appointed by tho government for that purpose so many cords of the 
 said woods as maj' be necessaiy to keep tho mills running less the amount which 
 may be taken from the said fifty miles which latter shall not be loss in any one 
 year than the ono-twenty-first part of tho entire quantity required for tho year 
 for tho use of the said mills und the rates and prices payable in respect of the 
 cutting upon the territory outside the said fifty miles shall be tho same as the 
 rates and prices in respect of the cutting on sucn reservation. 
 
 9. The company shall pay twenty cents per cord of one hundred and twenty- 
 eight cubic feet for spruce and teii cents per cord of one hundred and twenty-eight 
 cubic feet for the other woods above mentioned or such other prices as may from 
 time to time be fi.\ed by tho Lieutenant-Gnvernor-in- Council for such wood, but in 
 no case shall the price so to bo fi.xed be at higher figures than tho price at which 
 the general public shall be permitted to cut on other portions of the crown domain 
 or than others similarly situated shall bo permitted to cut. 
 
 10. The crown may revoke the right license or permit to cut whenever the 
 company shall fail to comp'^' with theto'ms of this a;»reement. 
 
 11. It is distinctly un ierstood and agreed that only the right to cut wood as 
 aforesaid is sold to the company and not the soil or any part thereof nor is any 
 interest in the soil so sold except in so far as may be neces.sary to cut and remove 
 the woods and aforesaid and tho wood when so cut shall (subject to the payment 
 of the price thereof) become the absolute property of the company. 
 
 12. This concession is not to impede or retard settlement by actual bona fide 
 settlers who shall have obtained tho right from the Crown Lands Department to 
 settle thereon in the usual manner. 
 
 13. Nothing herein contained or to be done hereunder or by virtue hereof 
 shall entitle the company to a monoply in the use of the said river or its tribu- 
 taries but the same shall be and continue open for the use of the public in accor- 
 dance with the law in that behalf. But in view of the character of the industry 
 to be established the investment of so large an amount of capital and the probable 
 enlargement of the industry in the near future it is understood that the govern- 
 ment will not grant, sell to or confer upon any other person or persons corporation 
 or corporations the right to cut pulpwood within the territory hereinbefore refer- 
 
AOUEEMENT. 
 
 [ No. 60 
 
 rc.l to l,,p tilt, purpose ,.t export buloro l.cin« maniifactured into pulpor tho ri.rht 
 to cut ,)ulpwoo.l witl.in or upon tli." sai.l territory tho trruntin-' of which ri.rhts 
 woul. intho opinion ot th.. C'on.inissioner of Crown Lands for the time l.einu 
 have the effect ok so far IcsHcninfr or .lin.ini.shin^' the supply of pulpwoo.1 in the 
 NMi.J territory flurin- the period covered Uy this aj^reeuient and which under this 
 a-reeniMit vvdl he availal.le for the n.akinjr „f pulp l.v th.- company as to pre- 
 judicially interfiTo with the company durin<r that period in ohtainin-Mill the pulp- 
 wood necessary tor supplying the said mills and any extensions thereof that may 
 l.e under conitruction and bona tide in process of completion hutnothin.' in this 
 para.^M-aph nor in this aoreenient shall prev.-nt the sale or location to actual sett- 
 lers ot any part ol tho said lands in tho usual manner. 
 
 1 i/^-M*' '"1 '!!''t""^tly understood and a^jre.vl that nothing herein contained 
 s^inll without the consent in writinjr of tho Commissioner of Crown J.amls for 
 Ontario l,(, doomed to confer any n^ht to cut or ivim.,vo any timber from any 
 territory or an,.as already under license or p.-rmit from tlio (Jrown or which may 
 hert^xtter b.. p acod un.l..r license or permit for tho cutting of pine timber durin-' 
 tho tune such licenses are in force or until after the pine timber is cut tl.erofroi.r 
 nor Hhall any euttinn; take plac(! under this agreement in or in the immediate' 
 proximity ot tc-ntory covered with green, merchantable pine available for lum- 
 bering piiipt,,.;.s or which may be considered by the government to be pine bear- 
 ing land.s. ' 
 
 If, however, the wood in other parts of th.. available territory has been 
 exhausted or is instifticieiit for the requirements of tho Company's mills the 
 Coiijpany may cut in the vicinity of such pine beating lands upon such terms and 
 condi ions as m;iy from time to time b... agreed upon between the government 
 and the company, (.r if they cannot come to an agreement then upon such terms 
 conditions and regulations as may from time to time be mad.; or imposed l)y the 
 J.ieutoiiant-(,ovornor-in-Council or by tlio Commissioner of Crown Lands for the 
 purpose of aftording ample protection to the standing pine. Nothintr in this par- 
 agraph contained .shall bo taken to confer upon the company the ri-ht to cut and 
 remove timber which is covered l)y licon.so from the Crown during the time the 
 license is in force except with the consent of the licensee. 
 
 15. Provided however, and it is understood and agreed that the company 
 sha 1 not be ontit ed to cut wood of any kind on the .said territory or on any 
 part thereof tor tho purposes of export in tho wood nor for sale to other pensous 
 tor .ixport 111 the wood but that there sliall be no limitation other than as to the 
 export and size of wood of the right of the company to cut or remove pulp wood 
 tn^in the hfty square miles hereinbefore referred to after the same shall have 
 boon delimited and set apart. 
 
 IG. It is hereby further agreed that nothing in this agreement contained 
 shall prevent the government from selling the right to any person or persons to 
 cut t>ie pine trees on any part of the torrit.ny hereinbefore mentioned which has 
 not already been placed under license and to grant timber licenses in respect 
 thereof under the statutes anrl regulations in that behalf, and in no case shall the 
 company be entitled to cut the pine trees other than banksian pine unless under 
 special permit or license from the govei-nmcnt or the Commissioner of Crown 
 Lands. 
 
 And further that ao part of the said Hfty square miles shall be composed of 
 pino-bearmg laiitls unless wliere expressly permitted by the Commi,ssioner of 
 v.rown Lands. But in the case of a sale of the right to cut pine trees as in this 
 clause hereinbefore mentioned the sale of the right to cut shall be confined to the 
 
 • 
 
]!)0i 
 
 A(JREKMENT. 
 
 •) 
 
 piiio trecB only and to .such other timbor as iiwiy he necessary to cut and romov»» 
 the Hiiiiie. 
 
 17. Nothinjj herein contaiiicil shall require the j^overnment to provide any 
 particular (luaiitity of wood, as the frovernineiit in no case guarantees (|uaritities 
 nor does anytlnn^r more than f,'rant the right to cut such wood as aforesaiil with- 
 in the atoresaid limits and nothing herein contained sliall reipiire the comnany to 
 purchase any particular (juuntity of wood or to pay i'or any wood not actually 
 cut, upon the said territory but it is clearly understood and agreed that ho lonir 
 as the supply of wood upon the said territory is suthcient to sui)ply the mills ni 
 
 th(i company 
 therefrom. 
 
 herein referred to the company will take its supply of wood 
 
 _ 18. It IS also hereby (ieclared that the intention of these presents is that tlio 
 Slid company shall at all times during the terir of iwenty-one years from the 
 date hereof obtain a sitlicient supply of pulp wood for the operations of their 
 pulp and paper mills so far as the same can be found available within tlu? liudtH 
 he'rembefore desciibed and so far as the same can be obtained consistently with 
 the terms of this agreement. 
 
 19. If the company shall not within three years from the dute hereof expend 
 at least the sum of live Jmndred thousand dollars in erecting the said pnlp mill and 
 paper mill and other necessary buildings and constructions as aforesaid and in the 
 construction and e(piipment thereof and in preparing i'or the operation of (he same 
 and bir gettmg out the wood for the supply of tiiesai-l mills tins agreement shall 
 bucoiiK! null and void and of no effect in so far as the whole territory is concerned. 
 
 20. Sottlemont .shall be made with the (iovernment at th(' cIo.se of each 
 season of navigation for the price oi the wood cut up to that time, and a correct 
 account of all wood cut by the company shall be kept in the books of the com- 
 pany in .such a manner as the regulations madv or (u be made shall provide ;uid 
 to which the otHcers of the crown shall at all times be entitled to access, ami re- 
 ttirns shall from time to time be made under (jath by (he company to the crown 
 of the quantities cut, or as regulations aforesaid may re(|uire. 
 
 21. Subject to the provisions of paragraph 19, it is agree.l that in tlie cnent 
 of the failure on the part of the company to erect the said pulp mill and paper 
 mill aii(_l pliint, and to expend the moneys thereon hereinafter stated, or in do- 
 tault of the .said company keeping the .same running after the erection thereof 
 and keeping the required number of men employed ,is aforesaid, the Government 
 may refuse to permit the continuance of the cutting of the said wood. 
 
 22. The company covenants with Her Majesty that it shall .•uid will not at 
 any time or in any place deposit, empty, run or turn into, or permit to be placed 
 deposited, cmpt!e<l, run or turned into any river, stream, or other waters what-' 
 soever, refuse, sawdust, chemicals, or matter of other kind which will have the 
 efiect of destroying, harming or driving away the Hsb in such river, stream 
 
 water. 
 
 or 
 
 23. Whenever the expression of " the company ' .shall occur in this a-'ree- 
 nieiit it shall be understood to include the heirs, exer-utors, nduiinistrators^and 
 assiirns of the parties hereto of the second part, au<l the successors and assio'ns of 
 the joint stock company so to be formed. " 
 
 24. This agreement is provisional only until approved by resolution of the 
 
AGREEMENT. 
 
 [ Nn, r.o 
 
 Legislativo AHsembly of the Province of Ontario. In witness whereof the Coin- 
 niissionerof Crown Lands has hereunto set his hand and seal, and the individuals 
 described hiu'ein as tiie company have liereunto set their hands and seals the day 
 and ybar aforesaid. 
 
 Signed, .sealed and delivered in the pres- 
 ence of 
 
 (Sj,'d) Jack Tavloh. 
 
 },. 
 
 (Sgd) Makshaij. J. Dodge. 
 
 As to execution, by Marshall Jewel ") 
 Dodjre. I 
 
 (So-d) George C. Lovevs. j (Sgd) A. R. Cukei.man. 
 
 As to execution, by Adam Rutherford ) 
 Croclman. ;. 
 
 (Sgd) C. S. MacInnes. j (Sgd) J. J. McNeil. 
 
 As to execution by J, J. McNeil. ) 
 
 (Sgd) A. AxDER.sox. j (Sgd) W. J. Shepi'Aud. 
 
 As to execution by William Joseph ) 
 
 Sheppard. 
 
 i (Sgd) WiLLiA.Ai Irwin. 
 
 As to execution by William Irwin. ) 
 
 (Sgd) T. R CowLEV. I (Sgd) Angus McLeojj. 
 
 As to execution by Angus McLeoil. 1 
 
 (Sgd) T. B. Cowm:y. f (Sgd) T. H. Shepp. 
 
 Heiu'v ") 
 
 .air l(Sgd) C 
 
 As to execution by Thomas Heiu-y 
 Sheppard. 
 
 (Sgil) J. W. Bi.AiR J (Sgd) 
 
 eorge McCormick. 
 
 As to execution by (Icoi-ge iMcCormick. ") 
 (Sgd) T. B. Cowley. '- 
 
 ^Sgd) John W. Benson, j (Sgd) James Playfair. 
 
 AjS to execution by James Playfair. ) 
 
 (Sgd) Otto T. Telgmann. j (Sgd) C. McCool. 
 
 As to execution by Charles McCool. "J 
 (Sgd) ' H. E. Cladstonk. - 
 
 As t(j execution by William Lr-nniis. j (Sgd) William D. Lu.mmis, 
 
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Nn. r.o 
 
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