Peabody Coal Co. v. Navajo County

CAMERON, Chief Justice.

This is a special action brought by petitioner, Peabody Coal Company, against the respondent, Navajo County, seeking to compel the respondent to satisfy a judgment for the refund of certain taxes improperly levied and collected. Two issues are raised:

1. Did Peabody file a premature demand for payment of its claim?

2. Is Navajo County entitled to set off the judgment against other taxes owed by Peabody or must it refund the amount in cash?

The factual background out of which this case arose is as follows. On 30 October 1972, Peabody Coal Company filed a lawsuit against…