The Vermont transcript. [volume] (St. Albans, Vt.) 1864-1870, 1867-04-12


under the provisions of this act, it
shall become vested with all the DOW
ers, rights, privileges and franchises
for maintaining and operating said
railroad, which were vested in and en-
joycd by said Rutland and Burlington
Railroad Company. And it shall be
subject to like duties and liabilities
And shall likewise succeed to. hold
and enjoy all rights, benefits, title and
advantage derived or to be derived bv
the trustees of said second mortgage
or deed of trust under any decree of
foreclosure of the same or of sales of
said road and mortgaged property
And all rights, title and interest ac-
qured by said trustees under any such
foreclosure or sale shall vest in said
corporation. And said corporation
may at once take possession of and
maintain and operate said railroad
subject to all existing rights of other
parties, and may proceed in any man
ner it may deem cNpcdient, either by
purchase or otherwise, 10 obtain the
title and ownership or the use and
benefit of the whole estate, and to sat
isfy the intcicats or claims, undivided
or otherwise, Of any other party or
parties interested in said railroad or
any part thereof. And until the in
terests of such other parties shall be-
come vested in such new corporation,
said corporation shall be the trustees
thereof, and shall be accountable there
for rs such.
SEC S. Said corporation shall be
authorized upon vote of their directors
to issue a preferred or guaranteed
stock for the purpose of satisfying,
paying or purchasing prior claims or
membranes upon or interests in said
road and property, and not exceeding
in amount the amount Justly due upon
said prior claims or membranes.
And such stock may be exchanged for
such prior claims or membranes up
on such terms as may be agreed on.
And said preferred or guaranteed
stock when so issued shall be entitled
to receive dividends from the earnings
and income of said corporation at the
rate of seven per cent per annum, pay
able semi-annually, free of United
States tax, before any other dividends
shall be made therefrom. And said
corporation shall pay and shall be la
bic to pay such dividends on said pre-
/ ferred stock semi-annuaily from their
earnings or income And until de-
clared, interest shall be added to each
/ dividend from the end of the half year
when the same should be declared.
And no dividends shall be paid on the
common stock of said corporation I'M
til a dividend is made on said prefer
red stock, nor while any semi-annual
dividend on said stock or interest
thereon, herein provided for, remains
undcclared And no mortgage of said
road and property, or any part there
of, shall be made by said corporation
that shall take precedence of said pre-
ferred or guaranteed stock in the APP
plication of the income of said corpor-
alton.
SEC. Q No preferred or guaranteed
stock shall be issued by said corpora
ton unless an equal amount of claims
or membranes on said road OF
property prior to that said corporation
shall be thereby satisfied, retired OF
exchanged therefor And if any suct
preferred or guaranteed stock shall be
ISSUED in violation of the provisions o
this section, the directors of said cor
poratiOn shall be personally liable t
any holder of such stock for sucl
damages as he may sustain in conse
quence of such over Issue.
SEC. 10. Said corporation shall b,
authorized and empowered to nak'
any bylaws not inconsistent with the
provisions of this act nor with the law
of this State, and to make any and al
lawful contracts touching the sat STAG
ton, adjustment or payment of prio
membranes on said road and prop
erty
SEC. II. Said corporation shall b,
authorized to make the preferred stool
herein provided for convertible int
common stock of said corporation a
the option of the holder.
SEC. u This act shah be subjec
to the action of any future Legislature
to amend. alter or repeal, as the pub
lie good may require.
SEQ. 13. This act shall take elfec
from its passage.
Approved March rs, 1867
An An act tn enable the towns III oreii