Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1868-12-14

10 the very important case OF thu ed
minlstratOTs OF CatheIiae G. beppell VS.
the Petersburg Railroad Company, de
cided at the present term OF the United
8 ates Circui! Court for the District O
YireIuis, Chief Justice Chase delivered
the following opinion,
This is a suit by the administrators o
2 stockholdsF Of the Peisrsburg Railroad
Company, who was a citizen of Pennsyl
vauia. SID resided ia the city OK Phils
dsiphis during the late rebellion, TO com
pei that corporation, orestsd by the stat,
utes OF Virginia and North Carolina, SAD
having the principal Office Of business a.
Petersburg, to account for dividends de
clared by the Company during 1851 and
SUITS %quentiy, before the ding OF the bill
on the 22i OF November, 1885.
According 10 the statement OF the sn-
sveT, admitted TO be true by written
s~tipulstions by counsel, Catherine G..
Keppell, before the rebellion, was the
owner Of two hundred and three shares
OF the Compsny's stock, and sGbseQueEt-
.ly, by further issues OF etoek, became en-
titled to one hundred snd one additional
shares, making a total OF three hundred
and fur sisFSs,
After the secession OF Virginia, and
Organization Of the Southern Confedera-
cy, the Company submitted, Without OPP
position, 10 the control Of the CoDfede-
rate government set ID over North Caro-.
llaa sEd that part % Virginia IN which
the road lay, In hOstiie exclusion of the
constitutional spth0Fiiy OF the United
States.
Subsequently,, on the 30,h OF August,
1881, the Confederate Congress passed an
80 80. 81. -~.Vg@Fa.FF- - aaa4l-,
o. sill property found within the rebel
States belonging 10 loyal citizens OF
other States OF the Union.
Under this act, such proceedings were
had By q District Judge holding a court
under the pretended authority OF the
Confederate Government, snd az q re-
eeiyer appointed by bin, that nInety
shares Of Mrs.. heppeilis stock were cold
to suDdTy purchasers, Snd dividends
were paid on tbs whole number Of shares.
partly 10 these purchasers and partly to
the receiver. These dividsnds amounted
TO one hundred and ni1s per cent. and
vsFe paid ~ different times from July,
1851, to November, 1884, inclusive.
After the o7efthFOG of the Confeder,
.9y, the safes maze by the receiver were
treated as utilities by the railroad COM
psDy. Scrip for the ons hundred and
one additional shares wss sent TO the
comp.ain&nts, as sdT inistrstore, and II
dividends had been subsequently, de-
ciared, payment would have been made
to them On the whole three hundred and
four shares.
Ii appears from this statement thatth
company itself regarded the O0niscatioD
ace IS nuii and OF ia force 50 fer "a the
sale Of tbs ninety shares Was concerned.
That sale was treated as G nullity, and
the title OF the purchases under 1t as
WORTHLESS.
But The company elsims-Ist. That
payments Of dividends, mRde under the
same cot, 70 the recsiysr and the pur-
ehssers, must be upheld as valid pay
q d 81. II this claim be disal-
then that the liability OF the com
psny was only to pay, on demand, the
dividends OF Mrs. Keppsll, in such cur
rency as was necessarily received, and
no demand having been meds except BY
the commencement OF this suit after that
currency had become wholly worthless,
decree now be made against the
company.
The nrst Of these propositions rests up.
on the premises that the Confederate or
was 3 Government de Jdcto,
and that acts In obedience 10 It's authori.
~ mnst be presumed TO have been done
under the eompulsion Of a superior force,
By reason OF which the sc.ors are die.
from all ulterl0f responsibility. |
0tthis 1t may be observed, Ia the lrst
that the term de Jdoto, as descrip-
I've Of 6 Government, has no hxsd and
eense.
II Is, perhaps, most correctly used az
iignlfying a Government completely, |
only temporarily, established In
,lees u the lawful or regular Govern,