Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1869-02-07
operate it when it could not pay expen-

operate it when it could not pay expen
SEES.
But this would not ultimately avoid
| FINAL sale, as will be shown in q Subse
quent part of this report, for sooner OF
later, unless the legislative policy in re
gard to these questions changes, thu
mortgage will be foreclosed in tribunal
when the roads must go to him whC
will give the most for them, with the
right to run or not as he chooses. Sc
that it is the true policy to sell the roads
as soon as possible, for whatever they
may bring.
The committee are Of the opinion, and
the bill reported by them is in accord
ance with such opinion, that the sale
should be made under a decree of q
Chancery Court by suit, in the name Of
the State against the railroad company
making proper and necessary parties, so
that the purchaser would be sure Of get
ting a good and valid title, and the prop
erty bring the best price, with pay
ments Of sufiiciency in cash TO meet
fines, costs and expenses, and the resiS
due in bonds Of the State, or to what
may be coming to her, and upon such
terms as the court might deem best for
the interests of all the parties in ins
tereSt.
The committee deem it best to leave
all questions Of time and priority Of sat
isfaction out Of the proceeds to the court,
to adjudge and determine according to
the law applicable to this particular case.
If the Legislature should declare any pri
ority, or that any class Of persons should
be paid out Of the proceeds, the court
might disregard it as being in violation Of
some vested right. II the parties to whom
a preference should be given did not have
it before, any legislation could not confer
it on them, and if they already possessed
it, the enactment would be unnecessary,
and hence the bill reported, leaves all
these questions to the courts, where it
properly belongs. And, however much
they might desire to provide for certain
classes, many Of them being in needy cir
cumstances' they do not believe they have
the power.
1t may be argued that il sales take
place as proposed, the roads will be
bought up by large capitalists, OF wealthy
and become monopolies. This
may be so. But the railroad system
throughout the United State is monop-
oily, and the only eGectual check that can
be found against it is our great rivers and
steamers that maieStically
float upon their waters. These mighty
rivers are natural highways, and whenr
ever railroads become too exacting in
their charges for freight or passengers,
the public will travel on these great ars
terieS as they did before the railroads
came into use.
But if the check suggested be not
or does not exist how can you
prevent the monopoly? For il is only
question Of time, and all the non paying
will be swallowed up, whether
purchased and owned by the State or not.
If bought by the State she cannot hold
them long, for in her hands, with her
debt not only not diminishing but in
they must sooner or later go to
pay her obligations to whomsoever will
buy them, and at such price as they may
see proper to give.
The committee have said that they must
60 at some time or other, unless the poll
icy Of the State, or rather other legisla~
tors, is changed. Now for facts and law
this proposition. Repudia~
ton, if resOted to, cannot save them.
Suppose the State should buy them,
at at the sales, under the DEGREES.
They are then the property of
the State, and she may not be willing to
sell them. Coneede she will not The
committee have shown her enormous in
debtedness, and that it is constantly and
rapidly increasing. 1t is admitted that
sovereignty can be sued only and in the
manner in which she may consent to be
brought before the courts. The Constitu-
ton Of the State Of Tennessee provides
that she may be sued in such manner as
the Legislature may prescribe. This
were giving her consent, should the Leg
stature in its wisdom prescribe the mans
ner Of doing so. The Legislature did at
one time by law SO prescribe, but a SUBJ
sequent Legislature repealed this statute,
thereby withdrawing her consent. And
hence she can not be sued in her own
courts. Neither can she, since the aioI~
ton OF the eleventh amendment Of the
Of the United States, DO sued
in the Federal courts by citizens Of an
other State, or citizens or subjects Of =
foreign government But she can be
sued in the Supreme Court of the United
States by another State. Most Of her
bonds are held by citizens Of New York.
Now, suppose by her policy she becomes
so involved a. not to be able to pay her
bonds, interest OF principal, all the citizen
of New ! ork has to do, IS TO get The
Legislature of his State to intervene and
take up the bonds, and then the State OF
New York, as it will be her duty to do for
her people, can bring suit and recover
judgment in the Supreme Court Of the
United States. Upon such Judgment she
can have her execution and sell the rail-
roads Of the State and any other proper
ty she may own, ahd if there be not
suficiency the Legislature might be cOm~
PEELED to levy a tax sufficient to pay the
residue. This is strong case, but 1t Is
not beyond the range OF probability If
the course Of events do not change.
Let US take another view Of these guess
tons. Suppose, amid suits against the
State in the Federal Courts, when your
Indebtedness runs up to the amount in
dicated, you levy q tax to meet the de~
mands on the Treasury, it will be 50 high
that few people can pay it, AMI the citi-
zens, who have been living in iancied Sc
curity aIcng your railroads, OF in more
remote parts, will have their lands sold
to meet their Tuinous eyactiOns. Then
wealthy capitalists, Of whom we fear so
much, will como in and buy the homes Of
these people, and their liresides will be
gone, for they will not be able to redeem
them.
Butsuppose tins Legislature, as the
committee hope they will, should adopt
the retrenchmeHts suggested, and agree
to pass bill to sell the railroads belong
ing to companies who have failed to pay
their interest, then the grave constitu>
tional question comes up, have we the
power, under the law existing at the time
these companies were chartered, or aCS
cording LO The provisions Of these acts o
incorporation TO f)rce sale, OF rather,
should we pass a law, would it be con
stitutional and could the court decree a
sale before the Inaturily Of the bonds.
Ii IS conceded that tho Code provides
that IF the company fail to pay any Of
the bonds at maturity, the Governor shall
notify the Attorney General olthe distric,
in which such company has its place o.
business, who shall Immediately file a
bill in the Chancery Court to iniorce th'
linu II In Slatn WINS Is substantially