Rutland weekly herald. [volume] (Rutland, Vt.) 1859-1877, 1870-02-10

Stahu ~, Will De that after the first o
June the road will be run by the Rutlan,
Railroad Company, of which Mr.. Page i
President
CHEEvER, HART Ct aZs,
RUTLAND IL BURLINGTON
RAILROAD COMPANY, Cd ais.
Extract from the opinion of the Cour
ia this ease
The legitimate object of this suit is t.
collect n debt aud u transfer of the posses
sion will be- ordered solely as Il means tt
this rnd appointed by the deed of the par
ue+ 1t appears that the mortgaged prop
orty is ample security for the first mort.
gage debt L. also appears that the Rut.
band Railroad Company are authorized to
sell preferred stock to obtain funds to paw
their bonds. 1t would seem that without
much doubt now that all matters of seri-
ou' controversy are determined, such
Seps may, and probably will be immedi-
ntely taken, as will result in the payment
Of the outstanding first mortgage bonds
without any substantial delay. In view
of these facts and of tho practical impor-
lance to both parties of facilitating such
result, and III view of the fact that a trans
oi'r of 50 large property upon the eve of
paS mems would involve considerable I'M
a necessary expense, and might tend to re-
gard ioStead Of fastening payment, we
Nd justified in suggesting to the Chan
crllor TO hold the case until first dav
OF June next, before issuing his decree
under the " Mandate" which Mandate
w isus follows:
j ON thiss case the pro;to1ma decree of the
4 court ct Chancery is reversed, and the
ctuse reminded, and it is ordered that q
decree pass TO the following effect:
oThat the first deed of trust and mort
Gage il valid.
That the said Cheever and Hart. are |
TO- les& and equitable trustees under said
Gsed, vested with like powers and charged |
with like duties IA the original trustees,
Hooper and Haven
That the bonds secured by said deed
may be paid in any lawful money of the
4 L oted States.
That the holders of said bonds are en-
tuod to interest thereon at the on.raet
gate until paid, that is at seven ~ per
Telt per annum, payable semi-annually,
and allosums which have, or may have
oeome semi-annually due as interest,
whether the same be expressed in cupons or
not shall draw interest at six per cent
from the time due until paid.
The said decree of 1865 is valid and
slsuld in its substantial facts be executed
by the decree in this cause that the Sec
ond mortgage trustees are entitled to have
and may haYe such personal indemnity
ahd such security and lien upon the trust
property when in the hands of the Trus-
tees under the first deed of trust and
mortgage, Us are provided by said decree,
and the said second Trustees as soon as
may be, render in this cause their account
of their administration of their trust for |
tho period since the last accounting. :
which was rendered to and settled by the :
Court of Chancery, under decree of 1866. '
TSat the said provisions as to liens, Sc t
Arurity and accounting, shall not operate I
A. delay or prevent an immediate transfer v
n the possession and control of the trust a
popGty from the Trustees of the Second \
Ieed to the Trustees of the First Deed !,
ihat both, by reason of the default under !
the first deed, and also by virtue of the a
decresof 1855, the orators are now emit 8
iIed to such transfer, and accordingly it b
rs ordered that the second mortgage
trustees be required to Immediately sur
reno the entire property, real and per-
srnal, to the said trustees under the first
deed, except the cash on hand, which the Il
second trustees may retain in their hands b.
Tor their security, until their accounts .,
shag be Settled; they holding the same as "
hitherto under the order and Injunction eS
OF the COURT of chancery as to its DISPOSE b'
ton. oi
That after such transfer, the said first SO
mortgage trustees shall hold and admins. -
ter the trust property according to the a.
fourth trust in the first deed of trust and II
mortgage, and under the control and di- st
rectlon of the court of chancery, and as va
In the decree of 1855 is provided, and
rom the net earnings and funds of said ID
rust property, shall make such payments ~
ipon the interest and principal of the &c
'rsr bonds as required by said trust, but tn
'nly under the order and direction of the We
'onrt OF chancery; and this relief is with To
'ut prejudice to the rights of the orators
Q the other remedies to which they may he
e entitled under their deed, provided er
thers shall prove necessary to protect ne
heir interest. an
lt Is further suggested to the court of NJ,
hancery that this cause be held as with -
he chancellor" until the 1st day of June, us
c'o,ibefore issuing any order for the TN
ranster of the possession of the trust pro- va
erty, and II at that time upon summary wa
ppear 70 the cbannalior th"i ., oiesrIy 10 sti
nts nave paid the outstanding uncon- rea
orted hrst mortgage bonds so far as ac- eve
in hot -
~ the order for transfer of nossess;or -.
or the time being, to enable tbe 1ef1 pia
nts to discover the remaining unconvart. but
q ponds and make complete payment ana the
bv1ate the need of such transfer. II ;s ow
urther ordered that the cross bill be dis III.
Missed with costs. That no costs be al. bn
owed either party by reason of the petit NO
ION OF Jacob Edwards and others. That r.
ne taxable costs of the orators in this ~
ait De recovered against the defendants thu
'irchard and Page, and the bill stand dis aid
nissed as to the defendant Fay, without alt
oct and without prejudice.
For the Court. III
BENZ. II. STEELE, int
r, Judge Supreme Court. enc
ihis decision substantially ends a long str,
lugation and confirms the title of the ma
sutiand Railroad Company to all the cou
foperty OF the Rutland & Burlington low
'aiiroad, subject only to the lien for the pull
Neonoerfed bonds under thefrst deed of PEG
Fust or mortgage. Thess OUTSTANDING the
pnds amount to seys,,4 IN drod ..s aid
|ghty thousand dollai Md interest Z
The paid-up capt. siS4A Rutland the
g 7