Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1871-04-21
NASHVILLE.
A Great Railroad TFads---LOuisYilIs
Secures Access to Montgomery
and the Gulf,
The North and South GrssnIaW &
Tate's, Road Wautsd---A Good
Thing for the Winner.

/ Speclal 70 the APPEAL
NASHVILLE, April 20.-A lease of
the Nashville and Decatur railroad to
the Louisville and Nashville Railroad
Company has been agreed upon by a
Joint committee from the Directors Of
the two roads, at Louisville. The
committee from the Nashville and De-
catur company consisted Of Gen.
John G. Brown, Hon. Geo. S. HOUs-
ton, Col. ThOs. NJ. Jones and Mr..
Sloss, the President OF the road.
This lease will be submitted TO the
directory Of the Nashville and Deca-
tur road to morrow, and by them to
their stockholders. Its subject to rat
ifcatiOn by the stockholders Of both
roads. The terms, as we understand
them, are as follows: The Louis
vile and Nashville Company assume
the floating and bonded indebtedness
Of the Nashville and Decatur COmpa-
ny, not to exceed 81, ,45O, 900; the lease
to extend for thirty years, to go into
effect on the lst Of July, ,lS72, or sooner
if agreed upon by the parties.
Concurrent with, or dependent upon
the ratification Of this lease, is a con-
tract by which the Louisville and
Nashville Company binds itself to
furnish the contractors for building
the North and South road, the money
to complete that road. This money
the North and South Company are
obligated to furnish these contractors,
but owing to the war in Europe, that
Company has been unable to comply
with its contract with its contractors,
and that work has been for some time
suspended.
Under the new contract the North
and South road is to be completed by
the first of May, 1872, to return to
the lease Of the Nashville and Deca-
tUr road. From and after two years
from the date Of the completion Of
the North and South road the Louis
vile and Nashville road is to pay
semi-annually an annual dividend of
six per cent. on the stock Of the
Nashville and Decatur stock.
Should the profits from the North
and South road during the first two
years that it is run fail to pay the in
terest on the bonded debt of that COM
pany, then the Louisville and Nash
vile company may appropriate so
much Of the six per cent. annual divi-
dends that would be due on the stock
Of the Nashville and Decatur COM
pany for the first two years Of the
lease as will be sufficient to pay the
One-half Of the deficit OF the North
and South road in meeting its interest.
For the payment Of the indebted
ness of the Nashville and Decatur
Company the Louisville and Nash
vile Company is to receive stock in
the Nashville and Decatur Company.
at the expiration Of the lease the road !
and equipments are TO be returned to
the stockholders. If there be any def !
cheney it is to be paid by the Louisville
and Nashville. Company. II there be |
an excess in valuation when returned, /
the Nashville and Decatur Company
to pay for it. There are no perma-
neut improvements to be made with
out the consent Of the Nashville and
Decatur Company. The organization
of this Company to be continued dur
ing the lease OF the road, and equip
ments to be received and returned at
gold valuation. The Nashville and
Decatur Company is to have the right
Of adjusting all suits and disputed
claims against it.
Strictly guarded stipulauOns are
made, prohibiting any discrimination
for or against any point on the road,
especially Nashville, In the tariff or
movement of treights.
The lawyers to whom the question
was submitted Of the authority of the
city to lease the Nashville aud Deca-
tur railroad, have reported that the
city possesses no such power.