The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1872-05-31
THE RAILROAD CoNTRAcTr

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The belieiiS entertained by many that
the contractor Of the Wheeling and Lake
Erie Railroad Is to receive only half pay
for the construction Of the line until the
entire work shall have been completed.
This is manifesty incorrect The terms
Of the company's contract with q. B. viii.
son & Co., as given by Mr.. Bell in hisown
language in his letter published in both
daily papers Of the city, q few days since,
are that "both the share and bonded capi.
"tal must be placed under the control Of
trustees, who are required 10 see to It's
application and the contractor receives
nothing whatever untilstwenty miles Of
"the road are graded and tied, and the
"bridges and masonry thereon completed,
land thereafter only fifty per cent of the
engineers estimate in cash from Hand
"Other stock subscriptions, until the compile.
"tion Of the road" Thisis Mr.. Bells own
language and is evidently given as the
substance Of the following provision quo.
ted from the contract itself:
"Itis, however, understood and agreed that no
part OF the cash payment from local Bubscrip.
lions shall be called for by parties Of the second
part (the contractofs) until after twenty miles OF
the said railroad are graded and tied, and the
bridges and mAsonry thereon completed; and
thereafter Tor grading, teing, Taasonry and
bridpaa onlv INV nor sliit m fhe eTpIneapa' eaI.
mates Of cost shall be called for In cash by par.
ties OF the second part out Of the ayAils Of local
and stock subscrpti either for the said twen.
ty miles or for any subsequent work until the
said line 10 eompletedN 20.
This part-of the contract clearly pro.
vides for the payment in cash, to be 70.
allied from local subscriptions, for one.
half of the full cost of all work done
after the first twenty miles are com.
pleted.
But the 4th article Of the contract as
quoted by Mr.. BELL is as follows:
And the said party Of the Arst part the rail-
road company further agrees toPrepAre forth;
with the utual scrip certificates Of stock OF said
company, and to execute and deliver the same
to said trustee or trustees for them to have and
70 hold for the purposes Of this contract for the
full amount Of the capital stock OF the said com.
pany, authorised By law; and that The said trns.
Tee or trustees shall bold the same In trust for
the various parties In interest," and shall deliver
unto the parties OF the second part, or their or.
der or assigns, 10 much and such proportion OF
said stock as they shall from time 70 tina re.
quiEe and be entitled to receive during the time
OF construction, upon the said monthly -eSti'
mates OF the chief engineer Of said company.
1t will be seen that this article provides
for the delivery to the contractor (the par.
ties Of the second parD proposition Of
"scrip certificates of stock" in payment Of
the work OF construction in addition to the
fifty per cent caat payment elsewhere pro.
vided for in the contract as above shown.
Furthermore, it Is a feature of the con-
tract, which has been made specially
prominent by the friends Of the road, that
but one.half Of the share capital stock Of
the company is to be taken by the local
subscribers, the remaining half ($2, ,000,-
OOO) to be taken or provided for by the
contractor, and that stock certificates to
that amount are to be delivered to him by
the trustees in payment Of work done
under the contract upon the engineers
monthly estimates of the cost of such
work done. 1t will be seen, therefore,
that whatever the estimated cost Of any
portion OF the construction may be the
contractortwin receive fly per cent Of
that cost in cash, and will be entitled to
"receive" and may require fifty per cent
thereof in the "scrip certificates" to be
prepared forthwith" and to be executed
and deliuered to the trustees for that pur-
pose. Thus the contractor receives full
pay for his work as rapidly as he accom-.
plishes itatter the first twenty miles are
constructed. 70
II the work of construction is com.
menced at tho other end OF the line, as
Mr.. WILSON told in his Norwalk speech,
was his intention, he may, with entire
safety to himself abandon the work at any
point after the tirsttwenty miles has been
completed and the company will have no
remedy against his failure or refusal to
complete the whole line. The first ex:
tract given above from the contract, Mr..
BELL tells US in his letter, twas put in the
contract as guarantee that the conirac.
tors should not abandon the work when
partially done;" but We submitto the in
telligent reader whether the provision in
any adequate degree serves the purpose
for whice it was intended. That provision
refers only TO the "cash payments from
local subscriptions" but is singularly and
wethink significantly silent in regard to
the scrip payments provided for in the
second quotation from the contract.
1t strikes US that business method Of
guarding against the abandonment of the
work before completion would have been
to exact from the contractor a bond with
we'll known approved sureties, for the full
and strict iulillment Of every stipulation
Of that instrument. II the contractor is
the well known and reliable flnancler he
has been so profusely represented to be,
he surely could have readily furnished
such sccur''Y and thushave added greatly
Y the G ldence the people arc now
/ asked To ref)Ose in him
Playing his Role,
Mr. II. B. WILSON, the eminent New