The Superior times. [volume] (Superior, Wis.) 1870-1912, 1874-07-11
Railroad Ii ".
DECISION OF THE Z. 5. CIRCUIT COURT ON THE
NORTHWESTERN APPLICATION FOR
THE "PoTTERo LAW DECLARED TO BE LEGAL
AND AN INJUNCTION AGAINST THE STATE
AUTHORITIES REFUSED.


AUTHORITIES REFUSED.
BoNDHoLnERs AND STOCKHOLDERS BOUND TO
TAKE NOTICE or THE PEcULIARIrIEs OF
TIE WISCONSIN CONSTITUTION.
TIRE LEGISLATURE ABLE TO MODIFY OR REPEAL
ALL EXISTING RAILROAD CHARTERS.
Madison, July 4.-The following
is the decision Of Judge Drummond
in the great railroad suit, delivered
in the United States Circuit Court
at this place, July 4th, 1874:
William T. Peck ct at., George II.
Paul ct dI, and the Northwestern
Railroad Company. Motion for IN
injunction. Drummond, j.
The following are the conclusions
of the court upon the points made:
The motion is for a preliminary
Injunction. First, on the assump-
ton that the act of the Ilth of
March, 1914, relating to railroad,
express, and telegraph companies,
in the State Of Wisconsin, is invalid.
I ~ lillHh ~llC fotti iiiS III iSNlIC-
ton in the case The bill is filed by
bondhoIders, citizens, of Europe and
of other States, to enforce their equi-
table rights and to prevent action by
the railroad commissioners which
may result, as alleged, in serious in
jury to their rights. 1t was not
necessary to wait until the commits
sioners had put the law in full oper-
alton and until its effect upon rail
way companies had become com
p!ete before application against
them was made to a court of equity.
y very important function of that
court is To prevent threatened wrong
I to the rights OF property.
Second. We are Of the opinion
that the act OF the 1lth Of March,
mentioned above, was not repealed
by the act Of the 18th Of March,
1874, the SecOud section Of which
/ declares that all existing corpora
tons within the State shall have and
. possess all the powers and privileges
mentioned in their respective char
ters, and the act Of the 18th of
March, 1874, and the ninth section
OF which imposes a penalty for ex-
orbltant charges.
There are apparent inconsisten-
cles between this last named act and
that of the llth of March, but it be-
comes question of intention on the
part OF the Legislature. On the
same day a joint resolution was
passed, March 18th, directing the
/ Secretary of State not to publish the
act Of March 1lth until the 28th Of
OF April. Acts of 1874-p. 500. |
In this State no general law is IN
force till after publication. We
think we may consider the Joint res
Olution in order to determine wheth-
er the Legislature intended that the
+ two acts passed on the same day
should repeal the act Of the llth Of
/ March, and from that it is manifest
such was not the intention Of the
Legislature.
I Third. The charters of railroad
corporations under the constitution
Of Wisconsin may be altered or re-
/ pealed by the Legislature at any
time after their passage. In legal
effect, therefore, there was incorpor-
ated in all the numerous grants un-
der which the Chicago & North
western Railroad Company now
claims its rights Of franchise and
property in this State, the foregoing
condition contained in the constitu-
ton. 1t became part, by opera
tlon OF law, OF every contract or
mortgage made by the company OF
by any of its numerous predeceS-
sors, under which it claims. All
share and bondholders took their
stock or other securities, subject to
this paramount condition, and of
which they in law had notice.
Ii the corporation, by making a
contract or a deed Of trust Of its
property could clothe its creditors
with an absolute Interchangeable right,
it would enable the corporation by
its own act TO abrogate any of the
provisions Of the fundamental law of
the State.
Fourth. This principle is not
changed by authority from the Leg
islature Of the State to a corpora
tion of another State. The corpor-
alton of this State is still subject to
the constitution Of Wisconsin and
there is no power anywhere to re-
move it beyond the reach Of its au
/ thority As to the rates for transit
of persons and property exclusively
within the limits of this State, the
Legislature had the right to alter
/ the terms OF the charter of the Chi
cago and Northwestern Railroad
Company, and the fact that such al