New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-06-01
THE UNION PACIFIC CLAIM.
THE COURT DECIDES AGAINST THE GOV.
ERNMENT

UNION PACIFIC COMPANY IN THE SUM OF |
$4,000, oNE-HALf THE AMOUNT EARNED FOR |
GOVERNMENT Observation-Disclosures GOVERN
MINT CRoss-ACTIoN DisMIssED--T TEXT OF
THE OPINION THE COURT.
IBr TELEGRAPH TO THE TRrBUNE.l
WASHINGTON, May 31.--In the United States
Court of Claims to-day, Justice Mott delivered the
opinion of the Court in the OF the Union Pacific
Railroad Company against the United states. follows:
OPINION OF THE COURT.
This before the Court in two distinct forms
First in that Of action brought by the Union Pacific
Railroad Company 10 half Of certain freight
earnings withheld from it by the Government; and |
second in that Of action brought by the United
States back the interest which they have paid
to third persons their bonds heretofore loaned the
Company to aid in the construction of its roads The
Company admits that the Government has the right to
withhold onchah Of such moneys as the road may
by transportations of mails, military, and other
suppnes The United States insist that they with
hold all OF these earnings and apply them in payment of
oy tSS nfere oa he instant D tsnt IL e. nad m %
holders of the bonds The statutory history OF the case,
Wned states should loan to the Company Government
bonds, condition that the Government have the
TO the Company oT the transportation of mails military.
and ofner supplies ana apply aae amounts mus Will ne
ssS % The ' ast pff'Hs issel @ halt
As ss, tf 70 ,s s a4ss,s s
seereay 81 Of the Tessuy to pay This half PROVIDED
by the act Of 1854 he sayng then recently Ssssd the
Withhold all payments the amount of payments made
by the United States for interest and provided for test
S ans the s OF the United states to back
ss Sa hese BE nstf9 r. ss ans
and independent The Company may have valid cause
may valid of action against the Company,
and ns y o s e % Of %Da f
asserted in the suit by action and cross action the
snt will viii not swa0w sense defeat Il
The Court in such a case simply credits to
Judgment in favor of for the balance So far the
Companys side of the case is concerned it is manifest
able service rendered present debt aceues unless the
pave W. a .a pnnssc
this purpose declared by the act of 1864 which
authorized the Withholding of half but assured the pay
subsequent legislation the whole railway was
by the party and all OF the bonds were issued by the
other therefore, that staute IN every legal and moral
The real and important question in the case i whether
the United States their action TO recover
porancc manifested was suggested by the learned
assistant ~ the p9ss IN , tins
action they not be able hereafter TO charge IN
If ss son i the has considered but cannot adopt
proposition maintained By the learned counsel OF the
seeretary McCnilocH constituted contemporary con
sructOn of contract by the parties, such as courts
not the contracting agent 81 the Government, but
the provision Of the law Moreover, there was
press contract in these transactions TO be the subject OF
Elements Of compact by pcdging the public faith, but
is nevertheless TO be construed according TO rules f1r
o. contract il Is the purpose q courts to ascertain
a ana ss Is 20 S o@ the words
menus but where parties at time OF by the
Wo the as Ts adopt @
eyer Ssa %st 0 and he Of a%
opposite minds ono INC thing BE S1na
mutuanty Of agreement to be sought out An Of the
side the only intent which judicial construction can
maze cs n1sa With tne gra S Se the
ment is esoPped from setting up doubtful con-
s S S ssbeng P1y
But the Government Is mot now Sn asserting pTGGndes i0
party from Assuring tsss which, good con:
science he TO ought e nSs good
does not require refrain from collecting the debt Tor
%rons To- the debtor When the Government attempts
enforce these ten foreures the doctrine of csoIp may
be de Ie a eS ni erns
wopa be SeSer Dc 70
1871 the conclusiycness attributed TO IL by tue CLAIMANTS
As before shown the Company has demand against
the Government for services rendered ana tne
its twas perfectly consistent WIN tne res
eryaton OF its rights for Tue & 70 pay TO nav
liz debts TO the Government IN 1871. Secretary OF the
tune aaa lain Dormant refused to the deb. Of
the to sns SToeeied the eceary 10 eject
NOT 10 assert this night of seo but to go on paying e
debts of the Government as peOie 10y ,n act c VI
credit for the advances, and diicc,cd Tue secIetaS "
assert for the Government the right OF seton, on N
other words to insist, to that extent upon inc payment
advances for interest became debts Of the Company que
and payable fast as they we're MADE ue
IL might them as fresh loans ana cLrse ~
upon them from the moment they were made, OF ~ ~
pa The act OF 1871 authorized tie credit; the act Of
1873 insisted upon the INC one % nu the
other did infringe any right vested III inc CoiPyi
both left the original COMPACT entirely unto9eheu' @S
stood declared by the statutes OF leoZ anu ioo8'
THE FINAL QUESTION IN TIE CASE.
We come now TO the final question in the ease. The
.ots of sG2 and Is64 declared and still define the bar
rain whatever 1t may The learned Assistant Ator-
has insisted that these acts, in legal conte
natiun are nothing than charter OF ana grant 10
tbe Company and that the consideration to the United
States a. In legal effect nothing more than the consider
alton of public benefit. which is theoretically reccvedlor
every statute creating u body corporate III IL Wei
known 10 every that when these statutes were posea
tho United Threatened WIN
and that thoughtful persons Appreciated WIZ co9er
the possibilities Of the territory OF the fepupnc iapg
into parts and III The portion "es' " Iho
Mountains separated ~ dostrs an1 itv II j. also
e1ually well known that constantly recurring In"'i
hosllies upon the plains ienGin" o'o ca@a,S be-
ypnd aispne that fhe Government was possessed OF
SSapcs of unsaabo hand, which II desired 10 p.ls
WITHIN Ihe reach OF purchasers Consucisttons 'noI
fore politiral and financial, OF no common masor
tule mnst have operated upon tno ieY's.a n,e
minds A. inducements for all the fiancinscs anu si
wi,ich thesc statutes created and cohlcrico.
Hever.heicss the magnitude OF tie condcIaun &
not change lie Of the legislaOi nor wary @
Tue of eousi by which the rights Oh tbe R,Hre
must measured Tue judiciary can never we'sn o
that particular grant secured 10 the Govern
neu nor say Ia case, that the constitution wac 10
gr.al That tie statute should he deenl.d conact, o
Construed IhoIaDy and another, tat the considcrd-
ait Al