New-York tribune., 1875-11-30
THE UNION PACIFIC WINS.
FsH, Continued from First Page.

cred in the nature OF proposal for inducing men 10
engage IN the work There was no certainty that
capital, with the untred obstacles in tho way,
% SS cone%. which Son n @ of
cess remuneration proporonate to the risk incurred
and Of nerestbearng bonds Of tho United states
Is controversy about the terms on which the lands
conr6yersy relates to the Obligation imposed upon the
Company to pay these bonds.
TfIR PRECISE QUESTION AT ISSUE.
1t is not doubted that the Government is 10 be reln
bursed both principal and interest but the precise ques
tion decision is whether the Company is required TO
pay the interest before tho maturity OF the principal
The solution the question depends upon the meaning OF
the 9th and 9th sections of the original ct OF 1862. and
Of the 9th section Of the amendatory act
OF 1864 The 9th section OF the original act
contains the undertaking OF Government, and
the 9th defines the obligations OF the Company
by tho 5h section II is provided that on the completion
and equipment Cf 40 consecutive miles OF said railroad
and telegraph in accordance with the provisions OF this
act there should issue TO said Company bonds OF the
United States Of $1,000 each. payable In 80
years after date, bearing six per centum per
annum interest said interest payable semiannuay and
to secure tho payment to tho United States
hereinafter provided OF tho amount OF said bonds so
issued and delivered TO said Company together with all
interest thereon which shall have been paid the united
States the OF said bonds and delivery to the Com
pany SHALL ipSo 6act0 constitute first mortgage on tho
whole line OF the railroad and telegraph together with
the rolling stock fixtures. and property of every kind
and description; and in consideration OF which
said bonds may be issued and on the refusal
or failure OF said Company TO redeem said bonds or any
part of hrm VIII. required to do by the Secretary Of
The Treasury in accordance with the provisions of the
act the said road with all the rights functions lin-
mites and aurtcnauces tbereuIo belonging and also
all land granted 10 the said Company by the United
states which at mo timo Of said default shall remain III
0wnrrshp Of said Company may he taken possession Of
Inv thc secretary of the Treasury the United States
The manifest purpose Of this section is to take en on
the property OF the Company for the ultimate redemp
bonds,
time lett 10 further provision That the Government
was expected IN the rst instance. to pay the interest,
clear enough for the mortgage was taken to- secure
the repayment Of the bonds, to1cther WIN WIN an an
the United states. This phrase implies prior payment
by the United States. Whatever may be the duty OF the
corporation in regard 10 reimbuistment, when re-
payment is spoken of, il is Understood that something l5
10 be paid pack AarJ from haf had It been the inei-
ton Of Congress that the corporation itself should pay
the interest it fell due the phraseoogy appropriate to
such IL purpose would have been used. But when and
how the reimbursement was TO be made, was 10 pe III
conformity with ,he terms prescribed in another portion
Of ne act The latter part of the section provides for
tue forfeiture OF the properly OF the Company IN case OF
failure to redeem the bonds according to the plan oil
redemption thus provided
TIE COMPANYs THREE DUTIES.
The obligations imposed upon the Company. or as
sumed by it, elat to The repayment of the bonds,
forth entirely IN Section o. wGch on account OF
lis importance is quoted at length
SEC q. And be Jhsr enacted That the grants afore,
said are made upon condition thSi said COMPANY siii
pay said bonds at maturity and shall Keep SAID railroad
and telegraph line in repair and use ana snail at al
dispatches SAID Telegraph me,
transport mails. troops munitions OF war; supplies and
public stores upOn said railroad Ter the HoNcthmtht
whenever required to do by any department thereof
and that tho Government shail at an tines nay r
the preference in the use OF the same Tor an tle
purposes aforesaid at fair and reasonable rates of com
pcnsatioD, not to exceed the amounts p3id by private
parties foI he hind OF service ana ali coHpcl-
applied to the payment Of said bonds and interest tl
the whole amount is fully paid. said Company may also
pay the United states wholly or III part IN the same or
oSaea oosi & &IiTSaS nJtI. ~ me- 81 i - ar and oftcr
is lsel1
pad, at least centum oi net earnings OF sd road
snail also annually applied TO the payment thereof
Leaving ont OF consideration the parts OF this section
not pertinent to this inquiry there three things and
three only winch the corporation is required to do, con-
cerning the bonds in controversy;
FIRST: To pay said bonds at maturity;
second: To allow the Government to retain the COM
ponsaton due to the corporation for service rendered
and to apply the payment of the bonds and inter
Ihrd: TO pay oyerto the Government after the road
the road to be appropriated TO the payment OF inc Dods
and interest
CONSTRUCTION OF THE WORD MATURITY"
II we take the language, used in is
natural and obvious sense, there can be no dlfl-
Guilty in arriving at the meaning of the condition to pay
said bonds at maturity As commonly understood the
word maturity" IN its application TO bonds and other
similar instruments, applies 10 the time fixed for pay
mcnt which the termination OF the time that they
have to run The bonds in question were bonds OF
..
ernment was required to perform, and as
the bonds were issued and delivered to the
coporation TO sold for the purpose OF raising money
with which TO carry the work, ii is Insisted that Con
cress must intended TO impose corresponding Oh
LEGATION on the part of the corporation IN support OF
mat construction it is sought to give the word "ma-
rity" double s.gniiicaton' applying IL 10 ci'iy
payment OF interest as IL Idils uuo .,dS 49,; VIZ "'
ron of the word beyond it, natural ana obvious
meaning, aud would De contrary 10 al lreal rue'.
an thi. UOiui. Lord Chief Baron Ireland VINO sdld
venture to ay it down as general rue respecting IN
ms, al,Sys ne restricted the words, which must bear
the sense that is commonly put upon ,!. mem.
corstrne mems deeds but We make deeds for them"
This rule f. applicable to me angilse o ia a 5ttI, @ i %
at maturity" does not bear the sense sought 10 ne
attributed to IL, but applies Obviously 10 nc me- & h
- -oC..U u"0 and the pIjpelal when it IS due. 1t il
one ti',ng to be required pay principal aud
interest when the bonds reach maturity ana a
wholly d fl.fcnt thing to te required TO pay
ics every six months and the prime pal at The end 0I
so wears Ine obligations are 30 dEcrt mat they can
UOf both grow OHt " The word emp!o!ei ana II is is
necessary 10 slperadd others in order 10 cAI'hu thc
rudo1 40 as u include the payment oi semi hual ih
li ire IRON lie - press letter Of the statute
Warranted, and especially NLcn tuch /" C'l'l ~,
leads % great an extension oi zoe ~ 80 ~ @
t nc grant The failure Of tne COMPANY % perform
tap conG ton declared o'9o oI I.e ol pi"
property OF corporation rs N9g ct TO i'iit.il.o u
every occasion when Six months Mei'a' i"9 "N0 ''''"
IS not pad. - ,.,,,..., 4, n
FALLS DUE.
II would require pretty long statement 10 declare
t trims and conditions assumed by this corporation
when II as entcd to tine act. ICongrcss had inend-dto
xct from tic Company the payment OF interest Tor
toe, bonds Jcfor. maturity Of the bonds te9feFeS'
n would have declared its purpose III language
about which there could De no nisunIers'and-
,. Prt II the words "to pay said bonds al
,o.n.,ity" did not give notice that tlht
,actIon on the part OF the Government was intended
neither did ,he o,irI PROV -ons of 90, sxh section DO s".
M. ...le olL.-Lnn % nc Il VI ~ No.-uH ~