Watertown republican. [volume] (Watertown, Wis.) 1860-1906, 1878-08-07
THE LAND-GRANT DECISION.


What the Union Pacific Officers Think
About. 1.-THE Matter To Be Fought
in the Courts--Bad Effect on Land
Sales.
rs~Ts~.-- Omaha Republican. f aer-rgs =
A Republican reporter called yesterday
afternoon at the office of U. Z. Land
Commissioner Durham, and had a
conversation with him concerning the
recent decision of Secretary Schurz con-
corning the Pacific railroad lands in case
of Dudymctt VS.. the Pacific railroads.
The secretary holds that the charter
granted the company must be inter
preted to lay all unsold lands of land
grant railroads open to actual settlers at
the government rate, $1.25 per acre, if
unsold at the expiration Of three years
from the completion of the roads. The
price per acre goes to the railroad cOuI-
.pany. The substance Of the converse
ton is given below:
The decision is unjust to the COM
pany, and not based upon good grounds.
A certified copy has not been received
at this Office, and the published deci'
sions may be modified, by comment of
newspapers, so that We have not the
entire matter before us to base our views
upon. There has been some conflict
of opinion among newspapers which has
led to the intentional aO- #unintentiOnal
misapprehensiOns Of the facts. The
lands are still held by the railroad com-
panies, and they are entitled to the pro-
ceeds from the proposed pre-emption,
as Is clearly expressed in the text of
Schurz' opinion. The language of the
charter is: "All lands unsold or not dis
posed of after three years from. the date
of completion of the road or roads shall
be open to actual settlers, for pre-emp-
ton at $1.25 per acre." to be paid to
the railroad company to whom these
lands are granted.
Now it has been held by no less a
legal authority than Judge Jere Black
in case brought by the Kansas Pacific,
that the words mot disposed of" may
be and clearly are to be interpreted,
not as meaning unsold, but, not in any
way placed out of the hands Of the COM
pany. He further holds that the first
mortgage bonds that are provided for in
the act of ga, whereby the bondholders
are secured by these lands, is an actual
disposition of the same. The same
would be held upon all other roads hav-
ing the land giant mortgages
The decision of the secretary is such
that it includes all railroads built upon
the iand<grant plan, and Of course az
fects all. Nearly all the important
Western railways are hence affected, for
nearly all have fnnsold lands. No doubt
is. cast upon the right Of the road to sell
its lands for any price, until some indi-
yidual attempts to settle upon piece,
and appears at tnelocal lands office f,.r
that purpose. Here, then, the trouble
begins, and it, is the purpose of this
company, and doubtless the Burlington
and Missouri and others will pursue the
same plan, to. contest every case that
comes up. and carry it from court to
court until a final DECISIONS reached in
the supreme court. In all such cases
there Will be but two main questions to
decide. /. The time of completion OF
the road in question, SO that the three
years after may be determined
2. What is, meant, by, dis position of the
lands. 81 III Al
The second question is the more i'm
portant.s If the secretary's decision be
maintained, then the security of the
land-grant bondholders is lessened by
the dlfferenceLbetw the ordinary OF
probable selling value Of the land, and
the $1.25 per acre. These land-mort.
gage bonds we're given to procure means
for the completion Of the railroads
Had assufficlent amount ofmoney been
raised for the required purpose, upon
a smaller mum Der Of acres Of land than
the entire, land grant, then that portion
remaining unrnortgaged at the end oil
three years from the completion Of the
road, would commander the term "not
disposed of, y and would beopen to pre-.
emption. s'aml1ags5 a"i
The worst feature of the case is the
shadow it casts upon the title Of the
railroad companies in the eyes of those
not posted, which will materially inter
fere with their sale. Tt will prevent tho
rapid settling of the country, too, as
many who would have been brought. IN
70 the. country by the. companies vii
hesitate to purchase, not understanding
the nature OF thecompany'sri right TO the
lands. The number OF bpre-emption'
will be comparatively few, for there are
not many men who care TO fight a rail
road IN a law suit, and persons ignoran
of the provisions Of the law will neither
buy nor pre-empt. jol ;5.@
Mr.. Foppleton, the attorney for tht
road is DOW east, and will CONSULT witt
the NssSY erk efficers us to what will b,
done IA hhs matter, q 1t is probable tht
suhject will be taken 'iit9rb etiately L
thee courts and there decided finally.