Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-04-09
OPINION,

The st. Paul Pacific railroad company, cor
poratlon created by the Legislature of Minnesota,
plaintiffs, Edmund Rice, Horace Thompson, and
Samuel j. Tilden, trustees mortgage, or deed of
trust, to secure an issue of the bonds of said COM
brought for the purpose Of foreclosing said mort
gage or deed of trust and in aid of the foreclosure
and upon sundry allegations in the complaint,
this suit the court forthwith appoint receiver to take
immediate possession, control and management Of
the line of railroad. from st. Paulto
lands and other property belonging
road, and covered BY said 'A@ or appertaln.
dollars and that full power authority be given to
him to hold, use, manage, control and operate the
same. with the usual power of receiver in such
The original charter of the company is found in
chapter l, Laws 1857, extra session. BY section H.
OF that chapter the company is authorized to borrow
money, and ito make, execute, and deliver, all nee
essary writings, notes, bonds, mortgages, or other
obligations securities, in amount and kind as may
be deemed expedient by said corporation in consd-
Grafton of any such loan or in discharge of any liza
biities which it may incur in the construction, re-
pair, equipment, operation of said road, and the
powers of the said company for the purposes afore
the object Of said company, hereby satisfied and
confirmed, and the contracts and official acts of
said company declared binding, in law and equity,
upon said company, and upon all other parties to
said contract
Section Fl provides that "the said company is
hereby authorized and empowered in its corporate
to * issue and deliver its
tors may deem necessary or expedient x
and to secure the payment of all, or any of said
al IS
ecute, and deliver, one or more mortgages, deeds
Of trust upon the WHOLE or any part Of its railroad
structed and of the estate granted by the act and
any all other of their estate, real, personal, or
mixed, in possession OF expectancy; and said COM
pany is also hereby authorized and empowered, in
and by such mortgage, or deed of trust, to confer
upon the trustee or mortgages full and ample pow
ers to enter into and upon and to take possession of
whole, or any part of said railroad and branches,
and all corporate and other franchises, rights and
privileges Of the said company and in case Of any
ties, acquiring title under any such sale, and their
associates successors and assigns, all and the same
rights, privileges, grants, franchises, immunities
trust, enumerated and conveyed which belonged to
and were enjoyed by the said company as fully nd
absolutely in every respect as the said company is
stockholders, officers and agents, might or could
have done such sale or foreclosure had not taken
place.
At common law, after a mortgage becomes for
feited by non-payment of moneys secured there
by, the MORTGAGE was authorized to proceed imme-
diately to obtain possession of the mortgsged prem
Uses IN an action OF ejectment Tyler on ejectment
7eyance SO as to enable the owner Of the
mortgage to recover possession of the real prop
erty withouta foreclosure The effect of this OBJ
vously is to cut of the common law right to main
tain action for the possession before foreclosure
but, tas suggested by the counsel for the plaintiffs
by special law this company is empowered to confer
upon the mortgage the right Of possession upon the
common law, conditions or upon any other condi-
tons that may be agreed upon and expressed in the
mortgage, so that by this special provision OF ita
charter it s made competent for the company by the
terms of mortgage or trust deed, to confer upon
the mortgage trustee right to the possession Of
the mortgaged property upon default in the payment
of bonds secured thereby, and such right will
entitle the mortgage or trustee to sustain action