The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-11-23
soUTHwEsTERN's LIABILITY.

Judge Speer Takes a View Different
From That of Mr.. Justice Jackson.
Macon, Nov. 22.-Last summer when
the motion for a rehearing in the South
western railroad matter was presented
Ito Justice jackson, he wrote to Judge
Speer, who was then at this place, in
yiting the latter to preside with him at
= Nashville. Judge Speer was not at liberty
Ito accept the invitation, but, as he had
E presided with Justice jackson IN SaVan-
5nah on the hearing when the original de-
4cree was made, he forwarded to the jus
Il ice his views on the question which
Induced him to decline to sign the decree.
8 This was, in effect, a dissenting opinion,
and it was filed in the clerks Office with
the record
On account of the great interest felt in
the recent decision of Judge jackson, re-
fuslng the Southwestern people a rehear-
ing, this statement is now published.
JUDGE sPEER's VIEWS.
B Farmers Loan and Trust Company VS.. Cen
tTal Railroad and Banking Company of
81 Georgia Presented to Justice Jackson for
81 consideration.
In consideration of perpetual lease of the
southwestern railroad to the Central Rail
#foad and Banking Company OF Georgia. en-
tered into June a, 1862 the latter company
#became obliged to pay of all the outstanding
#and after Indebtedness as 1t became due OF
4tne Southwestern Railroad Company. The
SCentrai obliged itself to keep in good order
@8nd repair the rolling stock, etc, of the
oouthWeStern. to pay taxes, etc. and
70 pay certain fixed dividends to the
&StOCkhOlderS of the company thus leased
That this was valid contract inter sese of
the Central and Southwestern is not In dispute,
put 1t did not relieve the Southwestern from
us primary liability TO. such OF its creditors
aS held claims against it. 1t was, therefore,
lncumbent upon the Southwestern to pro-
loe that its maturing indebtedness. should
ne paid, Notwithstanding the obligation Of
8 ue Central. 1t gave to the southwestern,
#hoWeVer, a right of action against the Cen
raj should the Southwestern be compelled
70 pay off such of its Indebtedness as the Cen
llil has promised and failed to pay The
primary obligation of the Southwestern to
l'ett Its own Indebtedness constituted, there
ore a valuable consideration for becoming a
Party to the 900 mortgage, executed
pm l. 1882. l. g. the trlpartlte mortgage.
AIS was mortgage to secure bonds issued
IA part to redeem outstanding obligations Of
ue southwestern. but the validity OF this mort
aye and its binding effect as between the
-iortgagees and the Southwestern, did not
mango IN any particular the lie gal eject OF
ne lease of the South western by the Central,
io 1 oid 1t relieve the Central from its oo!lga-
Vu hereunder to pay the Indebtedness OF the
TouthWestern. Ii did not purpOrt to change
ie tease. There was no consideration NOV
~ from the Central TO the southwestern for
.e release o. any obligation upon the Central
tgdled Dy the lease. and il follows therefore
ottWecn the Southwestern and the Central
tlat the former stood merely as a surety or as
nV thLtlcd to SEGREGATION against the Cen
@t' should it be compelled to pay OF the
ivy secured by the tripartltc mortgage. This
ems very clear, and if ii were uncertain,
~ evidence in the record would fully sustain
80 conclusion. 1t appears incOntestably
aau Tor every benefit in the nature OF adj
~ ement received by the Southwestern.
sn4Cn was not, strictly speaking, due from
lt Lentral, there has teen q full accounting
~ we Central and payment by the issue Of
,oulhWeste1n railroad stock which the
gulrdl accepted and vet holds.
hoAD AND BANKING COMPANY or GEORGIA,
Mho HAVE BECOME SUCH SUBSEQUENT To
n GAGE
n ne trlpartite mortgage created, Of course,
IN 4poa The property both Of the prlnc1-
't "na surety. If the right of subrogatlOn
LIS Zen exists at all in behalf Of the
4 ,l- u"estern as against the Central. 1t Is
iOeatlou TO "A lien with all of its legal et-
~, ana IL Is very clear that this lien would
n Gouu as against the subsequent creditors
o r"c central except such as have acquireda
IN Utou lhe Central properties subsequently
-ottv ulpartlte mortgage in ignorance Of the
49, relationship of the SouthWeS tern to
central relationship which does not ap-
-' ou the race of the tripartite mortgage.
M THIRTEEN MILLION MORTGAGE AND IT'S
EFFECT.
4, uD.sequently to the execution OF the lease
VI the trlpartite mortgage, the Central