The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1895-08-28

1st, 1895; and in addition to the rental
reserved as aforesaid, and as a part OF
the rent to be paid for the leased prop
erty, the Southern Railway agrees to pay
all taxes and assessments lawfully i'm
posed upon the leased property, or upon
its franchise, or its income, whether by
the State of North Carolina, or any
county, city, town, or township thereof,
or by the United States.
To secure the prompt and faithful
payment of the said rent, as above
stipulated to be paid, and all taxes pay
able on the leased railroad property as
herein provided, the Southern Railway
doth obligate itself to deposit and keep
on deposit in the First National Bank of
Charlotte, N. O., or such bank or banks
as may be approved by the directors of
the North Carolina Railroad Company,
from year to year, and all the time
| pending said term the sum of $l75, 900
in cash or its equivalent, at all times in
United States bonds or other marketable
securities, acceptable to the directors of
the lessor company, and having market
value of not less than said sum; which
said sum Of money or its equivalent may
be applied by the North Carolina
Railroad Company to the satisfaction
and discharge of any such sum of money
so semi annually due and remaining I'M
paid, or of any such taxes due and re-
naming unpaid, or any judgments or
judgments recorded in any court of the
State or the United States, wnen finally
adjudicated, for any tort, wrong, injury,
negligence, default or contract done,
made or permitted by the Southern Rail-
way for which the n. y. X. r. Company
| shall be adjudged liable; and in case of
either such application of such deposit,
| then to renew the same from time TO
time as often as such application Of any
such deposit may become necessary.
And for the consideration aforesaid the
Southern Railway doth covenant and
oblige itself to keep the N. @. r. r
road bed, superstructure, depots, build
ings, houses, shops, engines, cars, fix
lures and property of every kind in
equally as good condition and repair as
the property is at the date Of this
lease; and to return, at the end OF said
term of 80 years, or at the termination
of said lease, the property in like good
condition and repair. But there shall
be no claim or liability during the con
tinuance of this lease or at its termina-
ton, by the Southern Railway, upon the
North Carolina Railroad Company for
any improvement of said property over
its condition at the date of this lease,
but all such Improvements shall be and
remain the property of the N. G. r. K.
Company. Aud for the faithful keeping
and performance of this covenant obi
CATION the Southern Railway doth cove
nant and oblige itself to execute. to the
N. @. r. R., bond good and sufficient
at all times in the ability of its makers
to pay, in the sum of $4,000 condi
toned for the faithful keeping of the
said last-named covenant.
The Southern Railway further agrees
to defend any suit or action against the
N. O. Z. r. Co. It further agrees not
to establish freight rate at higher
price or rate from station to station than
the average rate for local freight tariff as
fixed, established and printed by the
Southern Railway at this date.
1t is further agreed that should the
Southern Railway make default in The
payment of the rental money or any part
thereof, or shall fail, to pay the taxes or
assessments lawfully made, or if they
fail to keep on deposit such sums OF
money as they have covenanted with
and obliged themselves with the N. @.
r. r. Co. to do, then the N. q. r. r
Co., shall, upon giving the Southern
Railway 80 days notice, have the right,
should the Southern Railway still re
main in default to dispose of and apply
the deposit to any unpaid rent or unpaid
taxes, assessments or judgements law
fully made.
1t is further agreed, by and between
the parties, that a fair valuation and in
ventory of said railroad, and all and
every part and parcel of said property,
shall be made and taken on January LIST,
1896, by two competent experts, one to
be selected by each company, who shall,
in case of disagreement, select an UNI
pire and the valuation and inventory so
made and taken shall be final and shall
be kept, recognized and acted upon at
all times; and annually in the first week
in October in each year, If the N. @. K.
! K. 90. shall so require, like valuation
and inventory shall be made, and in case
the property is not in good condition as
| provided in the several covenants, then
the Southern Railway shall have till Jan
uary next after such default to make
good said road aud property and the n.
@. r. r. Go. shall not have the right to
enter and take possession of said railroad
and property for such default until the
1st day of January next after such de
fault.
1t Is further agreed that should the