The news & observer., 1897-01-30
And Ii Is Granted Upon Condition That
Railroads VIII submit 10 North
Carolina Courts, and Not Re-
move Actions to Federal
Courts.

bill providing to annul the lease Of the
North Carolina Railroad for n term of
ninety nine years to the Southern Rail-
way and 10 impose conditions upon
foreign corporations that operate rail
roads in North Carolina. 1t is under
stood that the bill embodies the views OF
the Governor, and was drawn at his re-
quest by Judge Avery. 1t was intro
duce<l in the House yesterday by Repre-
sentative C4as A. Cook, of Warren, and
referred to q special committee, appointed
to consider the lease and questions relat-
ing 10 it. 1t is as follows:
A bin to he entitled an Act to prescribe
the terms upon Winch foreign ralrOad
corporations shall be allowed to operate
ral4rvad1 and drslnsact business with
in che State OF North Carolina.
The General Assembly of North Caro-
lima do enact:
Section l. That on and after the first
day of May, one Thousand eight hundred
and ninety no railrOad company
or corporation organized under and by
virtue of the laws of amy government
other than that of the State of North
Carolina, shall hold or operate, directly
or indirectly, through the agency or IN
strumentaa aty of amy person or domestic
corporation, either as owner or purchaser
of the franchise and property, or as
lessee, amy Ene of railway which is sit
uated within this State, or one Of whose
termini shall be located therein, nor shall
amy foreign corporation purchase or own
a major1ty of the stock, of any company
DTganized under the laws of North Caro-
lima and empowered by its charter TO con-
struct any new line of railway or to OPP
crate, as a carrier of freight and pas
sengers, amy Line Of railroad already
wholly or IN part constructed, unless said
nonresident corporation shall first obtain
a license as hereinafter provided.
Sec. 2. That ON and after the first day
of May, 1897, amy nonresident corpora
tion wthlch may propose to hold and oI-
crate our TO continue TO hold and operate
either as owner, lessee, or holder and
controller of a ma jorlty of the stock
thereof, any radlraod corporation organ
lied under the laws of North Carolina,
shall apply by petition addressed to the
Secretary of State of North Carolina for
a license 10 exercise such privileges.
Such petition shah be accompanied by a
fee of five hundred dollars, and shall con-
tain proposal, authorized by said for
eign corporation, that if the said Ecense
shall be granted to it, 1T wlll at all times
keep an agent within the State upon
whom judicial process may be served, and
will submit To the au0norlty and final
jurisdiction of the courts of North Caro-
lima in the determination of all contro-
versies between the petitioner and the
State of North Carolina or amy other
natural or artificial person resident with
in said State, by the courts of said State,
and will not apply by petition, for the
removal of any such action from a court
of this State TO Federal court. Upon
the fling of such petition with satisfac
tory evidence that the proposal embrac-
ed therein, is authorized by the corpor
alton applying for the license, the Sec
retary of State, with the written APP
proval of the Governor, shall issue b.
cense attested by the great seal of the
State, granting authority to such foreign
corpoTation to do business Within this
State for period of twenty years as
owner of the franchise and property or
a ma iority of .Uhe stock or as lessee Of any
corporation organized under the laws OF
uIl1S ISLblGy NpJlA CUuufbRpH EApIESSSu
therein that said license shah be at all
tirnes revocable by the Legislature OF
North Carolina in its discretion; or at
the instance of the Governor or the Sec
retary of State IN pursuance Of law.
Sec. 3. That it shall be the duty of
the Governor or the Secretary of State
upon satisfactory information, made TO
either, that any foreign corporation has
engaged in business in the State in yio-
lation of any provisions OF the Act Of
Congress entitled ''An Act to Regulate
Commerce, approved February 4th A.
ID. 1887" or of the Act of the General
Assembly of North Carolina claws of
1891, chapter 320) creating the Railroad
Commission in the State of North Caro-
lima or of the laws amendaItory thereof,
to bring an action in the name of the
State and In the nature of quo warranto
in the Superior court of Wake county to
vacate and annul such license. Upon a
finding that such foreign corporation has
been guilty OF violation of any provi-
sion OF this Act or of the aforesaid Act
of Congress or the aforesaid Statutes
of North Carolina providing for the crea-
ton of and defining the powers and the
duties OF the Railroad Commission Of
North Carolina, 1T shall be the duty of the
courts to declare and adjudge that the
license issued to such foreign corporation
be vacated and annulled, and IL shall
be the further duty of the judge TO order
that a copy OF such finding and Judgment
be certified 10 the Secretary of State.
Upon the rendition 0f such judgment it
shall be the duty of the Governor of the
State to publish his proclamation in at
least three daily papers published in the
State of North Carolina for thirty days
announcing the revocation Of such license
Neither the Governor Nor Secretary o.
State shall be required to give an under
taking or b0r3 10 secure gae ccat Of any
action instituted under The provisions OF
this section The cost of prosecuting
the said action, together with the fees
of counsel employed 10y the Governor Oh
Secretary OF State, shall be paid out oil
any money in the Treasury not otherwise
N.