El Paso herald. (El Paso, Tex.) 1901-1931, 1910-09-05
THE BILL THAT HITS TIE TEXAS
RAILROADS So HARD; ITS PROVISIONS

railroad by the company and by any
receiver thereof, and for loss of and
damage to property sustained in the
operation Of the railroad by the compa-
ny and by any receiver thereof. and for
the current expenses OF such operation,
including labor. supplies and repairs;
provided, that all such subsisting claims
and liabilities shall have accrued within
two years prior to the beginning Of the
receivership resulting in the sale Of
said property and franchises be sold
otherwise than under receivership pro-
ceedings, unless suit was pending on
such claims, and liabilities when the re-
ceiver was appointed or when the
sale was made, in which event claims
and liabilities, which suits were so
pending, shall be protected hereby as
though accruing within the two years;
such agreement to be evidenced by an
instrument in writing signed and &C
knowledged by said purchaser or pur-
chasers and associates, if any, and filed
in the office of the secretary of state of
the state of Texas; and provided, furth-
er, that such charter, together with the
powers, rights privileges. and benefits
thereof shall pass to said purchaser o.
purchasers, and associates. if any, sub
ject ITO the terms, provisions restric-
lions and limitations, imposed and to
be imposed by law; and, provided furth-
er, that the amount of stocks and bonds
which may be held against said proper
-ty and franchises after the sale there
of, as well as the manner of issuance
of said stocks and bonds, shall be fixed,
determined and regulated by the rail-
road commission of Texas at its dis
erection. save that the total incum-
brance secured by lien on said property
and franchises shall not exceed the
amount allowed under the stock and
bond law
All Liabilities Must Be Paid.
In case of any sale heretofore or
hereafter made of the property and
franchises of railroad company with
in this state, the purchaser or purchas-
ers thereof, and associates, if any, shall
be entitled to form a corporation under
the laws Of Texas, for the purpose of
acquiring, owning, maintaining and op-
Grating the road SO purchased, as If
such road We're the road intended to be
constructed by the corporation and
when such charter has been filed the
new corporation shall have the powers
and privileges then conferred by the
laws of this state upon chartered rail- /
roads, including the power to construct
and extend; provided. that nOtwith-
standing such Incorporation the prop
erty and franchises so purchased shall
be charged with and subject to the
and claims for death and personal in
jury, sustained In the operation of the
by the sold out company and
by any receiver thereof and for the loss
Of and damage to property sustained in
the operation Of the railroad, by the
sold out company and by the receiver
thereof, and for the current expenses
OF such operation, including labor, sup
plies and repairs; provided, that all
claims and liabilities shall
have ACQUIRED within two years prior to
the beginning Of the receiverShip re-
sulting in the sale Of such property and
or within two years prior
to the. sale, IF said property be sold 9TH
erwise than under receivership proceed
ings, unless suit was pending on such
claims and liabilities when the receiver
was appointed or when the sale was
made, in which event claims and liabil
tiles on which suits were so pending
shall be protected hereby as though &C
cruing within the two years; and pro
vided, that by such purchase and organ
Ization, no right shall be required in
conflict with the present constitution
and laws in any respect, nor shall the !
main track Of any railroad once con-
structed and operated be abandoned or /
and, provided further, that the (
amount Of Stocks and bonds which may (
be issued, by said new corporation, as I
well as the manner Of their issuance, !
shall be fixed, determined and regu-
ated by the railroad commission of 1
Texas, at its discretion, save that the /
total incumbrance secured by lien on /
said property and franchises shall not /
exceed the amount allowed under the /
stock and bond law"
Sale May Be Postponed.
The bill as it was finally passed pro- /
ects the second mortgage bOndholders /
IF the InternatiOna & Great Northern. !
There is some talk that the sale of that /
which is set for September IS, /
nay be postponed until some time next |
April. H. NJ Garwood, of Houston, at
orney for the second mortgage bond
holders, who prepared and secured the
adoption of the provision exempting
hem, made the statement while the bill
vas under consideration that he had
to cause q postponement of /
he sale of the road if he saw fit to |
10 so.