If any railroad company has heretofore executed,
or may hereafter execute, any mortgage upon the whole or any portion
of their road, it shall be lawful for such company, with the consent of
persons owning a majority of the capital stock of such company, to
settle and compromise with such mortgagees, and release and convey
to such mortgagees or creditors for whose benefit such mortgage is or
may be held such part of the road mortgaged, and upon such terms as
may be agreed upon; and thereafter such vendees, by such name as they
may assume, shall possess, own, and enjoy all the rights, privileges and
immunities of said company over the part of the road so conveyed; and
no act or omission of the company making the conveyance shall work
a forfeiture of their franchises over that part of the roa
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If any railroad company has heretofore executed,
or may hereafter execute, any mortgage upon the whole or any portion
of their road, it shall be lawful for such company, with the consent of
persons owning a majority of the capital stock of such company, to
settle and compromise with such mortgagees, and release and convey
to such mortgagees or creditors for whose benefit such mortgage is or
may be held such part of the road mortgaged, and upon such terms as
may be agreed upon; and thereafter such vendees, by such name as they
may assume, shall possess, own, and enjoy all the rights, privileges and
immunities of said company over the part of the road so conveyed; and
no act or omission of the company making the conveyance shall work
a forfeiture of their franchises over that part of the road so conveyed.
And such vendees, by the name by them assumed, shall be a body
corporate and politic, with the rights, privileges, franchises and
immunities as aforesaid, and may issue stock not exceeding twenty
thousand dollars ($20,000) per mile, and sell the same, and issue
certificates therefor, which shall be assignable upon such terms as they
may prescribe; and if from any cause there shall be any failure of the
title to any right of way, or when the title thereto has not been acquired,
upon which any railroad of this state is now constructed, it shall be
lawful for the company owning the road, or for the party owning such
lands upon which any part of the road is constructed, to apply to the
proper court for the writ of assessment or damages, and have the
damages which the owner of said property has sustained or may sustain
by reason of the taking, use and occupancy thereof by the company for
the construction and maintenance of said road; and upon assessment
and payment by the company of the damages which may be assessed
or awarded, the title to such property shall vest absolutely in the
company for the purposes of said railroad; and the business of no road
actually constructed shall be obstructed by reason of any such defect of
title to any part of the property upon which it may be built, unless there
shall be default in the payment of money awarded after the verdict shall
have been rendered and judgment thereon; but every company, having
actually constructed and having in operation said road shall be entitled
to maintain the same and avail itself of the privilege of this section,
whenever, from any cause, its right of way for the track occupied is not
perfect and absolute: Provided, That no such compromise or
conveyance shall be made until thirty (30) days' notice has been given
of the intention so to do, by publication in some newspaper published
in this state in the county in which the principal office of such company
is kept.
Formerly: Acts 1855, c.81, s.1.