Alexander v. Central R. R.
United States Circuit Court
[In equity. Suit by Charles Aexander and others against the Central Railroad of Iowa and another for foreclosure of mortgage. On demurrer to bill. Demurrer overruled.] This is a bill in equity to foreclose a mortgage made by the defendant on its railroad and property. The bill is filed by the plaintiffs as bondholders, who allege that they bring it -for themselves and all other bondholders who are similarly situated. It charges default in the company to pay interest.
Read the full summary
[In equity. Suit by Charles Aexander and others against the Central Railroad of Iowa and another for foreclosure of mortgage. On demurrer to bill. Demurrer overruled.] This is a bill in equity to foreclose a mortgage made by the defendant on its railroad and property. The bill is filed by the plaintiffs as bondholders, who allege that they bring it -for themselves and all other bondholders who are similarly situated. It charges default in the company to pay interest. It alleges that the plaintiffs have made a demand on the trustee in the mortgage, viz., the Farmers’ Loan & Trust Company of…
1Opinion of the Court
DILLON, Circuit Judge.
1. The authority in the deed of trust to the trustee, on default of the payment of interest, and upon the written request of a majority of the bondholders to take possession of the road, to operate it and receive its income, and on three months’ notice to sell the same, and divide the proceeds of the sale pro rata among the bondholders, is a cumulative remedy for the benefit of mortgage creditors, and does not exclude their right to resort to the judicial tribunals for a foreclosure. Especially is this so, as the laws of the state of Iowa forbid sales under powers of…
2Cases cited1 opinion
- Gilman v. Illinois and Mississippi Telegraph Company. Coykendall, Garnishee v. IdemSupreme Court of the United States · 1876
3Cited by10 opinions
- Toler v. East Tennessee, V. & G. Ry. Co.U.S. Circuit Court for the District of Eastern Tennessee · 1894
- Brown v. Denver Omnibus & Cab Co.Court of Appeals for the Eighth Circuit · 1918
- Farmers' Loan & Trust Co. v. Winona & S. W. Ry. Co.U.S. Circuit Court for the District of Minnesota · 1893
- Guardian Trust Co. v. White Cliffs Portland Cement & Chalk Co.U.S. Circuit Court for the District of Western Arkansas · 1901
- Boley v. Lake Street Elevated RailroadAppellate Court of Illinois · 1896
5 more not listed; retrieve them via the Exa API.