City Council of Augusta v. Augusta-Aiken Railway & Electric Corp.

Prior to April 6, 1896, the Augusta Railway Company was insolvent and in the hands of a receiver. Certain persons undertook to reorganize the company, introduce new capital, and operate the company’s street railroad. As a matter of inducement, the City Council of Augusta, on the date above stated, passed an ordinance relieving “the Augusta Railway Company or its reorganized or successor company from constructing and keeping in repair any of the streets or parts of streets on which said company’s tracks are or may be located.” On April 25, 1896, the board of commissioners of the Tillage of…