Page:Federal Reporter, 1st Series, Volume 5.djvu/866

 854 PEDEEAIi BEPOETEB. �to secure the payment thereof, together with his wife, duljr executed a mortgage of the Wapatoo ranch af oresaid ; which mortgages were duly recorded, the first on the seventh and the second on the sixteenth of the November follo-wing. �On October 31, 1878, said Gaston, as agent of said defend- ant, agreed in writing with the plaintiff for the purchase of the rails and track fixtures for the construction of the Dallas extension of said railway, a distance of about 12 miles, for the payment of which said defendant and Gaston were to make their promissory notes, seeured by their several mort- gages upon the road and ail the real property owned by either of them, which agreement was unanimously ratified and adopted at the meeting of the three directors, held November 5th, as aforesaid. �On December 4, 1878, at a special meeting of three of the directors of said defendant, without notice to the other two, there being five in ail, it was unanimonsly voted that there was due said defendant, on accouttt of rails and track fix- tures, delivered under the agreement of October 31 st, afore- said, the sum of $27,134, with interest at 1 per cent, per month, payable as follows: $13,567 oh January 1, 1879; $2,000 on the first of each month thereafter, to and inclusive of July, 1879; and $1,567 on Auguat Ist of the same year; and that the president and secretary of said defendant make eight promissory noies, payable as aforesaid to the plaintiff, for said eight suïns, and execnte a mortgage on the road and ail other property of said defendant to secure the payment of the saûie, which was duly done on the same day; and on the same day said Gaston sîgned ôaid eight notes as maker^ and tô secure the payment of the same, together with his wife, duly executed a mortgage on certain parcels of real property, situate in Washington and Yamhill counties, Oregon, con- taining 1,160.58 acres, which mortgages were duly recorded, the first oti the twenty-third and the second on the fourteenth of December, 1S78, �On Àpril 15, 1879, at a meeting of the directors, duly held pursuant to a call by the president, at which three directors were present, it was unanimously voted that the president ����