Page:Federal Reporter, 1st Series, Volume 5.djvu/867

 PACIFIC EOLLING MILL V. D., S. & G. B. RT. 00. ;856 �and secretary of said defendant make a promissory note, pay- able to the plaintiiï, for the sum of |4,058, payable on or before May 10, 1879, and execute a mortgage on the road and ail other property of said defendant to secure the pay- ment of the same; and on April 28, 1879, pursuant to a call by the president, and upon due notice to each direotor of said defendant, a meeting of said directors was held, at which four thereof were present, when it was unanimously voted that said sum of $4,058 was, due the plaintiff, and the pro- ceedings of the meeting of AprU 16th aforesaid duly approved ; and on May 7, 1879, said defendant and said Gaston made their joint promissory note for said sum, with interest at the rate of 12 per centum per annum, payable to the plaintiff, and on the same day said defendant executed a mortgage on its road and ail other property to secure the payment of the same, which was duly recorded on May 14, 1879. �No payment having been niade on any of these notes, the plaintiff, on January 11, 1879, in pursuance of a stipulation in the mortgages, declared them ail due ; and on the twenty- third of the same month commenoed this suit to enforce the lien of the mortgages to secure the same. Upon the filingof the bill, an injunction was allowed and a receiver appointed. It is not necessary to state the grounds upon which the other parties were made defendants, further thi^an that the Waliamet Valley Eailroad Company beoame, by purchase, the successor in interest of the Dayton, Sheridan & Grand Eonde Eailway Company, in pursuance of a vote of directors of the iatter on January 8, 1879, and a eonveyance of its road and fran- chise on June 5th, thereafter; and that ^he others had, or claimed, liens upon the property for the value of services and materials furnished in the construction of the road. Upon the direction of the court, the receiver borrowed money wherewith to put the road in working order and ; pay the claim of the defendants U. B. Scott & Co.,^ allQwed at $1,71D.05, for freight and storage of rails belonging to the road. �The defendants, except thp Dayton, Sheridan & Grand Bonde Eailway Company, the Wallameit Valley Eailway Company, ����