Lane v. R. R

1 Citing case

  1. North Carolina R.R. v. Lee

    260 U.S. 16 (1922)   Cited 22 times
    In North Carolina R.R. Co. v. Lee, 260 U.S. 16, it was held that the Government operated the railroads during federal control "not as lessee, but under a right in the nature of eminent domain"; and in Dupont de Nemours Co. v. Davis, 264 U.S. 456, 462, it was added that "In taking over and operating the railroad systems of the country the United States did so in its sovereign capacity, as a war measure."

    The Ault Case holds that the Director General alone was made subject, by ยง 10 of the Federal Control Act, to the "liabilities as common carriers, whether arising under State or Federal laws or at common law." To permit an action for injuries suffered during federal control to be brought either against the Southern Company as lessee, or against the North Carolina Company as lessor, would be inconsistent with the provisions of that act. This is now recognized by the Supreme Court of North Carolina. Lane v. Southern Ry. Co., 182 N.C. 774; Barbee v. North Carolina R.R. Co., 182 N.C. 775. Reversed.