Mississippi Valley & Western Ry. Co. v. United States Express Co.

Citations

• 81 Ill. 534

Syllabus

<p>1. Garnishment—as to earnings of railroad while under mortgage. The earnings of a railway company from the operation of its road, though mortgaged to secure the payment of certain bonds, before foreclosure or possession taken by the trustee, may be reached by other creditors of the company, and is liable to garnishment, where the mortgage provides that, until default, the company may possess and use the road, etc., and receive the rents, profits and increase arising therefrom.</p> <p>2. Mortgage—mortgagor not accountable for rents. The rule at common law, and followed by this court, is, that the mortgagor is not required to account to the mortgagee for rents and profits while he remains in possession.</p> <p>3. Contract—when construed with reference to law of another State. Where a mortgage is given upon a railroad and its property, situate partly in two other States, where the road is operated, but the proof does not show where the mortgage was executed, this court will not he bound, by the law of comity, to adopt the construction given by the courts of one of those States to a similar mortgage, as, that it includes the earnings of the road, but it will he presumed that the courts of the other State will construe the instrument in accordance with the common law rule.</p>