Enforcement of Judgments against the United States, The
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Authors
Stewart, Margaret G.
Issue Date
1979
Volume
12
Issue
Type
Journal Article
Language
Keywords
Alternative Title
Abstract
INTRODUCTION|In the early 1970's, the bankruptcy of seven railroads (including Penn Central Transportation Company) in the northeast and midwest regions of the United States led to grave congressional concern focusing on the national interest in a viable rail system and its apparently imminent demise. The resulting legislation, the Regional Rail Reorganization Act of 1973 ("RRRA"), established the Consolidated Rail Association ("Conrail"), to be created by the transfer to it of rail properties from those bankrupt railroads incapable of an income reorganization within a reasonable time. Payment for the property thus transferred, to be made after the transfer was completed, was to be composed primarily of Conrail securities. Only a portion of the compensation was to be guaranteed by the federal government, in the form of United States Railway Association ("USRA") obligations. Institutional investors of Penn Central attacked the RRRA as unconstitutional, arguing that the compensation provision of the Act was inadequate both with respect to the primary transfer and as it related to a requirement of continued rail operations prior to that transfer...
Description
Citation
12 Creighton L. Rev. 815 (1978-1979)
Publisher
Creighton University School of Law