Summary

Joseph McKenna Carondelet Canal Navigation Company v…

If it was the assertion of legislative power against the contract of the company, and a legislative provision against the obligation of the contract, and was an essential, although unmentioned, element of the decision under review, it is a basis in the Federal question set up. Nor need bad motives be imputed to the legislature. It is not the motive which caused the enactment of the law which is of account, but the effect of the enactment, impairing the rights resting in the contract. And this, we think, was the effect of the act of 1906.
Source: Wikisource

Joseph McKenna Carondelet Canal Navigation Company v…

It is true, in a sense, that the company could not revert, for as a legal entity it would expire; but what it represented and possessed could revert,-the result of its investments and energies, the property it had acquired under legislative sanction and the property it had created under like sanction. The company stood for its attributes and property. It may be that it did not own the canal, or the bayou, or the old basin.
Source: Wikisource

Joseph McKenna Carondelet Canal Navigation Company v…

The language of the act of 1858 is comprehensive and provides that all which is represented by 'it' 'may revert to the state upon due compensation being made according to award.' And the same answer must be made to the contention that the company only has a lease of the properties, and that its relation to the state being that of lessee, it, therefore, 'has no defense to the state's demand for possession of the property.' Whatever the relation created, payment of compensation was a condition precedent of the reversion to the state.
Source: Wikisource

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