45 U.S.C. § 1342 — Exemption from liability

Page 267 TITLE 45—RAILROADS § 1342 1 See References in Text note below. 1 So in original. Probably should be ‘‘on’’. § 1324. Certain enforcement relief (a) Enforcement actions The Secretary of Transportation, with respect to any provision of section 1321 or 1322 of this title, and any person who suffers direct and sub- stantial economic injury as a result of an al- leged violation by the Corporation, with respect to the provisions of section 1321(a)(1) and (2) 1 of this title, and section 1322 of this title, may bring an action to require compliance with such provision. (b) Special court Any action brought under this subchapter shall be brought before the special court estab- lished under section 719 of this title. Such spe- cial court may limit the enforcement of a re- striction under section 1321 of this title, if the effect of such restriction would be to substan- tially impair the continued viability of the Cor- poration. (Pub. L. 99–509, title IV, § 4025, Oct. 21, 1986, 100 Stat. 1905.) Editorial Notes REFERENCES IN TEXT Section 1321(a)(2) of this title, referred to in subsec. (a), was repealed by Pub. L. 101–213, § 2(b)(3), Dec. 11, 1989, 103 Stat. 1843. Statutory Notes and Related Subsidiaries ABOLITION OF SPECIAL COURT, REGIONAL RAIL REORGA- NIZATION ACT OF 1973, AND TRANSFER OF FUNCTIONS Special court abolished and all jurisdiction and func- tions transferred to United States District Court for District of Columbia, see section 719(b)(2) of this title. PART C—MISCELLANEOUS PROVISIONS § 1341. Abolition of United States Railway Asso- ciation (a) Abolition and termination (1) Effective April 1, 1987, the United States Railway Association is abolished. (2) On January 1, 1987, all powers, duties, rights, and obligations of such association relat- ing to the Corporation under the Regional Rail Reorganization Act of 1973 (45 U.S.C. 701 et seq.) shall be transferred to the Secretary of Trans- portation. (3) The sole function of the United States Rail- way Association after January 1, 1987, shall be the termination of its affairs and the liquidation of its assets. (b) Transfer of securities and responsibilities (1) Any securities of the Corporation held by the United States Railway Association shall, upon 1 October 21, 1986, be transferred to the Sec- retary of Transportation. (2) If, on the date the United States Railway Association is abolished under subsection (a), such association shall not have completed the termination of its affairs and the liquidation of its assets, the duty of completing such winding up of its affairs and liquidation shall be trans- ferred to the Secretary of Transportation, who for such purposes shall succeed to all remaining powers, duties, rights, and obligations of such association. (c) Financing agreement (1) On January 1, 1987, the Amended and Re- stated Financing Agreement, dated May 10, 1979, between the United States Railway Association and the Corporation, together with any and all rights and obligations of or on behalf of any per- son with respect to such agreement, shall termi- nate and be of no further force or effect, except for those provisions specifying terms and condi- tions for payments made to the United States with respect to debentures, preferred stock, and contingent interest notes. (2) Effective as of the sale date, those provi- sions of the Financing Agreement referred to in paragraph (1) shall terminate. (Pub. L. 99–509, title IV, § 4031, Oct. 21, 1986, 100 Stat. 1906.) Editorial Notes REFERENCES IN TEXT The Regional Rail Reorganization Act of 1973, re- ferred to in subsec. (a)(2), is Pub. L. 93–236, Jan. 2, 1974, 87 Stat. 985, which is classified principally to chapter 16 (§ 701 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 701 of this title and Tables. § 1342. Exemption from liability (a) In general No person referred to in section 726(f)(8)(C)(i), (ii), or (iii) of this title shall be liable, for money damages or otherwise, to any party if, with re- spect to the subject matter of the action, suit, or proceeding, such person was fulfilling a duty, in connection with any action taken under this subchapter, which such person in good faith rea- sonably believed to be required by law or vested in such person. (b) Exception This section shall not apply to claims arising out of the Securities Act of 1933 [15 U.S.C. 77a et seq.], the Securities Exchange Act of 1934 [15 U.S.C. 78a et seq.], or the Constitution or laws of any State, territory, or possession of the United States relating to transactions in securities, which claims are in connection with a public of- fering under section 1312 of this title. (Pub. L. 99–509, title IV, § 4034, Oct. 21, 1986, 100 Stat. 1909.) Editorial Notes REFERENCES IN TEXT The Securities Act of 1933, referred to in subsec. (b), is act May 27, 1933, ch. 38, title I, 48 Stat. 74, which is classified generally to subchapter I (§ 77a et seq.) of chapter 2A of Title 15, Commerce and Trade. For com- plete classification of this Act to the Code, see section 77a of Title 15 and Tables. The Securities Exchange Act of 1934, referred to in subsec. (b), is act June 6, 1934, ch. 404, 48 Stat. 881, which is classified principally to chapter 2B (§ 78a et seq.) of Title 15. For complete classification of this Act to the Code, see section 78a of Title 15 and Tables. Page 268 TITLE 45—RAILROADS § 1343 1 See References in Text note below. § 1343. Charter amendment Within 60 days after October 21, 1986, the Cor- poration shall amend its Articles of Incorpora- tion to contain the following provision, which provision shall not be subject to amendment or repeal: ‘‘It shall be a fundamental purpose of the Cor- poration to maintain continued rail service in its service area.’’. (Pub. L. 99–509, title IV, § 4035, Oct. 21, 1986, 100 Stat. 1909.) § 1344. Status of Conrail after sale The Corporation shall be a rail carrier as de- fined in section 10102 of title 49, notwithstanding this subchapter. (Pub. L. 99–509, title IV, § 4036, Oct. 21, 1986, 100 Stat. 1909; Pub. L. 104–88, title III, § 332, Dec. 29, 1995, 109 Stat. 953.) Editorial Notes AMENDMENTS 1995—Pub. L. 104–88 substituted ‘‘section 10102’’ for ‘‘section 10102(19)’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1995 AMENDMENT Amendment by Pub. L. 104–88 effective Jan. 1, 1996, see section 2 of Pub. L. 104–88, set out as an Effective Date note under section 1301 of Title 49, Transpor- tation. § 1345. Effect on contracts Nothing in this subchapter shall affect any ob- ligation of the Corporation to carry out its transportation contracts and equipment leases, equipment trusts, and conditional sales agree- ments, in accordance with their terms. (Pub. L. 99–509, title IV, § 4037, Oct. 21, 1986, 100 Stat. 1909.) § 1346. Resolution of certain issues (a) Employee issues Section 4024 completely and finally— (1) extinguishes all employee rights, and any obligation of the United States, under section 761(e) 1 of this title as in effect immediately before October 21, 1986; (2) resolves any and all claims against the Corporation or any other person arising under the Definitive Agreement referred to in sec- tion 4024(d)(1) or any other agreement con- taining similar terms and conditions; (3) resolves all claims to pay entitlements arising out of the pay increase deferrals by present and former employees of the Corpora- tion under the Agreement of May 5, 1981, be- tween Conrail and Certain Labor Organiza- tions for Labor Contributions to Self-Suffi- ciency for Conrail; (4) resolves all issues raised by notices served by representatives of such employees under section 156 of this title proposing repay- ment of or compensation for such deferrals; and (5) resolves all claims against the Railway Labor Executives’ Association or the Corpora- tion by any adviser, consultant, or other per- son who has provided services to such associa- tion in connection with any matter referred to in this subchapter. (b) Corporation actions The Corporation shall not be considered to be in breach, default, or violation of any agreement to which it is a party, notwithstanding any pro- vision of such agreement, because of any provi- sion of this subchapter or any action the Cor- poration is required to take under this sub- chapter. (c) Right to sue withdrawn The United States hereby withdraws any stat- ed or implied consent for the United States, or any agent or officer of the United States, to be sued by any person for any legal, equitable, or other relief with respect to any claim arising out of, or resulting from, acts or omissions under this subchapter, except actions brought to require the Secretary of Transportation to per- form duties or acts required under part A of this subchapter. (Pub. L. 99–509, title IV, § 4038, Oct. 21, 1986, 100 Stat. 1909.) Editorial Notes REFERENCES IN TEXT Section 4024, referred to in subsec. (a), is section 4024 of Pub. L. 99–509, which amended section 797 of this title, provided for repeal of section 797 of this title ef- fective on the sale date of the Consolidated Rail Cor- poration, and enacted provisions set out as a note under section 797 of this title. Section 4024(d)(1) is set out as a note under section 797 of this title. Section 761 of this title, referred to in subsec. (a)(1), was repealed by Pub. L. 99–509, title IV, § 4033(a)(1), Oct. 21, 1986, 100 Stat. 1908. Part A of this subchapter, referred to in subsec. (c), was in the original ‘‘subpart A’’ meaning subpart A (§§ 4011–4013) of part 2 of subtitle A of title IV of Pub. L. 99–509, Oct. 21, 1986, 100 Stat. 1895, which enacted part A of this subchapter and amended section 726 of this title. For complete classification of this Act to the Code, see Tables. § 1347. Tax treatment of Conrail public sale (a) Treatment as new corporation (1) In general For periods after the public sale, for pur- poses of title 26, Conrail shall be treated as a new corporation which purchased all of its as- sets as of the beginning of the day after the date of the public sale for an amount equal to the deemed purchase price. (2) Allocation among assets The deemed purchase price shall be allocated among the assets of Conrail in accordance with the temporary regulations prescribed under section 338 of title 26 (as such regula- tions were in effect on October 21, 1986). The Secretary shall establish specific guidelines for carrying out the preceding sentence so that the basis of each asset will be clearly as- certainable. For purposes of applying the regu- lations referred to in the first sentence, ac-