and
wealth, came to the rescue of the canal company. He not only bought for
himself a goodly share of the canal stock, but also prevailed on his
rich father-in-law, Mr. John Porter, to invest $400,000 in the
enterprise. The financial difficulties of the company were thus removed.
At the next session of the legislature Mr. Stockton secured an amendment
to their charter which apparently only authorized the enlargement of the
canal, but in reality empowered the canal company to construct a second
railway.

It was from the beginning Mr. Stockton's object to share with the
railroad company the advantages which their line promised to give them.
The enlargement of his company's franchise placed him in a position to
dictate terms to the Camden and Amboy Transportation Company. The latter
was given the choice, to prepare for competition with a rival railroad
line, or to consolidate with the Delaware and Raritan Canal Company. It
chose the latter alternative, and on the 15th day of February, 1831, the
two companies became one. The consolidation still required the sanction
of the legislature. This was obtained in consideration of the transfer
of 2,000 shares of the capital stock of the company to the State. It was
further stipulated that the new company should pay to the State a tax of
10 cents for each passenger and of 15 cents for each ton of freight
carried over its line through the State, as well as an annual tax of
$30,000, and that the State in return should protect the company against
any and all competition in the direct passenger and freight traffic
between the cities of New York and Philadelphia. Serious doubts were at
the time entertained by many, whether the State of New Jersey under the
Federal Constitution possessed the right to thus create a monopoly in
transportation facilities, and to regulate arbitrarily the commerce
between sister States.

Five days after it had granted this charter to the Camden and Amboy
Company, the legislature granted another charter authorizing the
construction of a railroad from Jersey City to New Brunswick on the
Raritan River. On the 23d of February of the same year a charter had
been granted by the legislature of the State of Pennsylvania to a
company which had been formed for the purpose of constructing a railroad
from Philadelphia to Trenton. This company had likewise been authorized
by its charter to buy the right of way for a railroad from Trenton to
New York, which it proceeded a