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<br />co <br />'r-- <br /> <br />l."'Iow <br /> <br />,.., <br />'- <br /> <br />':=:: <br /> <br />. <br /> <br />. <br /> <br />c:) providing that when the owners of sixty percent or more of land <br /> <br />irrigated by anyone lateral organize a corporation to take over <br /> <br />the lateral in exchange for stock, such corporation would be <br /> <br />entitled to utilize eminent domain power to condemn the interests <br /> <br />of the remaining owners in the lateral. Section 37-86-108, C.R.S. <br /> <br />Typically, where resort has been made to condemnation, the <br /> <br />owners of lands at the lower reaches of the lateral, being, or <br /> <br />believing themselves to be, at the mercy of the owners of land <br /> <br />served by the upper reaches of the lateral, have been the <br /> <br />promoters of the corporation (60% ownership of la.nds), and the <br /> <br />"holdouts" whose interests have been condemned are those owning <br /> <br />lands served by the upper reaches of the lateral. <br /> <br />The Lateral Incorporation Law provides that, in condemnation <br /> <br />proceedings thereunder, consideration shall be given to the <br /> <br />benefits accruing to the owners of the lateral to be condemned by <br /> <br />reason of organization of the lateral corporation. Section <br /> <br />37-86-109, C.R.S. Also, the damages assessed to the condemned <br /> <br />lateral owner for his interest in such lateral may be paid in the <br /> <br />corporate stock of the lateral corporation at the same price per <br /> <br />share paid by the original incorporators, and in arriving at such <br /> <br />damages, the Court shall take into consideration the amount of <br /> <br />stock which the original incorporators received for their <br /> <br />holdings. Section 37-86-110, C.R.S. The wording of this <br /> <br />provision necessarily implies that a non-consenting lateral owner <br /> <br />can be compelled to become a stockholder of the lateral ditch <br /> <br />-14- <br />