The sale of the Annapolis and Elk Ridge was originally scheduled to take place on October 28, 1884 in the salesroom of the Baltimore Exchange; it was widely rumored that the Baltimore and Ohio and Baltimore and Potomac Railroads were going to bid on the failing road. In September the B&O; sent waves of fear through the workers and merchants of Annapolis when it announced that if it did assume the A&E; it would close the road's Annapolis shops, merging them into its own Mount Claire Shops in Baltimore.
The sale was delayed by an injunction issued on September 23 at the request of the State of Maryland. Because of its sizeable investment in the Annapolis and Elk Ridge - when construction began in June 1838, $300,000.00 of the $345,000.00 raised by the sale of stock had been subscribed to by the Treasurer of the Western Shore on behalf of the State - the State wanted the court to declare it a preferred stockholder. The State's petition for preferred status eventually failed and the A&E; was sold to the boldholders, who reorganized the road as the Annapolis, Washington and Baltimore Railroad. Though the B&O did not buy the A&E, this episode was a precursor of the B&O's eventual extension into Annapolis.
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