Final answer:
A railroad company may acquire land through the right of eminent domain, which necessitates compensation for public use. Historical land grants, such as those for the First Transcontinental Railroad, also facilitated railroad expansion by granting land per mile of track laid, boosting the value of adjacent lands.
Step-by-step explanation:
By what right would a railroad company acquire land is a question tied to the legal framework of eminent domain and the historical context of land grants for infrastructure development. The concept of eminent domain holds that compensation must be paid if private property is taken for public use. Cases like Albert Hanson Lumber Company v. United States illustrate controversies that can arise, such as the areas of property improvement necessity and fair market value compensation. Moreover, the legal property rights and land grants provided by the government throughout history, underpin the mechanisms for railroads to acquire land for expansion. The Pacific Railroads received extensive land grants to construct nationwide transportation networks, serving both public interest and facilitating commercial opportunities for private entities.
Eminent domain allows railroads to acquire land necessary for the construction and expansion of their network, given that it serves a public utility. The government, recognizing the lack of resources for such massive projects, historically leveraged its land reserves to incentivize railway construction. These land grants did not only provide the necessary space for railroads but also helped increase adjacent land value, spurring economic growth and greater revenue for the government in the long-term. The First Transcontinental Railroad serves as an example where the government granted significant amounts of land for every mile of track laid.