The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1866-02-13
Local Assistance In Railroad Construe-
tion--County Powers--Cnrative Leg
In0On. w# ~
UNITED STATES SUPREME cor

'SilED STATES SUPREME COURT,
Chief Justice Chase presiding.
Erans Rogers VS.. The County of Lee, Io,ca.
This action was brought to make the county
of Lee responsible on bonds issued by il
without legislation, on the vote of its people,
but which act of the county was subsequently,
legallzed, and before the deiirery Of the bonds,
BY curative act of the Legislature. The
following are the facts: The bonds in suit
were issued under the authority Of vote Of
the people of the coNhty of Lee, at an cleo
ton held 10th September, 1854, authorizing
the County Judge to subscribe to the stock OF
the keokuk, Muscatine and Mount Pleasant
Railroad Company, and to issue bonds there
for The bonds were for $1,000 each, paya-
bic to the railroad company or bearer, 20
years after date, at the Continental Bank in
New \ ork al of which facts were recited in
the body of the bonds.
The petition in the case alleged the same
facts, and that the plaintiff bad become, by
Endorsement, owner Of the bonds, and that
the interest remained unpaid. The answer
denied Indebtedness on the bonds; denied
that Lee county was bound to pay the cou-
pons, and averred that the posers of the
county were limited, and that il had no legal
capacity to do any business for profit, nor any
act not purely municipal; that tlle coupons
we're signed by one Boyles, as Cohnty Judge
of the County, and by him deliyd red to the
railroad company, to aid the cbmpany in
constructing the road that the railroad com
pany was private corporation. organized to
build road for private benefit of the stock
holders; that the bonds were signed without
authority and by fraud, and in violation of
law, and without consideration TO the county,
Of which plaintiff had notice.
Upon the trial the plaintiff gave in evi-
dence the election proceedings, by the final
order in which il had been declared by the
County Judge that the vote was in favor Of
the subscribtion and the issue of the bonds
therefor. 1t was also shown that the County
of Lee paid the FIRST six months interest on
the bonds, by receiving them in payment of a
special railroad tax levied for that purpose
also that the bonds were not delivered to the
railroad company until after the act of the
Legislature known as the curative act. appro-
we'd 18th January 1851, had become opera
tive. The plaintiff also gave in evidence the
laws Of Iowa, and decisions OF the Supreme
Court thereon, up TO the time the bonds were
issued, and thereupon asked instructions to
the jury declaring the validity Of the borftls
under the laws aud facts in evidence which
the Court refused
On motion Of counsel for the county. the
jury were instructed that the date of the con
pons sued on there was no statute in the
State OF Iowa authorizing that issue, and that
the election proceedings given in evidence
were yod: that the curative act gave no vail.
dity 10 the bonds: that the bonds were there.
fore issued without authority Of law, and were
void.
Appeal was taken TO the Circui. Court
where the judgement belowwas affirmed. The
case was then brought to this court. the plain
tiff relying on the following points for rever-
sal:
l. The constitutional authority of the Le-
gjslatuve ofiowa to authorize Lee County to
stocks TO railroads, and issue bonds
therefor. has been settled by this court afr.
in several cases
II. The acts of the Legislature cited In
this case, confer full auihortyupon Lee eoun
" 10 issue these bonds. and the act approved
10Th January 1857, was specially intended to
legalize ali acts done by the county in subscri.
bing to the stock Of railroads and issuing
bonds
That two cases involving the same questions
IN respect 10 the same Issue Of bonds had al
ready been decided by this court in favor Of
their validity, and Of the effectiveness or the
curative act;
The court now, Grier. j., sustained the
validity Of the bonds, holding that the cura-
tive act Of 24th January, 1857, was valid and
operative 70 make the subscription affective
and the bonds obligatory
The decree Of the Circuit Court was rever-
sed, and the cause remanded, with instruc
tons TO award q reairc tarias de noro.
+. A. Dick for appellant; appelle not ap-
pearing.