Daily press and Dakotaian. [volume] (Yankton, Dakota Territory [S.D.]) 1875-1880, 1876-05-13

fSupreme Court Continued from An page
question Of aiding ,he pakesa Southern
railroad company was submitted and
,votsd ON, was unauthorized, illegal and
nulity, and all subsequent acts done
and performed pursuant to that v.ote
were void. The county possessing no
power to contract that kind Of an indebt-
sdDesa, it is clear the com nmissioners
could not bind the county by issuing
what purported to be its bonds, and the
county having 10 authority, originally,
to authorize their issuance, it could not
ratify tho act after 1t was done, they are
therefore void, even in the hands of in
nocent holders, aud the collection of the
tax levied to pay the interest thereun,
should be perpctually snjoined.
With the question Of good or bad faith
on the part of the county, and the har T.
ship 70 the innocsnt holders OF these
bonds, l have nothing to do. Were his
xTcxse In which the power in the county
WIS uuquestioncd, and involved only IT5
regulsrities in its proper exercise, such
considerations could be urged with great
propriety, and would be entitled to much
weight. But that Is not the case. 1t is
certainly we'll, that in this early period
of the history of our territorial jurispru-
dence, the limit Of the power OF muni-
cipal corporations should be carefully
defined and guarded That those who
deal with them shea4d understand that
they are charged with the knowledge Of
the nature and extent of the powers and
duties of these corporations and their
officers; aud that they need not expect
ho I'D
blindiy, what purports to be their bonds
and other evidences of Indebtedness,
issued without auth ,rity of law, and find
courts OF jussics rcsdy to enforce their
payment, on the ground, simply that they
are ia the hands of innocent holders, and
with the mad dog cry against rcpudiation
Of spurious securities, which in contem-
platicn Of law, the corporation never
issued
Municipal corporations are the crea-
lures Of the statute; they have no powers
except such as are confined, they can do
no act unless authorized. And any act
done, which trAnscends their lawful or
legitimate powers, OF which they are not
authorized to dc, is simply the act of
the corporation, and there It ends, and
against any legal proceedings instituted
thereon, It may interpose the plea OF
ultra wires. The sooner these we'll settled d
principles are thoroughly understood and
ac.ed on, the better.it will be, both for
the corporations, and those dealing with
them.
desire to notice briefly ano her point,
which deem sufficient in itself To- war
rant my conclusions in this case. Ad
mitting that the act Of congress rendered
vsiid the territorial act, and legalized all
proceedings had Hereunder, did it not
do norel The pretended territorial act
provided that aid might be extended to
any railroad company, in one Of three
ways. First, by donation, I'd, by loan of
credit, Sd, by subscription to capital
a,ock II 10 alleged 10 the complaint
that the voters of Yankton county, voting
At the election held September 3, 1871,
voted to extend the aid of the county to
the Dakota Southern railroad company,
by donation or gift to the amount of
two hundred thousand dollars, in the
bonds Of the county. Now the last
pro~iso in the second section of the act
of congress, reads As follows: THAT
said DAkoiA Southern railroad company
shall issue to the rsspective counties and
townships, voting aid to said railroad
paid up certificates Of stock in the same
in amounts equal Y, the same voted bS
The respective counties and townships.
This provision clearly requires the com.
p.ny to isspe paid up cer,ihcates of stock
and ~ clearly requires the county t,
receive and accept them, and by inplica
ton prohibits the extending Of aid t,
railroad companies, by counties snt
townships, BY way Of aeas.ion or loar
of credit There is no pretsnse tha
Yankton county has ever voted II
subscribe to the capital stock of sale
company. The bonds were issue,
s, sitter tl,c passage OF the act of congress
NAad itssowhcre appears from the recor,
In this case, that the county has ever xs
sented to the change made IN its contrsc
with the company, or even ratified tn
Acts OF the commissioners. Ii the coun
y can be bound st slit must be i
manner provided by the act of April 81
1871, and the only method therein point
ed out. is BY the. voice of the people e,
pressed through the ballot box, aud af e
II has made its eantrsot, as therein direc
ed, know Of no earthly power that ca
1t may bs said that the change was i
VIC NV etest " euo oo1uSy. oui Shas III
ters not; parties To contracts must be It
Judges te Whist is their interest an
what not. The county may think yer
difFsreatIy ON this point. This proyisic
if accepted made the county : stocl
holder in said com psny, with all the ii
bilitics and responsibilities which sttat
under the provisions of the statutes
the Territory under which said compar
was organized and incorporated, nj
these may be of such character that i
coanty would desire or wish 10 assuu
them. This Yankton county virtual
refused 70 do by voting aid BY aid Of
gift or donation. There is just one VI
Of escaping the logical conclusions
which we are driven. and that the peoI
Of county is entitled 70 no voice in d
tsrminiog the nature, chsracler y
am0nnt of the r,Spt.tnia ~ 3inhilitias Nj