Western sentinel. [volume] (Winston [i.e. Winston-Salem], N.C.) 1856-1886, 1877-04-05
Fo6Sf+45!zS, 45!z zSfs15, 1bzEsq5444q5rsRl9Els4 zREs5'44 q5sRl9ls4:

F0RS,YZH,IRA44ZR0jAIDa..DlL'.El'..l, e,
Y sa1i ca GhSS,1195sF;.saa GhSS,1195sF ;:saa1,,i .'', iar.1
NORTH |;ia. 5IAsst .!2Y ASfF thanMS1!
stPkEME CoUrr.. : 1877. hDavidsoh
d. BELo .iad1s !
CoNMlssIofEEs or Fosf1T4Ha f'14a r. " ! j.
BYNuM, nun I:lad '4ave y yiiu2ia j.
: The defendant company was1ihiI
corporatcd by an ordinafce of tile
COVE ntioil, Of 1868, and BY sec. e 2
-of, the charter the same power to
subscribe t. tins. .caaitaf stock Of file
company, and subject to the like
regulations and restrictions, is given
to. counties and towns as was con
tered by All Act Incorporating the
ATLANTIC & North Carolira Railroad
Company, passed by the Legislature
of 1852. BY section 81 of the lats
ter Act, the Justices of y county
through or near which the road was
located, ga MIA aJority .uonenrrmg,o
are authorized to fix upon' sub
strlpt:on sdnI, and submit to the
voters Of the county. IT the ma
joirity favored subscription, th"
Justices were to Ghoose an agent to
subscribe the stock voted, and to
prepare and Issue county bonds,
as the Justices should direct. The
minutes Of the Special Term oe the
County Court, Which ordered the
proposition to be submitted to the
popular vote, recite that majority
of the justices were present, con-
curing in the order. The vote re-
suited in favor Of subscription, and
was SO certified to the Succeeding
Court, held in June, 1868: The
minutes of that term recite that 35
Justices were present, which num-
Der is admitted To be a majority of
the W hoie huAbcr! & At fiis latter
term ef the Gourt Athe jdsticesSsot-
dered the subscription to be made
to the capita. stock of the company,
and the bonds to lie prepared and
issued and sold, by the agent then
chosen. The. bonds were aceord>
ingly put upon the market, and
among thcu the identical bonds
now sued On, were hy thes agent,
sold to one LemTy, at his banking
house in Salem, on the 9TH OF
March, 1869. These bonds recite
that they were authorized by an
ordinance of 1868; By an order OF
the Cont of Pleas and Quarter
Sessions Of Forsyth county at June
Term 1868, and re enacted and
ratified and confirmed bv Act ot
the General Assembly, ratified the
llth eft AaSust 1868. AT the same
term at which the subscription was
made, the justices assessed specia,
fax upon the County, to meet the
! semi >annual interest on the bonds
This special railroad tax was annu
ally assessed, levied and collected
,ahd applied in the discharge of the
acaning interest npon- the bonds
from that time until 1872. a
certificate for the stock subscIib
was issued by the railroad cbmpan.
to the edHnty,. which it yet holds
ssh agent w.ss annually chosen t.
represent the county stock in al
the meetings OF the company
II Binder the, new. State Constitution
of 1868, a Board of County Gan
missiouers succeeded 20 all tin
powers and duties of the Justices
and up to 1872 this BoarG, uEani
mously, caused the levy and col
lection of the Railroad tax, and it
application to the discharge OF til
coupons due upon the bonds. Bn
: the Board elected in 1872, refuse'
to assess any farther tax, and TO pa
amy farther interest upon the bends
alleging as the reason therefor
that the Subscription of stock, s.
made by, the, county, was illcga
and void. a,e, i,rf-
i K The plaintiff purchased th
bondsain suit, of Lemlv,s' in7 May
4 1873, ytec. they fell due. Th
bonds were. then dishonored lik
other commercial paper-,remainin:
unpaid at maturity, and the plaintiff
is purchaser with notice of al
defects which would invalidat,
them in the hands of Lemly. H
acquired no better title than hi
transferrer. Any defence whicl
i could be asserted against the CLAIM
OF Lemiy, can be maintained by TIN
county against the plaintiff
Daniel on Negotiable Instruments
sec. 7S2.. Arelats as. Common
aosdaztRlH GasI 7B4RMjam. Z!
The question then Is, were tin
boads invalid in the bands Of Lem
Ii, whoipurchssod thes15 from Tin
toenty, before Snaturity Tiles de
fus1ce 1nmne &ttiSn is, Mat tIaeaAlec
ton could be ordered and the sub
scriptpn of stock made, ,oHlys b,
the, cyncuttAHGe of essAEjority &
slsS FrStice&bsshe cStass sasA aha
| IS -,