The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1878-02-09
A CARD.
CITY CONSOLIDATED BOND MATTER

Abstract from the decision rendered by Judge
Woods in the cause of Rosale Maenhaut
and others VS.. the city Of New Orleans and
others:
sI am of opinion that the act of 1862, above
mentioned, contains contract vahd and
binding on the city, and that the bondholders
are entitled to exact the substantial perform
ance Of the contract, | have SO held upon the
former hearing Of the case, Maenhaut ct al.
VS.. the city of New Orleans, q Woods, 108
The thirty-seventh section of the act of 1862,
constituting, as it does, q contract between the
city and the bondholders, stands unaffected
mpair or repeal its propisions. But the rem
edy of the complainants to enforce their con-
tract is clearly. not in equity, but at law, by
the recovery OF O judgment on their coupons
commanding the levy and collection OF the
tax required by law. The relief at laoe 10
plain, adequate and complete and equity cane
not be res0rted to-
from the decision rendered by Judge Billings
in the case OF Morris Ranger vs., the Mayor
and Common Council of New Orleans, dated
"But among the statutes Of the State with
reference to the city of New Orleans, and
among the general statutes OF the State, are
found acts that give the absence of any par
nance creating debt, special significance
"The act of 1852, No. 81, entitled An act to
consolidate the city of Ne,r Orleans, andpro-
81, contains the folloecing prouiston:.
"'And no ordinance (of the city Of New Or
leans) creating q debt or loan shall be valid
unless for some single object or work dis
tinctly specified therein, and unless such or
dinance shall provide ways and means for
the punctual payment of running interest
during the whole time for which said debt or
loan shall be contracted, and for the full and
punctual discharge at maturity OF the capital
borrowed nr tha debit inpurred ~
ABSTRACT
from the report Of Judge T. Wharton Collens,,
Especial master in chancery," approved by
SKI On all points Of inquiry generally,
report , Il, -. 49, 81, ,oro ,u.o .a.,, ,od .s an
irrevocabe check and safeguard for the bene-
fit and advantage OF the holders OF the con.
soldated bonds No debt could be contracted
except according to it's Provisions: me hold d.
the collection Of taxes on lands and slaves,
and to the suppression Of any demand for
payment of any subsequent debts that would
interfere with or prevent the payment Of the
consolidated debt, unless such subsequent
debt was contracted upon compliance with
the terms and conditions Of the act of 1856"
IN THE CASE OF MAENHAUD' VS.. NEW ORLEANS,
before the United States Circuit Court for
Louisiana Judge Woods, 10 the written rea-
sons assigned by him foT judgment, uses the
following language:
Sin the argument upon the motion for in
junction it was claimed by counsel for the city
that the act Of 1852 was In violation OF the
constitution of 1916, which was in force when
that act was passed, and which declared larti-
Gle I'D that taxation shall be equal and uni.
form throughout the State Theprovision Of
this act of 1852, which is deemed to contra
vene this constitutional requirement. Is tnls
The rate per cent Of said tax in each munici-
pality shall be In proportion to the indebted
ness of eaeh' I ears,,ot see any conflict be-
taoee1, the lao and the constitution. AS at pres
emit advised, I do not think the objection to
the law well founded"