The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-01-15
THIRD DISTRICT COURT.
Decision by Judge Monroe in the Case Of
the Citizens Bank.

Citizens Bank of Louisiana Vs. z. L. Bouny
| trial. After the rendition OF the Judgment In
| this case the attention OF the court was called
| to the fact that evidence had been offered to
| show that no attempt has heretofore been made
| to collect tax from the plaintiff upon the basis
| OF assessment which forms the subject matter
| Of the present litigation; and upon behalf OF
the defendants, that the original assessment
roll bad been effected for the purpose of prov
| Ing that the assessment upon the shares oil
stock held by stookbolders had been made IN
| the court thereupon eJ propria motu ordered q
new trial. and the case has been submitted upon
Concerning the opinion heretofore rendered,
the court will merely remark that It was based
upon the record as the court found 1t; the note
Of evidence and the testimony to the effect that
NO claim has heretofore been made for the tax
| claimed were not In the papers: the original
assessment roll offered on the, trial had been
nor was there anything In the hands Of the
court to indicate that such testimony he'd been
offered; the reasoning upon which the judg-
ment was rendered was, therefore. to this ex-
tent based upon mistaken premises.
Considering the questions presented anew,
as to be IL Of cspta
nomtse Of the Citizens Bank. This exemption
was granted at O. time when there existed no
constitutional prohibition. and, in the opinion
Of the court. constituted contract which
neither subsequent constitutions nor statutes
could impair. The profits or surplus OF the
bank. now sought to be taxed. by the law Of the
contract became part of the capital and are
equally exempt
The court Is further OF opinion that, inasmuch
as the State Of Louisiana for over forty. years
has acauiesced In the construction placed upon
their charter by the plaintiff. to-wit: that the
exemption therein contained applies as well to
the shares of stock In the hands OF the stock
holders as to the capital actually employed by
the bank: and as the generation by whom that
exemption was granted have presumably passed
away without asserting the pretensions here
get up. It Is now too late for the State to assert
her claim.
For nearly half q century the people OF Lou
isiana and the public at large have bought aud
cold shares Of Citizens Bank stock. in the belief
that 1t was species OF property beyond perad-
venture exempt froDs taxation. There Is no
doubt In the mind of the court that 1t was orig
inally intended that 1t should be exempt. and
the court is Of the opinion that good faith de-
mands that the Intentions OF the parties. as In
terpreted by them during period In regard 10
which 1t may almost be said that "the MEM
DRY of man runneth not to the contrary"
should not now be defeated by refinements OF
logic or new discoveries In the ar OF taxation.
For these reasons and for the reasons given
In support Of the former Judgment so far as
they are applicable. 1t Is ordered. adjudged and
decreed that there be judgment in favor Of
plaintiffs as prayed for; that the demand In re-
convention set up by P. L. Bouny. tax collector
be dismissed. and that defendant pay costs.
State OF Louisiana vs. the estate of Benjamin
+. Fox.-Judgment in favor Of plaintiff for