The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-03-28
INTEREST ON COUNTY WARRANTS.



Those Issued Before June :, 1898.
OLYMPIA, March 27.-[Special. THE
supreme court has decided the question az
to the legal rate OF interest on warrants, in
the case of the Union Savings Bank and
Trust Company. appellant, W. George Gill
bach, treasurer of Thurston county, re-
spondent. Appellant held warrants issued
by Thurston county. The treasurer offered
payment of principal with interest at 10
per cent until June 7, 1893. and per cent.
since that date, the legal rate o. interest
being changed on that date. The court
held that counties ought and under the
Law can do no less than meet their obliga-
tons upon the same terms az . private
person. Having contracted to pay interest
on warrants At 10 per cent. that rate il due
to the holder. The judgment of the lower
court. holding per cent. to DO the legal
rate Of interest since June Z, 1893 on war
rants issued prior to that date. is reversed.
Discussing the question the court says:
I'VE have no idea that the legislature of
1898 contemplated that public obligations
Of this class should be repudisted. We are
satisfied that IL cannot be held that q
county warrant is not q contract to pay
money. The statutes governing the pre-
"
issuance Of warrants for sums allowed con-
templates that the transaction betw cen
the claimant and the county II TO be
merged in . warrant and settled by il.
One Of the principal reasons We find given
in the cases alluded to here for
not allowing interest on warrants
whore there has been no custom and
no statute, il that the people who have
dealt with the county havc by advancing
the price Of their goods discounted thedacc
OF their claims before their warrants are
issued, but here We have statute making
payment of intesest mandatory, so tn az
one who deals with the county knows he
is expected to sell on q cash basis the
same as to a private individual, making
himself whole for the delay in payment
out of the interest paid him. 1t Is also
said that the law allows interest at
different rates according ~ the value
of the money Is supposed to vary
a. compensation for detention of the
money. Such 10 the theory Of IL when
it IL allowed as q penalty, but. as
We have seen, this theory has no applica-
ton when payment Of interest II based
upon q contract, although the contract
merely provides for legal interest Repu-
diaiion Of public obligations Is not TO be
thought OF In these days, and cannot be
tolerated In the suise of reduced interest
on past transactions. The statutes make
ample provision by which the counties
can fund legal indebtedness at as low q
rate as money can be procured and thereby
pay OF high interesi-bearing warrants"
judges Hoyt and Anders dis.ented.
Decisions were also rendered in the fol.
lowing cases:
State Of Washington ex rel. NJ. 2. Bit.
ieneourt and W. II. Maud. respondents.
vs. I. W. Gordon. clerk superior court.
King county. Observation-Disclosures hav-
ing recovered certain judgment before A
justice of the peace Tor the purpose of
making II lien upon the real estate OF the
defendant, rendered o certified CODY Of the
transcript. together with 10 cents tor fling
and II cents for each folio therein con.
tanned. The clerk demanded s., which
being refused, the clerk declined to file ths
transcript The supreme court holds that
the fee prescribed In section OF the act
can only oe eracted from party who ins,i-
iu;es IN the superior court an action or
proceeding; tina, the filing OF a transcript
or judgment OF s Justice IS nos the COM
meneemeni Of an action, and Judgment il,
affirmed
John Ricket et al. respondents, vsAT
Williams ct al, appellants. In this case
tbe judgment OF the superior court of Ste
vens county enjoIning the removal OF the
county seal from tolviiie 10 Kettle Falls
is affirmed on the ground tha. the action
o. the county com IN lssioners sabratftin y
the question OF removal VAS unaathorizsi
| and the election In pursuance thereof in
valid tor that reason
Nest Coast improvement Company, re-
spondent, VS.. Thomas Winsor e. al ar
pellants. from King. Responder, brpash ,
ar action 70 restrain appellants from div.
ing piles upon certain parts of the tide
lands In front of the city of Ballard Ths
order granting temporary injunction Is
affirmed