The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1898-07-03


ST. Paul Gas Light Company, respondent, VS..
Vliiage OF Sandstone, appellant.
Syllabus: Chapter 145, Laws 1885, pro-
constitutional
2 Where a municipal corporation is act
ing IN under color of law, and exercising all Of
the functions and powers of corporation
ae Jure, and the legality of its Incorporation
mas not been questioned by the state, but,
on the contrary, 1t has been recognized as
such for some years by the state, neither the
can question the validity of its corporate ex-
lsdence In collateral action or proceeding.
.. The defendant issued Its negotiable
PONDS. pursuant to majority vote OF the
electors OF the village, for the purchase Of
visions Of Laws 1853, chapter 900. The bonds
recited that they were issued under this act
and that all the requirements of the constitu-
tion and laws Of the state had been fully
complied with In the issuance thereof. In
fact, the statute had not been compiled with
In that the bonds were not advertised for
sale and sold at not less than par, but we're
issued directly. to corporation in payment
or system OF water works purchased of 1t
for the village. Held, following Fulton Vs.
Town of Riverton, ~ Mimi, ss5, that the
bonds were valid in the hands of a bona
ide holder for value without notice.
4. The plaintiff acquired the bonds as COL
lateral security for a loan made by 1t TO a
third party under circumstances which would
il 1t were an Individual, constitute II
bona fde holder of the bonds, but it not
authorized to loan money by its charter.
a
bends. Order affirmed. Start, c. ].
c.. H. Rossman. as receiver Of the Fred B.
George Stationery Company, respondent, vs.
Cyril Mitchell ct al, appellants.
Syllabus. Where an insolvent debtor has
transferred his personal property to defraui
solvency may avoid such sale by demanding
Of the fraudulent vendee a return of the
property and If the demand is refused he
for the value thereof He is not required to
first bring an equitable action to set aside the
sale.
plaintiff suing as a receiver that at such
time in such an action or proceeding and
by such a court officer he was duly ap-
pointed receiver of the estate Of such party
Is sufficient
But complaint which does not state the
action or proceeding or the court in and by
not sufficient on demurrer. Order reversed.
Start c. j.
Ambrose N. Merrick ct AL, appellants, VS..
Ernest B. Putnam as assignee of the Glad
stone Land Company, respondent.
syllabusI In proceedings to TO. eclose GER
of sale were signed by the mortgage, who,
after the first, and before the last publication
thereof made an assignment for the benefit
Of his creditors under the insolvency laws OF
the state. The deed Of assignment was duly
recorded. Held, following Dunning vs. Nc
Donax. 81 MINI. 1. that a sale of the
A.iOi
signed and published would have been invalid
g. An attorney. employed by the mortgage
to foreclose the mortgages was requested by
the assignee to complete the foreclosures but
was afterward and before the sale directed
by the assignee to discontinue such proc eed-
ings because no valid sale could be made
hereunder. Held, that he was not tied
to have fee and expenses on such proceedings
paid in full out Of the trust estate as part
Of the necessary expenses of administration
He is only entitled to prove his claim against
the estate as general creditor. Order affirm
ed Start G. +
John W. White, appellant VS.. Simeon G.
Rathbone ct al. defendants Simeon G.
Rathbone respondent.
Syllabus-Hed following Bart,eson va
Thompson. 80 MINI. 49, that tie failure to
redeem from a sale made on second lien
on land by the holder of lein sub seuuent
and subordinate thereto cuts off his right to
redeem from sale made on a first lien there
on. Judgment affirmed. Start. c. J.
w. r.. Jamison, appellant, vs., Robert C. Ray
ct al, respondents
Syllabus-Eyidence held to sustain the find
ings of fact of the trial court to the effect
that certain. labor claims, for which the