Bates v. Gregory

Citations

• 3 Cal. Unrep. 170
• 22 P. 683
• 1889 Cal. LEXIS 1119

Syllabus

<p>Municipal Bonds—Subsequent Statute Affecting Purchasers.— Act of March 26, 1851 (Stats. 1851, p. 391), incorporating the city of Sacramento, and investing it with authority to sue and be sued, and acts of April 26, 1853 (Stats. 1853, p. 117), and April 10, 1854 (Stats. 1854, p. 196), authorizing the issuance of bonds of the city, gave the purchaser of such bonds the right to sue the city if they were not paid when due; and this right could not be impaired by subsequent legislation.</p> <p>Municipal Bonds—Funding—Limitation of Actions.—Act of March 22, 1864 (Stats. 1864, p. 217), entitled an “Act to provide for the liquidation of the indebtedness of the city of Sacramento which accrued prior to January 1, 1859,” and empowering the board of trustees of the city to issue new bonds, in liquidation, to all holders of claims against the city, was passed merely for the purpose of completing the funding of the city’s indebtedness, and did not withdraw claims, existing before the passage of the act, from the operation of the statute of limitations; and an action for mandamus to compel the board of trustees to issue bonds, as therein provided, in place of those issued by the city under acts of April 26, 1853, and April 10, 1854, cannot be maintained where such bonds have since the act of 1864 become barred by the statute of limitations.</p> <p>Thornton, J., dissenting.</p>