School Directors of District No. 5 v. School Directors of District No. 1

Citations

• 105 Ill. 653
• 1883 Ill. LEXIS 133

Syllabus

<p>1. Limitation—in chancery, for money had and received by school directors. Where a township treasurer by mistake pays the moneys arising from taxes levied in one school district to the directors of schools of another district, the Statute of Limitations will bar a bill in equity by the directors of the district entitled to the funds after the lapse of five years from the last payment so made to the wrong district, by analogy to the limitation at law for money had and received.</p> <p>2. Same—school funds—whether held in trust. Money belonging to a school district while in the hands of the township treasurer is a trust fund, but when he pay's it out to the directors of another district, on their orders, by mistake, without fraud or collusion, or notice to the recipients that it belonged to another district, it can not be held to be a trust fund in their hands which will exclude the operation of the Statute of Limitations.</p> <p>3. Same—applies to municipal corporations. In an action on contract or for a tort, a municipal corporation may plead or have pleaded against it the Statute of Limitations.</p>