Town of Pontotoc v. Fulton

Citations

• 79 Miss. 511

Syllabus

<p>1. Municipal Bonds. Void recital.</p> <p>A -void recital in municipal bonds does not render the bonds invalid.</p> <p>2. Same. Code 1893, ? 3017.</p> <p>Municipal bonds issued under code 1892, g 3017, providing that municipalities may in issuing them make a part mature annually, and prohibiting in such case the calling in of the bonds until maturity, are not void because of a recital to the effect that the municipality reserves the right, after a certain date, to pay off and cancel any of the bonds.</p> <p>3. Same. Schoolhouse. Consent of taxpayers. Bxeessime levy. Bona fide holder. Code 1893, \\ 4014.</p> <p>It is not a defense to an action on municipal bonds, by a ftona fide holder, that the municipality was at the time of their issuance a separate school district, that the bonds were issued to raise funds with which to build a schoolhouse, that the debt incurred by their issuance exceeded a three-mill levy of taxes on the taxable property of the municipality, and that the consent of a majority of the taxpayers was not given to authorize the levy of a tax exceeding three mills on the dollar for the erection of the schoolhouse or the issuance of the bonds.</p>