Vickrey v. City of Sioux City

Citations

• 115 F. 437
• 1902 U.S. App. LEXIS 4944

Syllabus

<p>I. Municipal Bonds — Bonds Issued aoainst Special Assessments — Liability op City.</p> <p>Bonds issued by a city in Iowa of the first or second class, under and! in conformity with Acts 23th Gen. Assem. c. 9, which authorizes such cities to issue bonds payable only out of special assessments that have been levied to pay the cost of street improvements, in an aggregate amount, which, with interest, shall not exceed the amount of the special assessment, and which, further, requires that the bonds shall express on their face that they are issued under such act, and that they are payable only out of the special assessments levied for the improvement of certain streets, do not constitute obligations binding the city as the original debtor, but the liability of the city is limited to the proper collection and application of the special assessments pledged for their payment.</p> <p>fi. Same — Street Improvement Bonds — Iowa Statute.</p> <p>Acts 20th Gen. Assem. Iowa, c. 20, which authorizes cities of the first class to improve streets and assess the cost upon abutting property, and also to issue bonds to defray such cost in the first instance, contains no provision that such bonds shall be payable only out of the funds realized from such assessments; and where neither the bonds themselves, nor the ordinance authorizing the same, contain such a declaration, but the bonds purport to be obligations of the city, it is bound for their payment at maturity, regardless of the condition of the special fund which the act requires it to create for their payment from the special assessments made.</p>