Clerihew v. City of Baker

This is an action by an innocent purchaser to recover from defendant upon two interest coupons issued in connection with certain funding bonds. Judgment went for plaintiff and defendant appealed.

The facts leading up to the issuance of the bonds are these: In 1914 an election was held in the city of Baker at which a majority of the electors voting thereat, favored extension of the limit of indebtedness of the city over and above the three per cent, fixed by the Constitution, to the extent of $25,000 for the purpose of acquiring a water system and supply; bonds in that sum were issued, but the…