Enslen v. Knepfle Bros.

Opinion op the Court by

Judge Dawson

Reversing.

In 1928, the City of Morehead issued 168 six percent Street Improvement Bonds of $500 par value each, maturing serially in from one to ten years. Knepfle Brothers bought the entire issue and sold appellants Jurin and Enslen eleven bonds which were due in 1937 and 1938. •

The city defaulted on the first maturities in 1929, and in 1933 Knepfle Brothers brought suit against the city on behalf of themselves and all other bondholders for all payments due in 1929, 1930, 1931 and 1932. They obtained judgment for the amounts due in those years.

The city paid…