Defiance Water Co. v. City of Defiance
U.S. Circuit Court for the District of Northern Ohio
On Demurrer to Complaint. The hill of the complainant, an Ohio corporation, sets up a contract entered into with the city of Defiance in 1887 to furnish the city with 130 hydrants at 840 each per year; that, to comply with this contract, and relying on the revenue to he derived therefrom, a large amount of bonds were issued, and a plant built; that said revenue is the only means of meeting■ the interest on these bonds: that on January 7, 189(5, the council passed an…
Read the full summary
On Demurrer to Complaint. The hill of the complainant, an Ohio corporation, sets up a contract entered into with the city of Defiance in 1887 to furnish the city with 130 hydrants at 840 each per year; that, to comply with this contract, and relying on the revenue to he derived therefrom, a large amount of bonds were issued, and a plant built; that said revenue is the only means of meeting■ the interest on these bonds: that on January 7, 189(5, the council passed an ordinance or resolution attempting to rescind and annul the contract; that subsequently it passed ordinances looking to the…
1Opinion of the Court
SEVKRHNS, District Judge.
The conclusion which I reach in this case is that the demurrer should be overruled. There are three principal questions involved in this determination, which are decided as follows:
1. Was it necessary that the city at the time of entering into the contract for water should have had in its treasury, or should have had in course of collection,, the funds necessary to meet the expenditure contemplated by the contract, as provided for by the section of the Ohio statutes in that behalf (being Rev. St. § 2702)? My opinion is *754that the statute did not apply to the contract in…
2Cases cited1 opinion
- Walla Walla City v. Walla Walla Water Co.Supreme Court of the United States · 1898
3Cited by2 opinions
- McGonigale v. City of DefianceU.S. Circuit Court for the District of Northern Ohio · 1905
- City of Cincinnati v. Waite, Court of Common Pleas of Ohio, Hamilton County1912