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CHAFFEE COUNTY V. POTTER, 142 U. S. 355 (1892)

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U.S. Supreme Court

Chaffee County v. Potter, 142 U.S. 355 (1892)

Chaffee County v. Potter

No. 103

Submitted November 24, 1891

Decided January 4, 1892

142 U.S. 355


A statement, in the bond of a municipal corporation, that it is issued under the provisions of the Act of the General Assembly of Colorado of February 21, 1881, and in conformity with its provisions; that all the requirements of law have been fully complied with; that the total amount of the issue does not exceed the limits prescribed by the constitution of that state, and that the issue of the bonds had been authorized by a vote of a majority of the duly qualified electors of the county voting on the question at a general election duly held, estops the county, in an action by an innocent holder for value, to recover on coupons of such bonds, from denying the truth of these recitals.

When there is an express recital upon the face of a municipal bond that the limit of issue proscribed by the state constitution has not been passed, and the bonds themselves do not show that it had, the holder is not bound to look further.

Lake County v. Graham, 130 U. S. 674, and Dixon County v. Field, 111 U. S. 83, affirmed and distinguished from this case.

The case is stated in the opinion. chanroblesvirtualawlibrary

Page 142 U. S. 356

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