54 Miss. 592 | Miss. | 1877
delivered the opinion of the court.
The act of Feb. 13, 1867, was a legislative proposition to the holdefs of claims against the old levee board of 1858, by which they were asked to submit to heavy sacrifices on the debts due them, and to accept in lien thereof the new bonds to be issued under said act. For the extinguishment of these new bonds a specific tax of five cents per acre in some of the counties, and of three cents per acre in others, was levied upon all the lands in the levee district; which tax, it was declared, “ shall continue until a sufficient sum is collected, with which to pay off all the debts and liabilities contracted or assumed, and all the script or evidences of debt issued by the general board of levee commissioners, organized under the act approved December 2, 1858.” The taxes to be raised under this scheme went into the hands of a board of commissioners for the purpose of liquidating the new bonds authorized to be issued in extinguishment of the old debts. All lands which might be sold in future for non-payment of the specific tax imposed by the act became the property of the commissioners, for the like purpose of paying the new bonds. The holders of the old claims against the levee board of 1858, with singular unanimity, availed themselves of the invitation extended by the act, surrendered their evidences of debts long past due, which bore interest at the rate of eight per cent per annum, and upon which the accumulations of interest amounted to more than
If any thing is settled in American law, the act of 1867 became a contract between the State of Mississippi and the authorities of the levee district on the one hand and the holders of the new bonds on the other, which it was not competent for either party thereafter materially to modify without the consent of the other. This immunity from change would not extend to mere matters of detail, even though one party or the other might construe modifications made as more or less favorable or unfavorable to their respective rights ; and the presumption would always be in favor of the validity of such changes in the system as the legislature might from time to time adopt. But no fundamental alterations which affected the value of the security carved out for the bond-holder was permissible. It is manifest that the security in this case consisted of the tax which was fastened upon the land “ until ” (in the language of the act) “ a sufficient sum is collected with which'to pay off all the debts,” and of the lands which should be forfeited to the commissioners for non-payment of the tax. The tax, and the lands forfeited thereunder, alike became a fund pledged by the act for the redemption of the new bonds; and it was thereafter no more competent for the legislature to repeal the tax or to divert the lands than it was for them in express terms to repudiate the bonds. Among the countless-cases in support of this well-settled proposition we cite only two, which are strikingly illustrative of the principles upon which it rests. Von Hoffman v. Quincy, 4 Wall. 535 ; McGree v. Mathis, 4 Wall. 143. The doctrine deducible from these- and other cases is that legislative contracts, like that embraced in the act of 1867, are inviolable, and that so long as the courts can find persons or machinery by which their obligations can be enforced, no measures will be left untried to compel performance.
It is true that cases have arisen, where, owing to peculiar facts and circumstances, it has been found impossible to administer relief; but this occurred solely because there were
The bill in this ease, upon allegations which sufficiently show the necessity for the relief, seeks a subjection of the lands which have from time to time become forfeited to the levee commissioners. We think that the prayer should be granted, unless other reasons than those urged by the demurrer can be shown by answer. That the levee commissioners and their present successors, the auditor and State treasurer, are vested with power to sell the lands does not divest the Court of Chancery of its inherent jurisdiction to' administer a trust fund for the benefit and upon the application of the eestuis que trust. In making the sales, the court can employ the services of the trustees designated by law, or of its own commissioner, as it may deem most advantageous to all concerned. It will proceed, as far as may be, in accordance with the provi'sions of the act of 1867 and of the several acts amendatory thereof, disregarding and treating as unwritten all acts and parts of acts which were intended or had the effect of withdrawing the lands from the ownership of the levee commissioners and their successors, and thereby defeating the claims of the bond-holders. It will not interfere, however, with lands which have been redeemed or bought with the bonds or other evidences of indebtedness intended to be protected by the acts of 1867 and subsequent acts. As to these, the advantages conferred upon the bond-holders, by making their bonds receivable in the purchase and redemption of the lands for all State and county taxes, and their consequent enhancement in value, may be considered as fairly offsetting any loss sustained by the abatement of a portion of the levee taxes due on the lands so redeemed or purchased.
The bill seeks further to enjoin the auditor and treasurer who have succeeded to the position and duties of the levee
Decree affirmed, and cause remanded for answer.