State ex rel. Clarke v. Bd. of Com'rs of Dodge Co.

• Decision Date: 13 July 1881
• Citation: 9 N.W. 691,11 Neb. 484
• Parties: STATE EX REL. CLARKE v. BOARD OF COM'RS OF DODGE CO.
• Court: Nebraska Supreme Court

11 Neb. 484

9 N.W. 691

STATE EX REL. CLARKE

v.BOARD OF COM'RS OF DODGE CO.

Supreme Court of Nebraska.

Filed July 13, 1881.

Original action in mandamus.

George W. Doane, for relator.

E. Wakeley and J. C. Cowin, for respondents.

LAKE, J.

The answer to the alternative writ, which is fully supported by the evidence, is that the respondents, having advertised for the sale of the bonds in controversy under one of two plans, viz., one of the plans being for their delivery on the first day of January, 1881, with payment for the whole amount to be then made; and the other for their delivery and payment of bid in instalments of $25,000 on said first day of January, $50,000 on the first day of July following, and $50,000 on the first day of January, 1882,--received several bids, among which was one by the relator and one by Ezra Millard, president of the Omaha National Bank, which last bid was finally accepted. According to the relator's bid the bonds were all to be delivered and paid for on the first day of January, 1881, at a premium of 3.52 per cent., while, according to that of Millard, they were deliverable in instalments, as above set forth, and to be paid for when delivered at a premium of 1 7/8 per cent. on the last. The bonds were to bear the same interest under both propositions from the time of delivery.

The commissioners, believing that the bid made by Millard was the best for the county, in view of the interest that would accrue on $100,000 of the amount if the bonds should be issued altogether in accordance with the relator's bid, while the money derived from their sale would necessarily be lying idle in the treasury, were about to accept it, learning which the relator, at a private interview, proposed to and did modify his bid by offering in writing to make payment of the $100,000, if the commissioners preferred it, in two certificates of deposit on the First National Bank of Omaha, one for $52,760, payable July 1, 1881, and the other for $54,260, payable January 1, 1882. By this mode of payment the county would realize the sum of $7,020 for the use of the money by the bank, as an offset to the interest which the bonds would bear. This modified bid the commissioners considered better that Millard's, and, not without some misgiving as to the propriety of so doing, they accepted it and awarded the bonds accordingly. Shortly afterwards, however, becoming satisfied that this action was illegal, they formally vacated it and awarded...