State ex rel. People's State Bank v. Police Jury of Red River Parish

• Decision Date: 30 June 1923
• Docket Number: 25937
• Citation: 97 So. 584,154 La. 389
• Parties: STATE ex rel. PEOPLE'S STATE BANK v. POLICE JURY OF RED RIVER PARISH et al
• Court: Louisiana Supreme Court

97 So. 584

154 La. 389

STATE ex rel. PEOPLE'S STATE BANK v. POLICE JURY OF RED RIVER PARISH et al

No. 25937

Supreme Court of Louisiana

June 30, 1923

Rehearing Denied October 2, 1923

Appeal from Eleventh Judicial District Court, Parish of Red River James W. Jones, Jr., Judge.

Mandamus by the State, on relation of the People's State Bank against the Police Jury of Red River Parish and another. From a judgment for plaintiff, defendants appeal.

Reversed, and plaintiff's demand rejected and dismissed.

J. F. Stephens, of Coushatta, for appellant Police Jury of Red River Parish.

Nettles & Bethard, of Coushatta, for appellant Bank of Coushatta.

M. L. Dismukes, of Natchitoches, for appellee.

OPINION

BRUNOT, J.

This is a mandamus proceeding. The police jury of the parish of Red River advertised for bids for the fiscal agency of said parish for the ensuing two years, beginning the 1st day of January, 1923. In response to this advertisement the People's State Bank submitted a bid in which it proposed to pay 6.51 per cent. per annum interest, to be calculated upon the daily balances as shown by the books of the treasurer of the police jury, payment of interest to be made semiannually on the 1st days of January and July of each year; to lend the police jury, at the same rate of interest, an amount equal to the average deposits kept in said bank; and to cash, without charge, and to receive on deposit, at par, all checks drawn by or in favor of said police jury.

The Bank of Coushatta also submitted a bid for the fiscal agency. The bid of this bank proposed to pay the police jury of the parish of Red River 6 per cent. on all daily balances deposited in said bank. "and to charge 4 per cent. interest on all overdrafts and funds advanced to and on behalf of said parish of Red River."

Both bidders filed proper financial statements and agreed to comply with all legal requisites.

On the 7th day of February, 1923, the bids were opened by the police jury, and the fiscal agency was awarded to the Bank of Coushatta by resolution and ordinance, the second preamble of which is as follows:

"Whereas, in accordance with said advertisement, the Bank of Coushatta has submitted the best bid, it being in substance as follows: To pay 6 per cent. on deposits and charge 4 per cent. on overdrafts and money borrowed."

On the 13th day of February, and before the fiscal agency contract had been perfected, the People's State Bank, on the relation of the state, filed mandamus proceedings in the Eleventh judicial district court. The prayer of the petition is as follows:

"Wherefore, the premises and annexed affidavit considered relator prays that an alternative writ of mandamus issue herein directed to the police jury of the parish of Red River, La., G. C. Armistead, president, commanding it to accept the bid, proposition, and offer of your relator and to socontract with it as fiscal agent for the funds of said body for the period of two years, beginning January 1, 1923, or to show cause to the contrary on such day and at such hour as your honor may determine and appoint.

"Relator further prays for the issuance of a writ of injunction to be granted on relator giving bond as your honor may determine, conditioned, secured, and payable as the law directs and orders; enjoining, inhibiting, restraining and prohibiting the police jury of the parish of Red River, La., or any of its officers thereof, from contracting with the said Bank of Coushatta, as the fiscal agent for the said two years, and from depositing its funds in such bank as agent.

"They further pray that the Bank of Coushatta, of which B. S. Stephens is president, be made a party hereto, and that service of the writs and of this petition be made upon it as well as upon the police jury of the parish of Red River, La.

"Relator further prays that the writs of injunction sued out be duly sustained, maintained, and perpetuated and made the judgment of the court."

The order is as follows:

"Let alternative writs of mandamus issue herein as prayed for and according to law, returnable at the hour of 10 o'clock on the 17th day of February, 1923, and let a writ of injunction issue as prayed for on relator giving bond in the sum of $ 1,000, conditioned, secured, and payable as the law directs and orders. Natchitoches, La., February 13, 1923."

It appears that the issues raised by the injunction have not been tried in the lower court, and therefore the only question presented is the correctness vel non of the judgment of the district court making the writ of mandamus peremptory and commanding the police jury of Red River parish to contract with the People's State Bank as its fiscal agent for the two ensuing years, beginning January 1, 1923.

From this judgment the police jury of the parish of Red River and the Bank of Coushatta have appealed, and the case is before us for review.

The People's State Bank, relator in the court below and appellee here, contends that under the laws of this state, and particularly of Act 205 of 1912, and the Acts amendatory thereof, its proposal was "the only legal bid, and the best and highest bid made"; that the bid of the Bank of Coushatta should have been rejected, and the People's State Bank should have been declared the fiscal agent for the two ensuing years, beginning the 1st day of January, 1923.

Opinion.

The basis for the contention that appellee's bid was the only legal bid appears to be a mere conclusion growing out of the fact that appellee's bid followed the verbiage of Act 205 of 1912, with particularity, while the bid of the Bank of Coushatta omitted minute details. These omissions are immaterial, because the third paragraph of the bid of the Bank of Coushatta fulfills the legal requirements with respect thereto. The paragraph referred to is as follows:

"Said bank further agrees, binds and obligates itself to comply with such terms and requisites as may be required by your honorable body and by the law."

Appellee contends that it made the...