Municipal Corporations.

"It seems to us, that the control of these Territorial governments properly appertains to that branch of the government which creates and can change or modify them to meet its views of public policy; viz., the Congress of the United States." In another part of the same opinion, he shows that territorial governments may be invested with general legislative power, and, at the same time, "be subjected to proper restraints form their superior;" viz., Congress. (Miner's Bank of Dubuque vs. Iowa, 12 Howard, 1).

"The Territory had been ceded as a conquest, and was to be preserved and governed as such until the sovereignty to which it had passed had legislated for it. That sovereignty was the United States, under the Constitution, by which power had been given to Congress to dispose of and make all needful rules and regulations respecting the Territory or other property belonging to the United States, with the power also to admit new States into this Union, with only such limitations as are expressed in the section in which this power is given. The government, of which Col. Mason was the Executive, had its origin in the lawful exercise of a belligerent right over a conquered Territory. It had been instituted during the war, by the command of the President of the United States. It was the government when the Territory was ceded as a conquest; and it did not cease as a matter of course, or as a necessary consequence of the restoration of peace. The President might have dissolved it by withdrawing the army and navy officers who administered it; but he did not do so. Congress could have put an end to it; but that was not done. The right inference from the inaction of both is, that it was meant to be continued until it had been legislatively changed. No presumption of a contrary intention can be made. Whatever may have been the causes of delay, it must be presumed that the delay was consistent with the true policy of the government; and the more so, as it was continued until the people of the Territory met in convention to form a State government; which was subsequently recognized by Congress, under its power to admit new States into the Union.

"In conformation of what has been said in respect to the power of Congress over this Territory and the continuance of the civil government established as a war-right until Congress acted upon the subject, we refer two of the decisions of this Court, is one of which it is said, in respect to the treaty by which Florida was ceded to the United States, 'This treaty is the law of the land, and admits the inhabitants of Florida to enjoyment of the privileges, rights, and immunities of the citizens of the United States. It is unnecessary to inquire whether this is not their condition, independently of stipulations. They do not, however, participate in political power: they do not share in the government until Florida shall become a State. In the meantime, Florida continues to be a Territory of the United States, governed by the virtue of that clause in the Constitution which empowers Congress to make all needful rules and regulations respecting the Territory or other property belonging to the United States. Perhaps the power of governing a Territory belonging to the United States, which has not, by becoming a State, acquired the means of self-government, may result necessarily from the facts that it is not within the jurisdiction of any particular State, and is within the power and jurisdiction of the United States. The right to govern may be the natural consequence of the right to acquire a territory' (American Insurance Company vs. Canter, 1 Pet. 542, 543).

"The Court afterwards, in the case of the United States vs. Gratiot, 14 Pet. 526, repeats what is said in the case of Canter, in respect to that clause of the Constitution giving to Congress the power to make all needful rules and regulations respecting the Territory or other property of the United States." Opinion of the Court in the case of Cross vs. Harrison, 16 Howard, 164.

Thus it appears, that, for a period of more that one hundred and thirty years, the Supreme Court has been in the habit of referring to the Territorial clause of the Constitution as an undoubted source of municipal jurisdiction; and has, in the most explicit terms, placed the sovereignty of all Territories in the government of the United States.

 

The Law of Municipal Corporations.

by

John W. Smith, LL. D.,

Of the Chicago Bar,

1903.

 

Validity of Incorporation.

Validity of incorporation – How tested. – The state, being the creator of municipal corporations, is the proper party to impeach the validity of their creation; and, consequently, where the corporation is acting under color of law and is recognized by the state as so acting, its corporate existence can not be collaterally attacked. This doctrine applies even through the validity of the incorporation may be attacked on constitutional grounds. In Illinois a town brought an action against a citizen to recover a tax on property in the town, and it was decided by the court that the validity of the incorporation of the town could not be impeached in such an action. If the state acquiesces in the validity of a municipal corporation and recognizes the corporation as valid for a long period, it will be estopped from denying the validity of the incorporation. In the words of Judge Cooley: "The state itself may justly be precluded, on the principle of estoppel, from raising such an objection where there has been long acquiescence and recognition.

And it may be laid down as a general principle that where the validity of the incorporation of a municipality is attacked, the presumption is strongly in favor of its validity. In a Wisconsin case it was held, following this principle, that the complaint in an action against a city need not allege that the defendant was a municipal corporation. A striking application of this doctrine is found in an Indiana case, where an information in a proceeding in the nature of a quo warranto to test the legality of the organization and incorporation of a city, which averred that a census was not taken as required by law, and that a majority of the legal voters of the town did not vote in favor of the adoption of a city charter, but which failed to aver that the clerk and inspector did not do their duty, and make a suitable record as required by law, was held bad on demurrer, because such record was considered conclusive as to all questions except as to whether a majority of the voters cast were in favor of the proposed change.

Corporations de facto. – As in the case of private corporations, so also in the case of municipal corporations, there may be a corporation de facto. When a municipal body has assumed under color of authority, and exercised for a considerable period of time, with the consent of the state, the powers of a public corporation, of the kind recognized by the organic law, neither the corporation nor any private party can, in private litigation, question the legality of its existence. There must be two things existing to constitute a corporation of this character: (1) a law under which the corporation might be created, and (2) a bona fide attempt to organize under the law. A municipality organized under a law afterwards held unconstitutional is a de facto corporation, and its officers are de facto officers until a writ of ouster and removal has been issued. It is sometimes contended that there can be no de facto corporation under an unconstitutional law. The acts of a de facto corporation or officer under an unconstitutional law, before its invalidity is challenged or declared by the judicial departments of the government, can not be avoided, as against the interests of the public or third parties who have acted or invested in good faith in reliance upon their validity, by any ex post facto declaration or decision that the law under which they acted was void. But where there is no law authorizing a de jure corporation there can be no de facto corporation. It must be understood of course that it will be treated as a de facto corporation until the law has been declared unconstitutional. And so an officer acting under an unconstitutional law is acting under color of law and is an officer de facto.

 

Summary.

Article IV, section 3, clause 2 states; "The Congress shall have the power to dispose of and make all needful rules and regulations respecting the Territory or other property belonging to the United States; and nothing in this Constitution shall be construed as to prejudice any claims of the United States, or of any particular State."

"The inhabitants shall always be entitled to the benefits of the writ of habeas corpus, and of the trial by jury;" &c. "and of judicial proceedings according to the course of the common law. No man shall be deprived of his liberty or property, but by the judgement of his peers, or the law of the land," &c. 1 Laws U.S. 479.

Under the definition in Bouvier's law dictionary, 3rd edition, 1848; "Impairing the obligation of contracts" 4. - The constitution forbids the states to pass any law impairing the obligation of contracts, but there is nothing in that instrument which prohibits Congress from passing such a law.

But as the constitution is a grant from the grantor, the people, to the grantee, the civil officer or public servant, if such right or privilege is not granted, it cannot be assumed and then held to be valid. Article X of the Articles of Amendments to the constitution for the United States of America which states "The powers not delegated to the United States by the constitution, nor prohibited by it to these states, are reserved to the states respectively, or to the people."

 

Black’s law dictionary, 6th edition, 1990.

Blackmail. Unlawful demand of money or property under threat to do bodily harm, to injure property, to accuse of crime, or to expose disgraceful defects. This crime is commonly included under extortion or criminal coercion statutes. See also Extortion; Shakedown.

City. A municipal corporation; in most states, of the largest and highest class. Also, the territory within the corporate limits. A political entity or subdivision for local governmental purposes; commonly headed by a mayor, and governed by a city council.

City council. The principal governmental body of a municipal corporation with power to pass ordinances, levy taxes, appropriate funds, and generally administer city government. The name of a group of municipal officers constituting primarily a legislative and administrative body, but which is often charged with judicial or quasi judicial functions, as when sitting on charges involving the removal of an officer for cause.

City courts. Court which tries persons accused of violating municipal ordinances and has jurisdiction over minor civil or criminal cases, or both.

City real estate. Property owned and used for municipal purposes.

Color of law. The appearance or semblance, without the substance, of legal right. Misuse of power, possessed by virtue of state law and made possible only because wrongdoer is clothed with authority of state, is action taken under "color of law."

When used in the context of federal civil rights statutes or criminal law, the term is synonymous with the concept of "state action" under the Fourteenth Amendment, and means pretense of law and includes actions of officers who undertake to perform their official duties. See tort.

Action taken by private individuals may be "under color of state law" for purposes of governing deprivation of civil rights when significant state involvement attaches to action.

Acts "under color of law" of a State include not only acts done by State officials within the bounds or limits of their lawful authority, but also acts done without and beyond the bounds of their lawful authority; be done "under color of law", the unlawful acts must be done while such official is purporting or pretending to act in the performance of his official duties; that is to say, the unlawful acts must consist in an abuse or misuse of power which is possessed by the official only because he is an official; and the unlawful acts must be of such a nature or character, and be committed under such circumstances, that they would not have occurred by for the fact that the person committing them was an official then and there exercising his official powers outside the bounds of lawful authority.

Color of office. Pretense of official right to do act made by one who has no such right. An act under color of office is an act of an officer who claims authority to do the act by reason of his office when the office does not confer on him any such authority. See also Color of law.

Color of state law. See Color of law.

De facto. In fact, in deed, actually. This phrase is used to characterize an officer, a government, a past action, or a state of affairs which must be accepted for all practical purposes, but is illegal or illegitimate. Thus, an office, position or status existing under a claim or color of right such as a de facto corporation. In this sense it is the contrary of de jure, which means rightful, legitimate, just, or constitutional. Thus, an officer, king, or government de facto is one who is in actual possession of the office or supreme power, but by usurpation, or without lawful title, while an officer, king, or governor de jure is one who has just claim and rightful title to the office or power, but has never had plenary possession of it, or is not in actual possession. A wife de facto is one whose marriage is voidable by decree, as distinguished from a wife de jure, or lawful wife. But the term is also frequently used independently of and distinction from de jure; thus a blockade de facto is a blockade which is actually maintained, as distinguished from a mere paper blockade. Compare De jure.

De gratia. Lat. By the grace of God. A phrase used in the formal title of a king or queen, importing a claim of sovereignty by the favor or commission of God. In ancient times it was incorporated in the titles of inferior officers (especially ecclesiastical), but in later use was reserved as an assertion of "the divine right of kings."

De jure. Descriptive of a condition in which there has been total compliance with all requirements of law. Of right; legitimate; lawful; by right and just title. In this sense it is the contrary of de facto (q.v.). It may also be contrasted with de gratia, in which case it means, "as a matter of right," as de gratia means "by grace or favor." Again it may be contrasted with de aequitate; here meaning "by law," as the latter means "by equity."

Extortion. The obtaining of property from another induced by wrongful use of actual or threatened force, violence, or fear, or under color of official right.

A person is guilty of theft by extortion if he purposely obtains property of another by threatening to: (1) inflict bodily injury on anyone or commit any other criminal offense; or (2) accuse anyone of a criminal offense; or (3) expose any secret tending to subject any person to hatred, contempt or ridicule, or to impair his credit or business repute; or (4) take or withhold action as an official, or cause an official to take or withhold action; or (5) bring about or continue a strike, boycott or other collective unofficial action, if the property is not demanded or received for the benefit of the group in whose interest the actor purports to act; or (6) testify or provide information or withhold testimony or information with respect to another's legal claim or defense; or (7) inflict any other harm which would not benefit the actor. See also Blackmail; Hobbs Act; Loan sharking; Shakedown. With respect to Larceny by extortion, see Larceny. Compare Coercion.

Larceny. Felonious stealing, taking and carrying, leading, riding, or driving away another's personal property, with intent to convert it or to deprive owner thereof. The unlawful taking and carrying away of property of another with intent to appropriate it to use inconsistent with latter's rights. The essential elements of a "larceny" are an actual or constructive taking away of the goods or property of another without the consent and against the will of the owner or possessor and with a felonious intent to convert the property to the use of someone other than the owner.

Obtaining possession of property by fraud, trick or device with preconceived design or intent to appropriate, convert, or steal is "larceny."

Common-law distinctions between obtaining money under false pretenses, embezzlement, and larceny no longer exist in many states; all such crimes being embraced within general definition of "larceny." Some states classify larceny as either grand or petit, depending on the property's value. See also Burglary; Robbery; Shoplifting; Stolen; Theft.

Maritime law. That which the Congress has enacted or the Federal courts, sitting in admiralty, or on the exercise of their maritime jurisdiction, have declared and would apply. That system of law which particularly relates to marine commerce and navigation, to business transacted at sea or relating to navigation, to ships and shipping, to seamen, to the transportation of persons and property by sea, and to marine affairs generally. The law relating to harbors, ships, and seamen, divided into a variety of subject areas, such as those concerning harbors, property of ships, duties and rights of masters and seamen, contracts of affreightment, average, salvage, etc. It extends to civil marine torts and injuries, illegal dispossession or withholding of possessions from the owners of ships, municipal seizures of ships, etc.

Substantively, in the United States, it is a federal law, and jurisdiction to administer it is vested in the federal courts, though not to the entire exclusion of the courts of the states. See Maritime jurisdiction.

Municipal. In narrower, more common, sense, it means pertaining to a local governmental unit, commonly, a city or town or other governmental unit. In its broader sense, it means pertaining to the public or governmental affairs of a state or nation or of a people. Relating to a state or nation, particularly when considered as an entity independent of other states or nations.

Municipal action. Exercise of governmental power by a municipal board, agency, or other body, or by a municipal officer.

Municipal affairs. A term referring to the internal business affairs of a municipality. The term is frequently used in constitutional and statutory provisions concerning the power to legislate as to the concerns of municipalities. And it has come to include public service activities, such a supplying water to the inhabitants, the construction of a reservoir for their benefit, the sale and distribution of electrical energy, and the establishment and operation of transportation service, which were once regarded as being of a strictly private nature. See also Municipal function

Municipal authorities. As used in statutes contemplating the consent of such authorities, the term means the consent by the legislative authorities of the city acting by ordinance; for example, in a town, the members of the town board.

Municipal bonds. Evidences of indebtedness (debt obligations) issued by state or local government entities, negotiable in form, payable at designated future time, and intended for sale in market with object of raising money for municipal expenses, which is beyond immediate resources of reasonable taxation, as distinguished from temporary evidences of debt, such as vouchers, certificates of indebtedness, orders, or drafts drawn by one officer on another and similar devices for liquidating current obligations in anticipation of collection of taxes. A bond issued by a village, town, city, county, state, or other public body. Interest on such bonds is generally exempt from federal income taxes and from some state income taxes. Sometimes referred to as "tax exempts."

Municipal charter. A legislative enactment conferring governmental powers of the state upon its local agencies.

Municipal corporation. A legal institution formed by charter from sovereign (i.e. state) power erecting a populous community of prescribed area into a body politic and corporate with corporate name and continuous succession and for the purpose and with the authority of subordinate self-government and improvement and local administration of affairs of state. A body corporate consisting of the inhabitants of a designated area created by the legislature with or without the consent of such inhabitants for governmental purposes, possessing local legislative and administrative power, also power to exercise within such area so much of the administrative power of the state as may be delegated to it and possessing limited capacity to own and hold property and to act in purveyance of public conveniences.

Municipal corporation is a body politic and corporate, created to administer the internal concerns of the district embraced with its corporate limits, in matters peculiar to such place and not common to the state at large. A municipal corporation has a dual character, the one public and the other private, and exercises corresponding twofold functions and duties-one class consisting of those acts performed by it in exercise of delegated sovereign powers for benefit of people generally, as arm of state, enforcing general laws made in pursuance of general policy of the state, and the other consisting of acts done in exercise of power of the municipal corporation for its own benefit, or for benefit if its citizen alone, or citizens of the municipal corporation and its immediate locality. See also Public corporation.

Quasi municipal corporations. Bodies politic and corporate, created for the sole purpose of performing one or more municipal functions. Public corporations organized for governmental purposes and having for most purposes the status and powers of municipal corporations (such as counties, townships, school districts, drainage districts, irrigation districts, etc.) but not municipal corporations proper, such as cities and incorporated towns.

Municipal corporation de facto. One which exists when there is (1) some law under which a corporation with the powers assumed might lawfully have been created; (2) a colorable and bona fide attempt to perfect an organization under such a law; (3) user of the rights claimed to have been conferred by the law.

Municipal courts. In the judicial organization of several states, courts are established under this name with territorial authority confined to the city or community in which they are established. Such courts usually have a criminal jurisdiction corresponding to that of a police court, and, in some cases, possess civil jurisdiction in small causes. In certain cities, small claims or traffic court s are under the jurisdiction of the municipal court.

Municipal domicile. Sometimes used in contradistinction to "national domicile" and "quasi national domicile" to refer to residence in a county, township, or municipality; called also "domestic domicile."

Municipal function. One created or granted for the special benefit and advantage of the urban community embraced within the corporate boundaries.

Municipal functions are those which specially and peculiarly promote the comfort, convenience, safety and happiness if the citizens of the municipality, rather than the welfare of the general public. Under this class of functions are included, in most jurisdictions, the proper care of streets and alleys, parks and other public places, and the erection and maintenance of public utilities and improvements generally.

Municipal government. Instrumentalities of state for purpose of local government. This term, in certain state constitutions, embraces the governmental affairs of counties, and includes all forms of representative municipal government-towns, cities, villages, etc. See also Municipality.

Municipality. A legally incorporated or duly authorized association of inhabitants of limited area for local governmental or other public purposes. A body politic created by the incorporation of the people of a prescribed locality invested with subordinate powers of legislation to assist in the civil government of the state and to regulate and administer local and internal affairs of the community. A city, borough, town, township or village. Also, the body of officers taken collectively, belonging to a city, who are appointed to manage its affairs and defend its interests.

Political subdivision or public agency or instrumentality of a State. Bankruptcy Code Section 101. See also Person (Municipalities).

Municipal law. That which pertains solely to the citizens and inhabitants of a state, and is thus distinguished from political law, commercial law, and international law. In its more common and narrower connotation however it means those laws which pertain to towns, cities and villages and their local government.

Municipal Ordinance. A law, rule, or ordinance enacted or adopted by a municipal corporation for the proper conduct of its affairs or the government of its inhabitants; e.g. zoning or traffic ordinances, building codes. Particularly a regulation under a delegation of power from the state.

Municipal securities. The evidences of indebtedness issued by cities, towns, counties, townships, school-districts, and other territorial divisions of a state. They are of general two classes: (1) Municipal warrants, orders, or certificates; (2) municipal bonds.

The term "municipal securities" means securities which are direct obligations of, or obligations guaranteed as to principal or interest by, a State or any political subdivision thereof, or any agency or instrumentality of a State or any political subdivision thereof, or any municipal corporate instrumentality of one or more States, or any security which is an industrial development bond (as defined in Sec. 103(c)(2) of the Internal Revenue Code) the interest on which is excludable from gross income. Securities Exchange Act of 1934, Sec. 3. See Municipal bonds; Municipal warrants.

Municipal warrants. A municipal warrant or order is an instrument drawn by an officer of a municipality upon its treasurer, directing him to pay an amount of money specified therein to the person named or his order, to the bearer.

Officer. Person holding office of trust, command or authority in corporation, government, armed services, or other institutions or organization.

In corporations, a person charged with important functions of management such as president, vice president, treasurer, etc.

In determining whether one is an "officer" or "employee," important tests are the tenure by which a person is held, whether its duration is defined by the statute or ordinance creating it, or whether it is temporary or transient of for a time fixed only by agreement; whether it is created by am appointment or election, or merely by a contract of employment by which the rights of the parties are regulated; whether the compensation is by a salary or fees fixed by law, or by a sum agreed upon by the contract of hiring.

For definitions of the various classes and kinds of officers, see the titles Commissioned office; Constitutional; Corporate; Executive; Fiscal; Judicial; Legislative; Ministerial; Municipal; Naval; Non-commissioned; Peace; Public; State; Subordinate.

Civil officer. The word "civil," as regards civil officers, is commonly used to distinguish those officers who are in public service but not of the military. Hence, any officer of the United States who holds his appointment under the national government, whether his duties are executive or judicial, in the highest or the lowest departments of the government, with the exception of officers of the armed services.

Officer de facto. As distinguished from an officer de jure; this is the designation of one who is the actual possession and administration of the office, under some colorable or apparent authority, although his title to the same, whether by election or appointment, is in reality invalid or at least formerly questioned. One who actually assumes and exercises duties of public office under color of known and authorized appointment or election, but who has failed to comply with all requirements of law prescribed as president to performance of duties of the office.

Officer de jure. One who is in all respects legally appointed and qualified to exercise the office. One who is clothed with the full legal right and title to the office; he is one who has been legally elected or appointed to an office, and who has qualified himself to exercise the duties thereof according to the mode prescribed by law.

Officer of justice. A general name applicable to all person connected with the administration of the judicial department of government, but commonly used only of the class of officers whose duty is to serve the process of the courts, such as sheriffs, constables, bailiffs, marshals, sequestrators, etc.

Officer of the United States. An officer nominated by the President and confirmed by the senate or one who is appointed under an act of congress, by the President alone, a court of law, or a head of a department. See also United States officer.

Public officer. An officer of a public corporation; that is, one holding office under the government of a municipality, state, or nation. One occupying a public office created by law. One of necessary characteristics of "public officer" is that he performs public function for public benefit and in so doing he be vested with exercise of some sovereign power of state.

Ordinance. A rule established by authority; a permanent rule of action; a law or statute. In its most common meaning, the term is used to designate the enactments of the legislative body of a municipal corporation. It designates a local law of a municipal corporation, duly enacted by the proper authorities, prescribing general, uniform, and permanent rules of conduct relating to the corporate affairs of the municipality. An ordinance is the equivalent of a municipal statute, passed by the city council, or equivalent body, and governing matters not already covered by federal or state law. Ordinances commonly govern zoning, building, safety, etc. matters of municipality.

The name also has been given to certain enactments, more general in their character than ordinary statutes, and serving as organic laws, yet not exactly to be called "constitutions." Such was the "Ordinance for the government of the North-West Territory," enacted by congress in 1787. See also Municipal ordinance. Compare Resolution.

Person. In general usage, a human being (i.e. natural person), though by statute term may include labor organizations, partnership, associations, corporations, legal representatives, trustees, trustees in bankruptcy, or receivers. See e.g. National Relations Act, Uniform Partnership Act.

Scope and delineation of term is necessary for determining those to whom Fourteenth Amendment of Constitution affords protection since this Amendment expressly applies to "person."

Corporation. A corporation is a "person" within meaning of Fourteenth Amendment equal protection and due process provisions of United States Constitution. The term "persons" in statute relating to conspiracy to commit offense against United States, or to defraud United States, or any agency, includes corporation.

In corporate law, "person" includes individual and entity.

Foreign government. Foreign governments otherwise eligible to sue in U.S. courts are "persons" entitled to bring treble-damage suit for alleged antitrust violations under Clayton Act.

Municipalities. Municipalities and other government units are "persons" within the meaning of 42 U.S.C.A. sec. 1983. Local government officials sued in their official capacities are "persons" for purposes of Section 1983 in those cases in which a local government would be suitable in its own name. See Color of Law.

Definition of "persons" covered by antitrust laws includes cities, whether as municipal utility operators suing as plaintiffs seeking damages for antitrust violations or as operators being sued as defendants.

Persona. Lat. In the civil law, character in virtue of which certain rights belong to a man and certain duties are imposed upon him. Thus one man may unite many characters (personae), as, for example, the characters of father and son, of master and servant.

Public policy. Community common sense and common conscience, extended and applied throughout the state to matters of public morals, health, safety, welfare, and the like; it is that general and well-settled public opinion relating to man’s plain, palpable duty to his fellowmen, having due regard to all circumstances of each particular relation and situation.

Quasi. Lat. As if; almost as it were; analogous to. This term is used in legal phraseology to indicate that one subject resembles another, with which it is compared, in certain characteristics, but that there are intrinsic and material differences between them. A term used to mark a resemblance, and supposes a difference between two objects. It is exclusively a term of classification. It implies that conception to which it serves as index is connected with conception with which comparison is instituted by strong superficial analogy or resemblance. Moreover it negatives idea of identity, but points out that the conceptions are sufficiently similar for one to be classed as the equal of the other. It is often prefixed to English words, implying mere appearance or want of reality or having some resemblance to given thing.

As to quasi Affinity; Contract; Corporation; Crime; Delict; Deposit; Derelict; Easement; Entail; Fee; In rem; Municipal corporation; Offense; Partner; Personality; Possession; Posthumous child; Purchase; Realty; Tenant; Tort; Traditio; Trustee; and Usufruct, see those titles.

Shakedown. Extortion of money with threats of physical harm or, in case of police officer, threat of arrest. See also Blackmail; Extortion.

Statutory extortion. The unlawful extraction of money or other value by means of a threat not sufficient for robbery, or a communication for the purpose of such extraction. See also Extortion.

Unconscionable bargain or contract. A contract, or a clause in a contract, that is so grossly unfair to one of the parties because of stronger bargaining powers of the other party; usually held to be void as against public policy. An unconscionable bargain or contract is one which no man in his senses, not under delusion, would make, on the one hand, and which no fair and honest man would accept, on the other. See also Unconscionability.

 

Bouvier’s law dictionary, 3rd edition, 1848.

DE, a preposition used in many Latin phrases; as, de bene esse, de bonis non.

DE FACTO, i.e. in deed; a term used to denote a thing actually done; a president of the United States de facto is one in the exercise of the executive power, and is distinguished from one who being legally entitled to such power is ejected from it; the latter would be a president de jure. An officer de facto is frequently considered as an officer de jure, and his official acts are of equal validity.

DE JURE, by right. Vide de facto.

IMPAIRING THE OBLIGATION OF CONTRACTS. The constitution of the United States, art. 1, s. 9, cl. 1, declares that no state shall "pass any bill of attainder, ex post facto law, or law impairing the obligation of contracts."

2. - Contracts when considered in relation to their effects are executed, that is, transfer for the possession of the thing contracted for, or they are executory, which gives only a right of action for the subject of the contract. Contracts are also express or implied. The constitution makes no distinction between one class of contracts and the other.

3. - The obligation of a contract here spoken of is a legal not a mere moral obligation; it is the law which binds the party to perform his undertaking. The obligation does not inhere or subsist in the contract itself, proprio vigore, but in the law applicable to the contract. And this law is not the universal law of nations, but it is the law of the state where the contract is made. Any law which enlarges, abridges, or in any manner changes the intention of the parties, resulting from the stipulations in the contract, necessarily impairs it.

4. - The constitution forbids the states to pass any law impairing the obligation of contracts, but there is nothing in that instrument which prohibits Congress from passing such a law.

LARCENY, crim. law. The wrongful and fraudulent taking and carrying away, by one person, of the mere personal goods of another, from any place, with a felonious intent to convert them to his, the taker's use, and make them his property, without the consent of the owner.

2. - To constitute larceny, several ingredients are necessary. 1. The intent of the party must be felonious; he must intend to appropriate the property of another to his own use; if, therefore, the accused have taken the goods under a claim of right, however unfounded, he has not committed a larceny.

3. - 2. There must be a taking form the possession, actual or implied, of the owner, hence if a man should find goods, and appropriate them to his own use, he is not a thief on this account.

4. - 3. There must be a taking against the will of the owner, and this may be in some case, where he appears to consent; for example, if a man suspects another of an intent to steal his property and in order to try him leaves it in his way, which he takes, he is guilty of larceny. The taking must be in the country where the criminal is to be tried. But when the taking has been in the country or state, and the thief is caught with the stolen property in another country that that where the theft was committed, he may be tried in the county where arrested with the goods, as by construction of law, there is a fresh taking in every county in which the thief carries the stolen property.

5. - 4. There must be an actual carrying away, but the slightest removal, if the goods are completely in the power of the thief, is sufficient. To snatch a diamond from a baby's ear, which is instantly dropped among the curls of her hair, is a sufficient asportation or carrying away.

6. - 5. The property taken must be personal property; a man cannot commit larceny of real estate, or of what is so considered in law. A familiar example will illustrate this; an apple while hanging on the tree where it grew, is real estate, having never been separated from the freehold; it is not larceny, therefore, at common law, to pluck an apple from the tree, and appropriate it to one's own use, but a mere trespass; if that same apple, however, had been separated from the tree by the owner or otherwise, even by accident, as if shaken by the wind, and while lying on the ground it should be taken with a felonious intent, the taker would commit a larceny, because then it was personal property. In some states there are statutory provisions to punish the felonious taking of emblements or fruits of plants, while the same are hanging by the roots, and there the felony is complete, although the thing stolen is not, at common law, strictly personal property. Animals ferae naturae, while the enjoyment of their natural liberty, are not the subjects of larceny; as, doves. And at common law, choses in action are not subjects of larceny.

7. - Larceny is divided in some states, into grand and petit larceny; this depends upon the value of the property stolen. Vide Carrying away; Invito Domino; Robbery; Taking.

LAW MUNICIPAL. Municipal law is defined by Mr. Justice Blackstone to be "a rule of civil conduct prescribed by the supreme power in a state commanding what is right and prohibiting what is wrong." This definition has been criticised, and has been perhaps justly considered imperfect. The latter part has been thought superabundant to the first; see Mr. Christian’s note; and the first too general and indefinite, and too limited in its signification to convey a just idea of the subject. See Law, civil. Mr. Chitty defines municipal law to be "a rule of civil conduct, prescribed by the supreme power in a state, commanding what shall be done or what shall not be done."

2. – Municipal law, among the Romans was a law made to govern a particular city or province; this term is derived from the Latin municipium, which among them signified a city which was governed by its own laws, and which had its own magistrates.

MUNICIPAL. Strictly this word applies only to what belongs to a city. Among the Romans, cities were called municipia; these cities voluntarily joined the Roman republic in relation to their sovereignty only, retaining their laws, their liberties, and their magistrates, who were thence called municipal magistrates. With us this word has a more extensive meaning; for example we call municipal law, not the law of the city only, but the law of the state.

MUNICIPALITY. The body of officers taken collectively, belonging to a city, who are appointed to manage its affairs and defend its interests.

ORDINANCE, legislation. A law, a statute, a decree.

2. - This word is more usually applied to the laws of a corporation, than to the acts of the legislature; as the ordinances of the city of Philadelphia. The following account of the difference between a statute and ordinance is extracted from Bac. Ab. Statute, A. "Where the proceeding consisted only of a petition from parliament, and an answer from the king, these were entered on the parliament roll; and if the matter was of a public nature, the whole was then styled an ordinance; if, however, the petition and answer were not only of a public, but a novel nature, they were then formed into an act by the king, with the aid of his council and judges, and entered on the statute roll."

3. - According to Lord Coke, the difference between a statute and an ordinance is, that the latter has not had the assent of the king, lords, and commons, but is made merely by two of those powers.

ORDINANCE OF 1787. An act of congress which regulates the territories of the United States. It is printed in 3 Story, L. U.S. 2073. Some parts of this ordinance were designed for the temporary government of the territory, while other parts were intended to be permanent, and are now in force.

STATE, government. This word is used in various senses. In its most enlarged senses, is signifies a self-sufficient body of persons united together in one community for the defence of their rights, and to do right and justice to foreigners. In this sense, the state means the while people united into one body politic, (q.v.); and the state, and the people of the state, are equivalent expressions. In a more limited sense, the word state expresses merely the positive or actual organization of the legislature, or judicial powers; thus the actual government of the state is designated by the name of the state; hence the expression, the state has passed such a law, or prohibited such an act. State also means the section of territory occupied by a state, as the state of Pennsylvania.

2. - By the word state is also meant, more particularly, one of the commonwealths which form the United States of America. The constitution of the United States makes the following provisions in relation to the states.

3. - Art. 1, s. 9, c. 5. No tax or duty shall be laid on articles exported from any state. No preference shall be given by any regulation of commerce or revenue to the ports of one state over those of another; nor shall vessels bound to or from one state be obliged to enter, clear, or pay duties in another.

4. - c. 6. No money shall be drawn from the treasury but in consequence of appropriations made by law; and a regular statement and account of the receipts and expenditures of all public money shall be published from time to time.

5. - c. 7. No title of nobility shall be granted by the United States, and no person holding any office of profit or trust under them shall, without the consent of congress, accept of any present, emolument, office, or title of any kind whatever, from any king, prince, or foreign state.

6. - Art. 1, s. 10, c. 1. No state shall enter into any treaty, alliance, or confederation; grant letters of marque and reprisal; coin money; emit bills of credit; make any thing but gold and silver coin a tender in payment of debts; pass any bill of attainder, ex-post-facto, or law impairing the obligation of contracts; or grant any title of nobility.

7. - c. 2. No state shall, without the consent of congress, lay any imposts or duties on imports or exports, except what may be absolutely necessary for executing its inspection laws; and the net produce of all duties and imposts laid by any state on imports or exports shall be for the use of the treasury of the United States, and all such laws shall be subject to the revision and control of congress. No state shall, without the consent of congress, lay any duty on tonnage, keep troops or ships of war in time of peace, enter into any agreement or compact with another state, or with a foreign power, or engage in war, unless actually invaded, or in such imminent danger as will not admit of delay.

8. - The District of Columbia and the territorial districts of the United States, are not states within the meaning of the constitution and of the judiciary act, so as to enable a citizen thereof to sue a citizen of one of the states in the federal courts.

Vide generally, Mr. Madison's report in the legislature of Virginia, January, 1800; 1 Story's Com. on Const. c. 208; 1 Kent, Com. 189, note b; Grotius, B. 1, c. 1, s. 14, Ib. B. 3, c. 3, s. 2; Burlamaqui, vol. 2, pt. 1, c. 4, s. 9; Vattel, B. 1, c. 1; 1 Toull. n. 202, note (1); Nation; Cicer. De Repub. 1. 1, s. 25.

STATE, condition of persons. This word has various acceptations. If we inquire into its origin, it will be found to come from the Latin status, which is derived from the verb stare, sto, whence has been made statio, which signifies the place where a person is located, stat, to fulfil the obligations which are imposed upon him.

2. - State is that quality which belongs to a person in society, and which secures to, and imposes upon him different rights and duties in consequence of the difference of that quality.

3. - Although all men come from the hands of nature upon an equality, yet there are among them marked differences. It is from nature that come the distinctions of the sexes, fathers and children, of age and youth, &c.

4. - The civil or municipal laws of each people, have added to these natural qualities, distinctions which are purely civil and arbitrary, founded on the manners of the people, or in the will of the legislature. Such are the differences, which these laws have established betwee citizens and aliens, between magistrates and subjects, and between freemen and slaves; and those which exist in some countries between nobles and plebeians, which differences are either unknown or contrary to natural law.

5. - Although these latter distinctions are more particularly subject to the civil or municipal law, because to it they owe their origin, it nevertheless extends its authority over the natural qualities, not to destroy or to weaken them, but to confirm them and to render them more inviolable by positive rules and by certain maxims. This union of the civil or municipal and natural law, form among men a third species of differences which may be called mixed, because they participate of both, and derive their principle from nature and the perfection of the law; for example, infancy or the privileges which belong to it, have their foundation in natural law; but the age and the term of these prerogatives are determined by the civil or municipal law.

6. - Three sorts of different qualities which form the state or condition of men may then be distinguished: those which are purely natural, those purely civil, and those which are composed of the natural and civil or municipal law.

Vide 3 Bl. Com. 396; 1 Toull. n. 170, 171; Civil State.

 

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