McCoy

If the bonds in controversy would have been void in the hands of an innocent holder for value, and would not have constituted a valid charge against the City of San Diego, “ it must follow, as a consequence, that by no legal possibility can the plaintiff or the other tax payers ” of the city be injured by the supposed illegal acts of the defendants. (Linden v. Case, 46 Cal. 174 .)

The first question, therefore, to be determined, is whether the bonds would have been void in the hands of a bona fide holder for value. The authority to issue the bonds is derived exclusively from ordinances numbered seven and twenty-two of the trustees of the city, which were subsequently ratified and validated by the Act of the Legislature of February 24th, 1874. (Statutes 1873-4, p. 155.)

Ordinance No. 7 provides that the bonds are “to be issued at such times and in such manner as said Board of Trustees may direct ”; and Ordinance No. 22 in the fourth section provides that the bonds are to be issued “ to such person or persons, and at such time or times, as said Board of Trustees may, by resolution, direct ”; and the fifth section, after providing for the signing of the bonds, etc., then provides…