Untitled Texas Attorney General Opinion ( 1942 )

OFFICE OF THE ATTORNEY GENERAL OF TEXAS AUSTIN Err Jo. Xol~on, 0bi.i Aaoountaat B-d OS Oounty and Distrlot Road Indobt4.n ss iLust1n, Texas A Dear Blrt ted States Dfs- Distriot, Issued ds and wsrrants t their Road & a aopy of this now proposes to lssur re- eiund the debt ralldatedby e and wo *a& that you please n pour opmon, the orig%.Ml ver the refunding bonds. Vor y o uar o nvenieno we 8xe-lnoloslng o l oopf of the Commissioners1 Court order author- lslng the lssusnoe or these bonds.” We have read the copy of the Final Deoree In the oause or John Parson et al., Y. L. Benrdm v. &id&o county, Nos. 266 and 264, in Equity, Consolidated, by the United States Dis- triot Court for the Southern Distriot of Texas, dated the 16th Mr. Joe Relson,pago #2 day of July, A. D. 1932, ln whloh all of the bonds and TU'- wer l ra.a.z; which were thus beln,g refunded exprsssl~vrli- Itlppurs that the proposed refundingbonds ars to be l&d to rd’und the outstandingrof'undlngbonds uhloh also wera validated by that dsareb. mo order 0r thb cots- mlssloners~ court oi Hldslgo County, psssed on ths 9th day of Tovomber,1042, luthorislngths issuanooof th6 pr0p08od roanding bonds, raibra speoiflesllyto the dsono 0r ths Fedoral Court abovo mentioned in Mah the orlglnil indobt- edness ns valldatsd,and also oonklns the Sollovingreoltalr "That in addition to all other rights seowd to them, the holder or holdsrs of them bonds is and are subrogatedto all the rights and prlvllegssagainst Hldalgo County had and pas- sessod by the holders of ths obligationshere- refunded and spsalfloall~to the rights and privilegesadJud.ioated and oon- iernd br that oertaln dooreb rendsrodby ths United States Dlstrlotcourt, for the Southsm Distriot oi Wbxar, Brownsville Divlslon,on the 18th dsy of My, 1932, and @ll deerem sup- plomsntslthsroto,In the oonsolldotedsuits, Numbers 238 and 236, In Rquitr. Inasauohas the proposed nfundlng bonds oreate no new debt but oonstltutsnsw lvldensesof tb ssae debt mhloh was validated,and, further,in visr of the frot thst the holders of the new refundingbonds, in additionto all other rights securedtherein,are subrogatedto all oi the rights held and possessod by the holders of ths orlggirullndsbtednessrefunded, it IS our opinion th@t thb db8rOO Of the Federal Court would Apple to the proposod refundingbonds. %nds lssuod to nfund valid outstandinglndebtednsssdo not meat. xi.1 lndebtsdnoss". Dallas.Counttv. Lookhart, 96 8. T. (2d) 60. Asslstuat cm/s