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CITY OF BUFFALO v. STRONG & CO.

304 N.Y. 132 (1952)

City of Buffalo, Appellant, v. Strong & Co. et al., Defendants, and United States Trust Company of New York, as Substituted Trustee under The Will of Henry S. Redmond, Deceased, et al., Respondents.

Court of Appeals of the State of New York.

Decided April 23, 1952

Attorney(s) appearing for the Case

Fred C. Maloney, Corporation Counsel (Edward A. Silliere and Elmer S. Stengel of counsel), for appellant.

William S. Gaud, Jr., and Heywood Shelley for United States Trust Company of New York and others, respondents.

Nathaniel L. Goldstein, Attorney-General (John C. Crary, Jr., and Wendell P. Brown of counsel), for William A. Lyon, as Superintendent of Banks of the State of New York, and another, respondents.

LOUGHRAN, Ch. J., LEWIS and DESMOND, JJ., concur with FULD, J.; DYE, J., dissents in opinion in which CONWAY and FROESSEL, JJ., concur.

FULD, J.

The City of Buffalo brought this action against the holders of its water bonds dated October 10, 1908, for a judgment declaring that such bonds are callable at any time before their maturity in 1958 at the option of the city. In its complaint — which set forth the text of the bonds as well as the text of the state and local action which led to their issuance — the city alleged that, although...

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