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German Savings Bank v. Franklin County is a Supreme Court case from 1876. The case involved a dispute between the German Savings Bank and Franklin County, Ohio. The bank had loaned money to the county for the construction of a bridge, and the county had failed to repay the loan. The bank sued the county for the unpaid debt, and the county argued that the loan was invalid because it had not been approved by the state legislature. The Supreme Court ruled in favor of the bank, finding that the loan was valid and enforceable. The Court held that the loan was valid under the Ohio Constitution, which allowed counties to borrow money for public works projects. The Court also held that the county was liable for the debt, even though the loan had not been approved by the state legislature. This ruling established the principle that counties are liable for debts incurred in the course of public works projects, even if the loan was not approved by the state legislature.
In the Supreme Court case of German Savings Bank v. Franklin County, Justice Field delivered a dissenting opinion in which he argued that the majority had misinterpreted an earlier decision by the court and failed to consider how it would affect other cases. He believed that if this interpretation was allowed to stand, then any state could pass laws allowing for tax exemptions on property owned by corporations or associations without having to provide compensation for taking away private property rights. This would be a violation of due process as outlined in the Fifth Amendment and set a dangerous precedent going forward. Furthermore, he argued that even though there may have been some ambiguity in prior decisions regarding taxation issues, they should not be interpreted so broadly as to allow states free reign over private property rights without providing just compensation when necessary.