Lord Dunedin :-

The present case is what it is to be hoped is the last chapter of the history of the unfortunate disagreement between the Board of the Roman Catholic Schools and the educational authority of the City of Ottawa. This matter has already been before this Board in the two cases of Ottawa Separate Schools Trustee v. Mackell. A.I.R. 1916 P.C. 184 = (1917) A.C. 62, and Ottawa Separate Schools Trustees v. Ottawa Corporation. A.I.R. 1916 P.C. = (1917) A. C. 76. It is unnecessary to state on this occasion the system under which the Catholic Schools are maintained as that is set out at length in those judgments. It is sufficient to say that it was decided in the former case that a regulation of the education authority prescribing the use of English in the schools was not ultra vires as infringing the provision of Section 93, sub-Section 1 of the British North America Act, 1867; while in the latter it was held that an Act of the Legislature of Ontario appointing a commission to take over the schools and supersede the board was ultra vires as infringing the said provision.

The Commission was in occupation of the schools theretofore managed by the appellants from 26th July, 1915, till November following when, upon the above second-mentioned judgment being pronounced they gave up possession to the appellants. During the regime of the Commission the schools were carried on by them. In order to meet the expenses of the schools the Commission besides levying a half year's rate took a sum of 97,000 dollars odd standing at the credit of the appellants on an account in their name with the Quebec Bank. They also incurred a liability of 71,000 dollars odd to the Bank of Ottawa.

These actions were raised by the appellants against the Quebec Bank, the Bank of Ottawa and certain individual members of the Commission. There was claimed against the Quebec Bank the said sum of 97,000 dollars odd, against the Bank of Ottawa a sum of 37,000 dollars odd which had been transferred to it out of the 97,000 dollars and kept as a sinking fund to meet certain debentures issued by the Board and against the Commissioners the sum of 84,000 dollars odd, being the produce of the half year's rate above referred to. These actions were consolidated. Pending these actions the legislature of Ontario passed the statute of 7 Geo. 5, Clause 60 which is as follows :-

"Whereas pursuant to an Act respecting the Board of Trustees of the Roman Catholic Separate Schools of the City of Ottawa passed in the fifth year of the reign of His Majesty, King George Fifth, Chapter 45, the Minister of Education with the approval of the Lieutenant Governor in Council on 20th July, 1915 appointed a commission consisting of Denis Murphy now deceased Thomas D'Arey McGee and Arthur Charbonneau herein referred to as "the Commissioners" to conduct and manage the Roman Catholic Separate Schools of the City of Ottawa which said Act has been declared to be ultra vires; and whereas the Board of Trustees of the said Separate Schools prior to the appointment of the said Commission has neglected and failed to open, keep open, maintain and conduct the said schools according to law and to provide qualified teachers therefor, had threatened at various times to close the said schools and had neglected and refused to discharge and perform the duties imposed upon it by law to the loss and damage of the supporters of the said schools and to the serious prejudice of the children entitled to attend the same; and whereas by reason of the neglect and default of the Board as aforesaid it was necessary to provide - special means for the education of the children entitled to attend the said schools until the Board should be willing to perform its lawful duties in respect to said schools, and the Commissioners were appointed for that purpose; and whereas the Commissioners entered into possession of the school premises and property on 26th July, 1915, and thereafter maintained and conducted the said schools cont