James Clark McReynolds,
City of Yonkers v. Downey ( ) Condon…
“ They submit that corporations have capacity to accept the result of their actions. 'That the capacity to accept the consequences of an ultra vires act is itself a power.' Further, that "giving' a power is but another word for 'authorizing' its exercise.' Hence, the argument seems to run, as a state bank may hold the fruit of a pledge until return of the thing pledged, therefore, it is 'authorized by law' to make a pledge thus conditioned. ”
