St. Louis Gas-Light Co. v. St. Louis Gas, Fuel & Power Co.
St. Louis Gas-Light Co. v. St. Louis Gas, Fuel & Power Co.
Opinion of the Court
delivered the opinion of the court
The plaintiff was incorporated by an act of the General Assembly, approved February 4, 1837. Its charter, which is to continue in force for fifty years from the first day of January, 1840, contains the following provisions : —
“ Sect. 22. The said company may also manufacture gas-fittings, portable gas vessels, and apparatus of all kinds appertaining to their business, and to sell the same, together with such inflammable gas as may be produced from oil, coal, tar, resin, pitch, wood, or other materials, or a combination of any such materials, in any manner hitherto used or hereafter to be used for the purpose ; the gas to be furnished either by fixed burners, or in- a portable and condensed state in vessels of suitable capacity and strength; also to-vend coke, lime, ammoniacal liquor, tar or other substances, residuum in the process of generating and purifying the said gas.
“ Sect. 23. That the St. Louis Gas-Light Company, their successors and assigns, shall have and be entitled to the sole and exclusive privilege of vending gas-lights and gas-fittings*58 in the city of St. Louis and in its suburbs, to such persons or bodies corporate as may voluntarily choose to contract for the same.
“ Sect. 24. That in order to enable the said company to carry the foregoing sections into effect, they shall be and are hereby authorized to lay pipes, conduits, or rails at the expense of the company, in any of the roads or in the avenues of the suburbs, or in any of the streets or alleys of the city of St. Louis, where the same may be required.” * * *
By the terms of a contract entered into with the city of St. Louis on the 28th of February, 1873, ££ the St. Louis Gas-Light Company waives, abandons, and surrenders forever to the city of St. Louis, irrevocably, any and all claims and pretence of claims, of exclusive right to have-gas-works, lay or have pipes and other appliances, vend or furnish gas, or do business as a gas company, in the following district or portion of said city, to wit:” Here follows a description of so much of the city as lies north of the south line of Washington Avenue, including all buildings fronting north upon the same south line.
The petition in this case charges, in substance, that the defendant corporation, having erected works for the purpose, announces and gives out that it intends to engage extensively in the business of making and vending, in every portion of the city, gas-lights and gas designed for illuminating uses ; that it has laid pipes and made connections, and is engaged in extending the same, and in selliug such gas-lights and gas, and is receiving compensation therefor. Plaintiff prays that the defendant may be restrained and enjoined, until after the first day of January, 1890, from further continuing to do any of these things in the district south of Washington Avenue. There was a hearing upon the pleadings and proofs, and a final decree granting the injunction prayed for.
The defence chiefly relied on assumes that the grant of
On the threshold of our inquiry, we are met by a claim that the supreme court of this state has solemnly adjudicated and determined the validity of the grant in question. If convinced of this, we could only follow that adjudication, and affirm the judgment in the present case. But we think that the contrary is true.
The controlling authority over any court, of a judicial opinion delivered in another cause by its superior in appellate jurisdiction, rests upon the same solid foundation with the plea of res judicata and the doctrine of stare decisis, in cases to which they apply, and refers, generally, to the same tests for a determination of its efficacy in a given case. These all proceed upon the fundamental idea, that whatever has been once submitted to the thorough process of judicial investigation wherein each of the adverse parties, stimulated by interest in the result, and aided by all the resources from which light might come, has presented.everything that could be urged in his own behalf, and thereupon an impartial arbiter has found and declared the true mean between the opposing forces, must have been properly determined if judicial methods are competent to such an end; and that it would be both useless and invidious to go over the same ground only to reach the same result. The conditions implied in this fundamental idea are indispensable in every application of the three instrumentalities referred to.
An inferior court is subordinate, only as respects the judicial decisions of its superior. Without such a qualification of authority, there would be no need for either brains or learning in any inferior tribunal. What constitutes a judicial decision, we have shown from very high authority. In the case of a direct mandate from a superior to an inferior court, the essentials of a judicial decision are necessarily and always present. Nothing less should be expected, when the authoritative utterance comes, not in the shape of a mandate, or at all in the cause wherein action is to be taken, but in the guise of an abstraction arising in the treatment of a different cause. In Attorney-General v. Lum (2 Wis. 514), a true distinction is clearly outlined thus : “It is not intended to be declared that all the reasoning and instances of illustration introduced into an opinion of this court are to be adopted by inferior tribunals from which cases or matters may come here by appeal, writ of error,
The question before us is: Was it within the constitutional powers of the legislative department to grant the exclusive rights and privileges expressed in the plaintiff’s charter? If there can be found a decision of our supreme court which has determined this question, then, according to the foregoing authorities (and all others on the same subject), there must have been in that decision an application of the judicial mind to this precise question, because it was necessary to determine it, in order to fix the rights of the parties and decide to whom the property (or right) in contestation belonged. It must also appear that the determination of this question was “ a matter in judgment; ” and that, in that case, this question was not one which “ might have been decided either way without affecting any right brought in question.” The decisions which are supposed to bear upon this matter are so utterly destitute of all these requisites, that it seems a waste of time to examine them. It would be a gross injustice to the court which rendered them, to assume that any one of its accomplished judges had this question at all present in his mind, or in any wise supposed that it was undergoing adjudication.
One of the cases is, St. Louis Gas-Light Company v. City of St. Louis (46 Mo. 121). There is no hint in that case of any question about the legislative authority to make the grant under consideration. The point of the decision was that, inasmuch as the plaintiff had practically claimed and enjoyed the exclusive privilege, as extending over the new city limits, it could not be now heard to deny that its corresponding obligations under the contract with the city were co-extensive with the same territory. It was sufficient
The other case is, City of St. Louis v. St. Louis Gas-Light Company (70 Mo. 69). In this, the grant in question is referred to for the purpose of showing that, inasmuch as it was intended to be a benefit to the gas-light company, and not as a right secured to the public, the grantee might surrender it, in whole or in part, without violating any duty. This, of course, would be equally true, whether the grant was valid or void. So that, if it could be made to appear (which it can not) that the question of validity in the grant was considered, there would still be no precedent, since that question might have been decided either way, without affecting the right then under examination.
The utmost that the plaintiff can claim for these decisions is, that they interpret the charter — not the state constitution. They find the legislature intended to vest in the plaintiff certain exclusive privileges, and “ take it for granted ” that the legislature might lawfully do so, because no one disputes it, and they have nothing to do with a question that is not in the case. Suppose a court to try a question of title which depends upon the interpretation of a deed. The effect of the deed is determined, judgment is rendered accordingly, and this judgment is affirmed on appeal. Afterwards, in another case, wherein other rights are controvei’ted, the same deed is attacked as being absolutely void, for forgery, or other sufficient reason. Would it ever be pretended that the decision in the first case precluded the inquiry developed in the second? Such an inquiry in that case, would be au exact parallel with the one here before us. The question whether the legislature was constitutionally empowered to create the grant of exclu
The law-making power created by our state constitution has enacted in due form that the plaintiff shall have the exclusive right to manufacture and vend illuminating gas in the city of St. Louis, and to use the streets of the city for the accommodation of its pipes to be employed in conveying the manufactured article to consumers. The plaintiff has, practically, been in the actual enjoyment of this exclusive right for about forty-seven years. A proper and necessary comity between the different departments of the government would forbid any judicial interference with this enjoyment, unless such interference should be made necessary by some encroachment on adverse rights which the courts are bound to protect. There may be a question whether the present defendant is in a proper position to proceed against every feature of the privileges claimed. But, for the sake of logical arrangement, and for the purposes of the argument, we will here assume that the plaintiff’s exclusive grant, in all its scope and tendencies, may be criticised in the present proceeding.
Article XIII., section 20, of the constitution of 1820, which was in force when the plaintiff’s charter was passed by the General Assembly, declares: “That no title of nobility, hereditary emolument, privilege, or distinction, shall be granted.” * * *
According to the usage of our language, if the particle or were inserted after the word nobility, the terms privilege and distinction would, like emolument, be qualified by the word hereditary. The omission occurs with the evident intent of the framers that no privilege should be granted, whether hereditary, or not.
A natural person may of right do whatever is not prohibited by law. But a corporation, being an artificial ox-created person, may do nothing but what is expressed or implied in the words which give it being. Hence, the giving of power to a corporation, in its charter, to do certain things, does not of course imply that natural persons, or other cox-porations of like constitution, may not do the same
The supreme court of Wisconsin says, in The State v. Milwaukee Gas-Light Co. (29 Wis. 454): “We had supposed the law to be quite well settled that the sovereign authority might grant special privileges to coi*porations and' individuals, without violating any constitutional principle. It is frequently and constantly done by enacting various, acts of incorporation of private companies for building and operating railroads, plank i’oads, ferries, and toll bridges, and for many other objects upon which private skill and capital can be employed.” It might have been truly added that all such grants of special privileges have been generally sustained by judicial authority. At the same time the books abound in judicial denunciations of special or exclusive privileges, as “ odious monopolies condemned by all free governments,” as “ destroying the freedom of trade, discouraging labor and industry, and contravening the equal right of all citizens to pursue a lawful occupation in a lawful manner,” and as “ against common right and void.” The courts, then, have been warring against each other, and even against themselves, unless there may be found in cor
It is a familiar rule of statutory construction, that when a general provision is found to be in conflict with a special provision of limited application, the latter will prevail, and the general provision must yield. The State v. DeBar, 58 Mo. 395. The rule equally applies to the primary laws of human right, whether written or unwritten. It has a peculiar force when a general prohibition is antagonized by a positive and unquestionable right. “ Thou shalt not kill.” But that general command may be nullified by the positive right of self-preservation, when this demands the life of a murderous assailant. The right prevails over the prohibition, whether with or without statutory enactments. Effect is often given to the true principle by interpretation. Thus, when it was enacted in Bolognia, as Puffendorf says, that whoever drew blood in the streets should be punished with the utmost severity, the drawing of blood was finally interpreted not to mean the opening of his patient’s vein by a surgeon, in pursuance of his humane right and duty. If this illustration may be considered, however, as addressing itself rather to the reasonableness of an interpretation, than to any other essential, it will fit our present purpose quite as well. Upon an examination of the various classes of exclusive privileges which have uniformly been sanctioned under free government, if we shall find them grounded, in every instance, on some natural right which no prohibitory authority may question, or which no reasonable interpretation will permit to be included in any terms of general denial, there will therefore be little difficulty in perceiving that the courts have not really disagreed about the nature and tendencies, of exclusive privileges or monopolies, in
Proprietorship implies a right of alienation, in whole or in part, of the thing held, or of auy use in or domination over it. The state, by right of eminent domain or otherwise, has a proprietary control over all highways, bridges, ferries, and other conveniences dedicated to the public use for travel or transportation. It may grant to any person or corporation a part of that control. Persons and corporations other than the grantee will have no benefit of the thing granted; but why ? Simply because they are not named in the grant. The state imposes on them no privations or exclusions ; it only ignores them. If the enjoyment be found exclusive, this belongs, not to the grant, but to an existing condition of things independent of the grant. The state, meanwhile, merely exercises its unquestionable right to select a transferee of that which it may transfer to whom it chooses. By no reasonable interpretation can this act be held within the meaning of an inhibition against the granting of exclusive privileges. The only exclusion operating against others than the grantee, in all such cases, is that universal law which forbids any man’s usurpation of proprietary rights which have never reached him from the true source of title. These plain elementary principles furnish the key to a large array of adjudications referred to in The State v. Milwaukee Gas-Light Co. supra ), and others cited in the interesting brief of counsel for the present plaintiff.
The right of alienation implies a further right to annex terms and conditions to the operation of the grant. This principle fully justifies all those bridge and ferry franchises, wherein the sovereign grantor has stipulated against the use of like liberties by strangers, within a certain distance on either side of the authorized location. Such a
Patents issued to inventors are sometimes referred to as grants of exclusive privileges. But there is no grant in ■ the case. The inventor has a natural ownership in the product of his brain. The government confers nothing, but only protects him in the enjoyment of that which is already his. If the stranger is hindered by this protection, he is only hindered against invasion of another’s right. In this case, also, he may be “ excluded from that to which he never had any right,” but is not, therefore, wronged. The protection of copyright stands upon the same footing of natural, positive, and impregnable right and ownership in the author or composer. Here, as elsewhere in the necessary disciplining of humanity, the civil law advances in aid of natural justice. It imposes no privation or exclusion upon any one, but holds all mankind to observance of the universal law which forbids the appropriation of another’s property without his consent.
The state is specialty charged with the preservation of the public health, morals, and safety. This great trust would be utterly barren, without a certain paramount right and
To this exposition of the transcendent efficacy of the police power nothing need be added to show that when acting within its legitimate sphere, and finding some grant or regulation of an exclusive and prohibitory character necessary to the due fulfilment of its purposes, it creates what might otherwise be denounced as an odious monopoly, the
A franchise is a “privilege of a public nature, which can not be exercised without a legislative grant.” The State v. Weatherby, 45 Mo. 20. It is “ a special privilege conferred by government on individuals, and which does not belong to the citizens of a country generally, by common right.” Curtis v. Leavitt, 15 N. Y. 170. The exclusive rights which we have been considering, thus far, may all be comprehended within these definitions. In every instance the right comes from the state and is available to the possessor, because the state was competent to-bestow it; either by right of antecedent proprietorship, by its authority to protect a natural ownership with the aids of restrictive legislation, or by virtue of the absolute sovereignty residing in the police power. We may now consider those grants of exclusive privilege which are not franchises, but which, under the name of monopolies, are uniformly denied judicial toleration.
The right of property is one of those to whose protection the highest aims of government are directed. The right to labor for the production of property is no less fundamental and' unassailable. “ The right of property is equally invaded by obstructing the free employment of the means of production, as by violently depriving the proprietor of the product.” Say’s Pol. Econ. 133. Such rights require no-grant from the sovereign, but are the common property of all citizens. “ This equality of right, with exemption from all disparaging and partial enactments, in the lawful pur
We have devoted so much space to elementary considerations, chiefly because we find ourselves compelled to observe a distinction which appears to have been passed over in the treatment of the case by the circuit court, and also in the arguments of counsel here. We do not perceive that the making and vending of illuminating gas is necessarily inseparable from the use of the public streets for its transmission through pipes. The very terms of the plaintiff’s charter assert the contrary. The gas may be “furnished either by fixed burners or in a portable and condensed state in vessels of suitable capacity and strength.” This contemplates an exclusive privilege of making and selling gas, independently of the use of the streets for laying pipe. To this is added an exclusive privilege of “vending gaslights and gas-fittings in the city of St. Louis and its suburbs.” In another section, the grantee is empowered to lay its pipes under the streets. Here are two distinct grants of privileges — one relating to the making and selling of commodities, and the other to the use of the highways. It may be that, practically, the possession of one of these will be of little commercial value without the other. But, when called upon to determine questions of legal right, we have nothing to do with comparisons of commercial values. It is doubtless possible for the defendant to make and sell its illuminating commodity, to some extent, at least, without using the streets for pipes. It may reach some customers through pipes laid on or under private property, and others by means of “ vessels of suitable capacity and strength.” The injunction as granted would prevent all this. A judicial decree in the premises should clearly define the rights of the parties, so that it may be perceived what obstacles are to be removed, in order to an
From what has been said, the conclusion naturally follows, that so much of the plaintiff’s charter as attempts to grant an exclusive privilege of making or vending illuminating gas in the city of St. Louis is void, and can not be judicially enforced. No reasonable distinction can be entertained between illuminating gas, as an article of manufacture and trade, and any other commodity which people may purchase for their personal comfort or convenience. Such a distinction has never been judicially recognized, unless in its strict relation to the use of the public streets for conveying the article through pipes, or to the lighting of streets by municipal authority for the public benefit. So much of the charter as grants an exclusive right to use the streets of the city for the laying of pipes to convey illuminating gas was a lawful exercise of power vested in the general assembly and was and is effectual for the time being. Whether it must continue to be effectual under all circumstances until the expiration of the plaintiff’s charter, depends upon other considerations.
As the case stands, we are not called upon to determine whether the grant concerning the streets was shaped into a contract from which the state can not recede, so as to bestow like privileges upon parties other than the first grantee. Adjudications are not wanting to the effect that grants strongly resembling that claimed by the plaintiff are lacking in the essentials of a contract, and whose tendencies suggest, at least, that the state might, through its municipal agencies, still assert its control over the streets to the extent of permitting a competitive enjoyment by another, of the same privileges conferred upon the plaintiff. The State v. Cinn. G. L. Co., 18 Ohio St. 262 ; The People v. Bowen, 30 Barb. 24; Norwich G. L. C. Co. v. Norwich City G.
An ordinance is shown (No. 11,358) adopted by the municipal assembly of the city of St. Louis, whereby the defendant has acquired “the right and privilege of laying pipe, with all necessary and proper attachments, connections and fixtures, below the sin-face of any of the public streets, alleys and highways within the corporate limits of the city of St. Louis, for the purpose of heating public and private buildings,” etc. This gives no more authority to lay pipe for the purpose of lighting than for the purpose of conveying water or wine. All such grants out of the state(s prerogatives must be strictly construed, and nothing may be added by implication. (See cases above cited.) The municipal corporation of St. Louis, as now constituted, is the constitutional representative of the state’s sovereignty with respect to the streets and alleys of the city. It might, doubtless, exercise whatever power remains in the state to grant the privileges claimed by the defendant, but it has as yet, so far as appears, done nothing in that direction. As
The judgment of the circuit court is reversed. A final decree will be entered here, as follows: So much of the final restraining order of the circuit court as relates exclusively to the laying of pipe by the defendant in the streets, alleys and highways of the city of St. Louis, as designated, with the modifications and qualifications thereof made by a supplemental order, on February 1, 1884, will be repeated in the present decree. As to all other matters, the temporary injunction granted by the circuit court will be dissolved, and the prayer of the plaintiff denied. All the judges concur.
070rehearing
delivered the opinion of the court on a motion for a rehearing.
We have carefully examined the motion for a rehearing, with the reasons in its support, filed by counsel for the appellant, but find in them no sufficient cause for relinquishing the views expressed in our former opinion, except as to the form of the decree which should be entered here. The restraining order of the circuit court, in so far as it relates to the laying of pipes in the streets, etc., will be modified, so as to restrain the defendant from so laying pipes for the purposes of conveying or vending illuminating gas, or gas to be used for lighting; but so as not to interfere with the defendant’s right to lay pipes for heating purposes, as conferred by municipal ordinance of the city of St. Louis, No. 11,358. The motion for a rehearing is overruled, with the concurrence of all the judges.
Reference
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