Ridley Park Borough v. United Telephone & Telegraph Co.
Ridley Park Borough v. United Telephone & Telegraph Co.
Opinion of the Court
Opinion by
As required .by the ordinance granting consent to the .defendant to erect and maintain poles and wires within the limits of the borough, the company gave bond in the penal sum of $1,000 conditioned, inter alia, to pay to the borough the entire amount, if the company should “ sell out or in any manner be controlled by another company.” Subsequently the company demised and leased to Frank R. Shattuck all the lines of telephone and systems of telephone communication owned by the company in certain specified parts, including this borough, of certain specified counties, for the term of 999 years, the lessee agreeing to pay $10,000 fifteen days after the execution of the lease, a similar sum a month later, and thereafter an annual rental of $1.00 on the first day of January in each year during the continuance of the lease. This action was brought to recover the penal sum named in the bond, and the case comes before us upon appeal from judgment entered for want of a sufficient affidavit of defense.
In its statement of claim the plaintiff does not rely solely on the making of the lease as a breach of the condition of the bond, but goes on to allege with regard to it, that the possession and control of the company’s telegraph and telephone system were transferred “under color of a lease, to the said Frank R. Shattuck as agent of and for a certain company or companies, unknown to the plaintiff, the said company or companies being the real though undisclosed transferee in the transaction; ” also that they were transferred to him as “ nominal lessee with the design on the part of the defendant that the possession and control of the same shall pass or be transferred to a company or companies unknown to the plaintiff.” We need not refer to the other averments of the statement of claim, for none of them is stronger than these we have quoted. It is averred in the affidavit of defense that the defendant “has not sold out to nor become in any manner controlled by ánother company,” but “ is in existence, has a full set of officers and directors, and is operating its telephone system in the state of Pennsylvania; ” further that “ it has not sold out its
Other questions are quite elaborately argued in the briefs of counsel, but we refrain from discussing them until, it shall be necessary to do so. The affidavit of defense was sufficient to prevent summary judgment and to put the plaintiff to proof of other facts besides the mere making of the lease.
Judgment reversed and procedendo awarded.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.