Chester City v. Union Railway Co.
Chester City v. Union Railway Co.
Opinion of the Court
Opinion by
The city of Chester in 1893 by ordinance granted to the Union Railway Company, appellant, the'right to construct and operate its railway on certain streets named. The ordinance contained conditions, none of which have any relevancy to this controversy except the following, “ the councils of the city of Chester reserve the right to grant permission to any other railroad company to run over the tracks of the said Union Railway Company on ... . Edgmont avenue from Fifteenth street to the city line, upon the company to whom this right shall be granted making an amicable arrangement with the Union Railway Company for the running of cars over its tracks between the points named.” When this ordinance was presented to the mayor he declined to approve and sign it until the appellant had agreed “ that if at any time permission shall be granted by the said city of Chester to any other railway company, or if such permission shall be asked of the said city by any other railway company to run over the tracks of the party of the first part on ... . Edgmont avenue, from Fifteenth street to the city line, .' : .. . and the said party of the first part and the said other railway company shall fail to agree upon the terms upon which the said other railway company shall be allowed to use the tracks of the party of the first part, then and in such case the terms and conditions of such use shall be determined in the following manner, to wit: The party of the first part shall appoint one person and the other railway company asking the said permission shall appoint another person, ands these two persons so appointed shall select a third person, and‘the majority of the said three persons so selected shall prescribe the terms and conditions upon lyhich the said other railway company shall
By various ordinances between 1894 and 1902 the city of Chester granted to the Media, Middletown, etc., railway company the right to lay tracks on certain streets, including finally Edgmont avenue, 'with the right to use appellant’s tracks thereon. This was the origin of the present controversy.
The appellant claimed that the agreement for arbitration not being part of the ordinance was not binding on it, and that even if it were, the agreement of submission was revocable. Neither claim can be sustained. Whether the mayor of the city had any authority to impose conditions of consent additional to those called for in the ordinance itself is a question that does not arise. The appellant agreed to them. The city was not under any obligation to grant the use of its streets at all, and did so only by virtue of the ordinance; the ordinance became valid by the mayor’s approval, and his approval was in consideration of the agreement for arbitration. That agreement was, therefore, part of the consideration for the city’s consent and binding on the appellant.
Nor can the appellant’s claim of the right to revoke the agreement of arbitration be sustained. While such agreements are in general unfortunately under the apcient precedents held revocable, yet where they are part of the condition of the municipal consent, the corporation 'takes the consent cum onere and cannot thereafter revoke or repudiate any part of the condition: Plymouth Township v. Chestnut Hill etc., Ry. Co., 168 Pa. 181.
But on the other hand the ordinance of March, 1904, was far beyond the city’s authority. There was no clause of forfeiture in the original ordinance of consent, and even if the agreement of arbitration could possibly be considered as containing such implied power, there was no breach by the appellant. Even express powers of forfeiture must be strictly
Rut another fatal objection to the present proceeding is that the city of Chester on its own showing is not a party aggrieved. In consenting to the occupation of its streets by the appellant it reserved the right “ to grant permission to any other railroad company to run over the tracks of the said Union Railroad Company on Edgmont Avenue,” etc. • Under that reservation it has given permission to the Media & Middletown Railway, and if such permission has been regularly and properly granted the franchise to that company is complete and valid and enforceable without reference to appellant’s consent or action. The right of the city to grant permission to the second company was not in any way dependent on the “ amicable arrangement” between the two companies. Such a construction would make the validity of the city’s permission to the-second company dependent on the appellant’s willingness to come to such amicable arrangement and thus put it in appellant’s power to defeat the city’s reserved right. The agreement for arbitration by the two companies, therefore, was no part of the franchise which the city reserved the right to grant. It was only a mode provided for adjusting conflicting rights in the future, a mode to be pursued in the first instance because
The Media & Middletown railway is not a party to this action and its rights cannot be adjudicated in it.
The decree is reversed and the bill dismissed, each party to pay half the costs.
Reference
- Full Case Name
- Chester City v. Union Railway Company of Chester
- Cited By
- 1 case
- Status
- Published
- Syllabus
- Street railways — Municipal consent — Gondition—Arbitra —Equity. Where a city by ordinance gives to a street railway right to use a particular street, but reserves in the ordi: to grant to any other railway company the right to use tl and the mayor, as a condition of giving his assent to requires the railway company to enter into an agree: any dispute that it may have with another company to to the use of the street may be granted, the compan; quently allege that the agreement for arbitration ordinance was not binding on it, and that, even ment of submission is revocable. If the ordinance, in such a case, contains no agreement to arbitrate cannot be construed as to forfeit the franchises, because the compan; an arbitrator was not able to carry through of its arbitrator, acting in good faith, bei: second arbitrator on the choice of the thin the rthe right ' appointed on account free with the Where the city acting under the ordina another railway company to use the thereafter maintain a bill in equifr mit the second company a case is the grantee i: