New York & Porto Rico Steamship Co. v. Camuñas
New York & Porto Rico Steamship Co. v. Camuñas
Opinion of the Court
delivered the following opinion: .
The defendants compose the Workmen’s Relief Commission created by the Porto Rican legislature by Act of February 25, 1918 (Laws 1918, p. 54) called the Workmen’s Accident Compensation Act, defendant Benedicto being also treasurer of Porto Rico. The bill-in this case shows that the plaintiff carries on a business which is covered by the act if it is otherwise applicable. That the defendant Benedicto has notified plaintiff, that, unless payment is made of a certain assessment of $8,189.84-under said act, he will proceed to attach property and otherwise carry out the provisions of the act. That plaintiff is not liable to the provisions of the act, not having accepted its terms. That plaintiff has no adequate remedy at law, will suffer irreparable damage, and prays that the defendants composing the Workmen’s Relief Commission be enjoined from proceeding against it under said act. • .
There is no doubt' that a government, like the People of Porto Eico, can only act through its officers, and that these can be enjoined only if acting under an unconstitutional law or in similar cases. The plaintiff contends that this act as enforced, that is to say, the course of conduct of the defendants, amounts to denying the plaintiff due course of law and is taking its property without compensation. If a sovereign can pass a law taking property without compensation and cannot be sued because it is a sovereign, the Constitution is of little value. The primary object of a Constitution is to protect its citizens against unlawful acts of the sovereign. If the sovereign could pass- a valid law denying the right to any remedy, the sovereign, and not the Constitution, is supreme. There must be some remedy for a citizen under such circumstances, and it has been generally found in injunction or similar process against the” officers themselves when engaged in unconstitutional conduct. If unconstitutional, it-is void, and acts under it will be enjoined.
Treating Porto Eico the same as a state for the purposes of this case, there are several authorities which are pertinent. One relied upon by the People of Porto Rico is Lankford v. Platte Iron Works, 235 U. S. 461, 59 L. ed. 316, 35 Sup. Ct. Rep. 173. That was a case brought against the State Banking Board of Oklahoma by a depositor in an insolvent bank seeking to compel distribution of the depositor’s guaranty fund thereunder. It was held that the fund collected under the act for the purpose of reimbursing depositors in failing banks was
So, in the case of Murray v. Wilson Distilling Co. 213 U. S. 151, 53 L. ed. 742, 29 Sup. Ct. Rep. 458, it was held that, although a state goes into the liquor business, a bill in equity to compel specific performance of its contract will not lie; for the state does not thereby lose its exemption from' suit under the 11th Amendment. This was a direct contract made on behalf of the state. In Hopkins v. Clemson Agri. College, 221 U. S. 636, 55 L. ed. 890, 35 L.R.A.(N.S.) 243, 31 Sup. Ct. Rep. 654, also from- South Carolina, it was held that the 11th Amendment applies where the suit is really against the state, although nominally against one of its officers. Immunity from
It is perhaps not distinctly raised by the pleadings, but it is worthy of note that so far as the business of the plaintiff • relates to shipping business, whether on the water or on the piers, it may be, especially in this time of war, so intimately connected with interstate commerce as to make improper any taxation or regulation by the local authorities on other grounds than those argued.
2. The plaintiff sets up that the unconstitutionality in this case consists in passing a law which allows a corporation to elect whether to come under its provisions or not, and yet administratively denying the right of a .particular corporation to refuse to accept the- provisions. It is conceded that under current decisions an act of this character might be drawn making compensation proceedings compulsory, but it is argued that such is not the effect of the law in question. Section 28 de
- It is further set up that the act provides no court proceedings, so that the .plaintiff is remediless at law. There is a reference to the tax law; which may or -may not embrace paying under protest and suing to recover back; but as the act stands this is not clear,' and it cannot be said that it provides an adequate remedy.
The theory of workmen’s compensation acts is very beneficial, and in practice they have done a great deal of good, both to employers and to employees; but to have this effect they must be applicable. InThe case at bar the act on its face leaves it optional whether an employer shall come within its terms or not, and the employer at bar has elected not to come within its terms. This being so, he is entitled to relief.
It-follows that the acts complained of amount to a denial-by the defendants of due process of law, and must be held void. The motion to dismiss, therefore, is denied.
The parties agreed in open court that, in case the court found against the motion to dismiss, the cause should be considered as submitted on the merits, the facts to be held as set out in
It is so ordered.
Reference
- Full Case Name
- NEW YORK & PORTO RICO STEAMSHIP COMPANY v. CAMUÑAS
- Status
- Published