, 1873-10-12
IMPORTANT TEST CASE.
What Arc tho Powers Of tho State
Board Of Equalization2
A Kick Against Raising the Republic
Lifo Insurance Companies Val,a-
tion 1O7 Per Cent,

very tmnorinnt cnHo waH commenced II, tic Cir
ct Court lato yeBtorlny nfornoon. It ia ly lilo No-
public Lilo Insitratcc Company against Joseph poliah
tho County Clerk, and involcd tho Legality and cors
nationality Of tho ncts Of tho Bnto 1,oarl Of Equnz
on Iii raising tho assessment for purposes Of taxation
Of tho Assessor Of South Chtcago comraluars'
property. md hcnco generally Of tho power Of tho
State Ioar to nltcr tho County Assessors valuation.
Tho complninnnts allcgc TINT they Incorporated
in 1860, anl have been doing business IN Chcngo
enco and own Lots 90 and 30, AsHcaaor'a subdivision
Of Block 4s, and tho buildings thereon OH LaSao
stroct. Prior to May l. 1873. Tie Assessor for South
Chicago asHcsse this property at I'll g0o fair caRf
valuation; this WA confirmed by tho County Board.
Tho furniture WIS nescsacd at d certain sum Ncft
blank III Tho Lilly, which was reduced ror cent by tho
Board.
Tho snto Donr,l of E4ual!zation pretending 10 net
by yrtuc Of net Of tho Legislature In octobcr 1875
increased tts valuation heretofore ao to 1884, O61,
clear raiao OF ss421ol 1o7 por cont anu aa deter
mined this as tho t,asa on which taxes should bo pa
which action Of tho lsoara was, comralnants claim,
illegal nnl 1l,,warrantcd by law. The Board 1layo
bcssc the capital stock and lis franchises 10 mako mp
this nmount Tho authorized capital was &, 200, ,0no,
moat Of Which is held by stockholders in Illinois, and
The stockholders compelled to pay taxes tlcir
stock In tho varioiia Staca. Conpnlnane }nsiat that
tho Board had power to nsscss against them their
etock put valuation on liz franchise by tho act
stockholders aro compelled 10 yaluo their shnrcs and
Bhor tho amount he'll by tlou In their schedules OF
personal property. Tho capital stock Of tho Company
is all assessed to tho individual owncrs md ia illegal
to MISC tax tho capal stock Of tho corporation and my
ech law Is void. Moreover tho franchiso Of tho COM
rany Ia grant from tho State, aud not property that
can be taxed
To aInit tho power Of tic State to impose m nd
ubitum ta1 franchises Of Its own creation, where
vested righa hare attached, would bo to ignore tho
constitutional prohibition Of tho invasion Of contracts
md thus cnable tho board to crush ont Of existence
companies whoso charters It could not repoai,
Tho rcsnt Of tho net Of tho Legislature Is to create
judicial body, which can, without appeal pronounce
process Of law. The acs Of the Doard must be nn1o
JUST which rules, II not Inconsistent with the Act,
thalf be binding, subject however, to nuch change
from time to limo occasion may demand by such n
tempted legislation, tho Doard Of Equalization 10 clothed
Legislative powers Of te General Assembly without
any Of Its limitations but such power only resides in
tho Legislature, ntd can not 10 delegated. The net,
therefore, which attempts to confer aCl liberty, is ut
tery void and illegal. Moreover Buch not dHcFim
1uates between corporations and indirduals, being
largely In favor Of tho latter.
Coinpaiuanta also st1te TINT tho 1rat valuation wnH
nbout the fair value Of tho property. In pursuance Of
this laHt assessment, valuation, rollak has conf
cnccd to extend the amount Of taxes to DO patd by
tho Company, aud complainants usk that m 1njunc-
ton mny he issued to restrain him from doing,
til the Court shall determine to the costuionalfty
OF this second assessment or, rtler increase In tho
basis on which tho taxes were to be extended mud