The Cambria freeman. [volume] (Ebensburg, Pa.) 1867-1938, 1886-01-22
TIE RAILROAD SUITS.
Text Of Judge Slmenton's Decision Ii
the Seuth Pennsylvania In
junction Cases.


the Dauphin County Court, continuing
the Injunction of the Pennsylvania Rail-
road Company-s purchase of the the
South Penn road, the facts are cited at
length and the conclusion is reached as
follows:
But the argument was earnestly pres
sed upon us that the prohibition or tne
Constitution applies only to corpora
tion owning or having under its control
a railroad completed and in operation
that in the nature or things there can
be no competition in transportation
when there is no road over which to
transport. The Constitution forbIds a
railroad corporation to lin any way
control any other railroad cor
poration having under its control par
allel competing line" 2" not parallel or
competing railroad, and we cannot
doubt that the word "line" was en-
ployed advisedly in this place instead or
''road" OF railroad. 1t is the term
constantly used to denote the route or
an extended railroad. Thus in Sec. I'd,
act of February 10. 1849, relating to the
assessment of damages for lands taken.
1t Is provided viewers may be appointed,
neither of whom shall be residents or
owners of property upon or adjoining
the 'line' of such railroad, " where man
ifestly the word ''line" is useed to des-
ignate the surveyed route, and not the
completed road, as the view may be had
before the road is constructed. So in
Sec. ID, act of Congress of July q, 1866,
incorporating the Atlantic q Pacihc
Railroad Company, the company la au-
thorized ''to take from the public lands
adjacent TO the line Of road material,
earth, stone. timber, and so forth, for
the construction thereof"
These are random instances of the use
of the term, which is so common as to
leave no doubt as to It's meaning in the
clause of the Constitution under consid-
Grafton. Aud understanding its mean
ing we are bound to give it due force and
effect. If we do not, the purpose of the
Constitutional Convention in enactlng
clause, and of the people in TatifYing 1t,
might always be- aud in this case would
be, entirely defeated. The purpose un-
doubtedly was to promote competition
in railroad traffic. But if corporation
engaged in constructing a competitive
road may be controlled Sy its rival un-
! til the road is completed it would be
entirely within the power of the rival to
determine whether that event should
! ever happen as, OF course, IL never
/ would when it was the interest of the
|
/ would complete road to hand it over
/ to competitor.
For these reasons we think the proper
1 construction of the phrase parallel or
competing line" is that it includes 8
projected road, surveyed, laid out and
/ in process of construction, as we have
found to be The fact in this case. II
| such road, when completed and In 0p-
/ Grafton, would actually compete with
I the road seeking to control. Before
completion it Is parallel" when CON-
| pleted It becomes competing"
During the argument of the case
counsel invoked the aid of the undOubt'
ed general principle that the ownership
of shares Of stock. as of other property,
carries with it the legal right TO sell
and commended that the owners Of the
shares of the South Pennsylvania
Railroad Cumpany's stock could not
legally be restrained from so doing, and
that an injunction against the purchase
would have this effect.
We do not think the principle applie
to this case We are not called upon L
express any opinion as 10 toe right o
the Individual shareholders to sell thei
several shares bona fde in the open mar
ket. This, 50 far as they are concerned
is an intended sale in combination, 70
the express purpose of enabling then
: to abandon the rights aud duties con
= ferred and imposed upon them by tn
act incorporating the company, and o
putting the control of their cOrporatio
( into the hands of it's rival. This is a
act contrary to the public policy of th
State which they have no right to do.
0 Indeed all the parties to this transaC
: tion seem to have failed to appreciat
A.. -
: A charter is a contract, and a contraC
{ must always have two contracting pa
q ties, upon each of whom it imposes dI
|, ties as well as confers rights. Tt
q cbarter of a railroad company, especia
a lv. while it coDfers, and because il col
fers. rights OF the highest kind, lmposI
corresponding duties. It invests Il
corporation with part of the sovereign
u of the State, the right to take privs
81 'propertv for-letiit be clearly UnderstoC
= for public use. But if the taking
private property for the purpose of CO.
structinp railroad upon It is taking
10 for public use, then the public mu
a. have an interest In that use. And SUI
Sc is the Gaze. "a railroad is q publ
in highway for the public benefit.
The public has an interest in such
road. when it belongs to railroad CO
d poration, as clearly as they would ha'
IN il it were free. =" TT
as company may be private, but the wo
in it does IS public duty, and along wi
the public duty there is delegated shs
y of the sovereign power sufficient to pc
ch form il. The right of eminent doms
On is always given to such corporation
rt but the right of eminent domain canT
:; be used orprivste purposes.
81 TSharpless vs. Mayor, I'll, 169. "T
al right Of eminent domain nowhere j
IS, titles taking of property for a privs
n use yet it is doctrine universally a
10 cepted that a State Legislature n
authorize a private corporation to ia
u land for the construction of such 70;
"a making compensation to the own
by What else does this doctrine mean
- not that building a railroad, though
ba be built by private corporation, is
act done for a public use And
ln- reason why the use has always bt
nd held public one is that such road
em highway, whether made by the COVE
ment itself OF by the agency of corp
ate bodies" TOlcOtt vs.. the superv
ny ny ors, Wall, 794 per Mr.. Justice Stron
the And the same eminent jurist, whe
the Justice in the Supreme Court OF
on. State. id of an uiEished railroad t
zen "the Commonwealth had right to
,nd mand that all the resources, rights ;
sne .Is credits of the company should be de
tba ted to its completion, " and the direct
fv~ of a railroad corporation are "trust'
to- in a very just sense, for the Comm
Ies- wealth. TBelford R. R. Co.,
I29.l
But as our purpose here is to ST