Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-04-09
VFTOES THE
FRANCHISE
MAYOR OBJECTS TO SOUTH
PARK DEAL
COUNCIL SOLD NEW RIGHTS FOR
NOMINAL SUM
Tunneling of Streets Without Paying
Revenue to Municipality SUBJ
ject of Executive
Inquiry

Mayor A. c. Harper announced last
night that he would veto the San Pc
dro-South Park franchise sale ordi-
nance.
This is the ordinance which for
consideration of $500 gives to the Los
Angeles Railway company twenty
one year franchise to operate its line
to the southern city limits over san
Pedro and South Park avenue.
The mayor declines to say whether
he considers the purchase price too low
or whether he sides with City Stor-
ney Leslie r. Hewitt in the stand that
the franchise for the entire line should
have been offered for sale rather than
the southern extension.
The city recently won its test case
by which the railway company was
allowed temporarily to run its cars
for nominal rental until mooted ques-
. lions had been settled. When the court
decision was rendered in the citys IA
vor the council promptly took steps to
advertise for bids for new franchise,
but only one was received.
Courts Sustain City
The point at issue was whether the
company had forfeited its rights simply
by using its southern extension fran
chise from Thirtieth street south or
whether declaratory action was also
necessary by the council expressly
STIMULATING that the franchise was void.
The company maintained that as the
council had not expressly declared IT
void its rights had not died. The courts
held otherwise.
The city's legal adviser frequently
took the stand that the courts had
really wiped out the rights for the en-
tire line. but Councilman Henry Yon-
kin of the Sixth ward, who was inter-
ested in insuring a good car service
for his constituents, led the fight on
the theory of expediency rather than
strict legal construction, and the COM
pany was given another chance by the
council.
He argued that If the company's Of
ficjaIs refused to run any cars after
losing its franchise they could do SO
and operate nearby lines, which would
net them a good revenue and yet would
depreciate property all along the route.
Ii would also force the San Pedro line
people to walk blocks to get other cars
and would deprive them of the trans
fers now given to South Park line pas
sengers.
Dunn Charges Bad Faith
These were the arguments that won,
fortified by the statements of Counsel
William Dunn of the Los Angeles rail-
way who said that the city had not
acted in good faith in seeking to GUST
the company out of its rights.
The custer grew out of the fact that
some sections of the line were not COM
pleted in a stipulated time. 1T was
shown that when the old company
first planned the line 1t ran through.
ranches and orchards, with no thought
in the peoples minds then that Los
Angeles would stretch out to the ocean.
The Huntington interests then gained
control and Immediately they ordered
the extension from Thirtieth to Slau-
son avenue.
The company took the view that the
construction forces were not compelled
to complete the entire work of building
as long as they had given evidence of
having started work within the legal
period, but the courts ruled against
this view.