Daily press. [volume] (Newport News, Va.) 1896-current, 1910-09-21
Justice Brown Decides They
are Exempt.
GOES TO HIGHER COURT
City Attorney Msssie Has Not Given
, Up Fight to Compel Water and
Electric Corporation to Pay Munich
g.. pal License Taxes.

Police Justice j. ID. G. Brown yes
terday morning handed down a de-
cision Diminishing the charge of doing
business without a license, brought
several weeks ago against the Cit
zens' Railway, Light 4 Power Com
pany and The Newport News Light a
Water Company by City Attorney j.
A. Massie for the purpose of having
the State courts pass upon the con-
! struction OF the language OF the act
OF the last Legislature placing light.
water and gas corporations under the
| Jurisdiction OF the State Cooperation
| Commission. Immediately after JUS
tice Brown rendered his opinion, City
Attorney Massie noted an appear TO
| the Corporation Court and the prob
abilities are that the cases will be
taken TO the states highest tribunal.
Southern Railway Case.
In rendering his decision, Just ce
Brown told the attorneys in the case
T. NJ. Braxton, counsel for the rail-
t way company. and MIR. Massie-that
| there was some doubt in his mind
about the case until he saw a decision
OF the Supreme curt OF Appeals re-
fusing a writ of error IN the case OF
the Town OF Culpeper against the
Southern Railway. In that case, the
, town sought to impose license Tax
on the railway company for doing bus
mess in that town and the railway
, refused TO pay. The town brought
action In the Circuit Court OF Gull
pepper TO compel the payment OF the
tax, but the court ruled that the
town had no right to collect such a
tax The case was appealed to the
Supreme Court and that tribunal re-
, fused to grant a writ of error. rms
case, the justice declared, was SINH
lar to that brought against the local
corporations and that since the Su
preme Court had held against the
, Town of Cupeper he would have 10
rule against the City OF Newport
News.
Letter from Clerk.
After reading in the newspapers
about the courts decision in the Cui'
l peper-Southern Railway case, Justice
| Brown wrote 10 the clerk OF the
! Court of Appeals asking for informa-
ton relative to that case. He re-
! ceIyed the following letter in reply
! which he submitted to the attorneys
in the case when he rendered his de-
olson yesterday morning.:
Zion. ]. d. G. Brown.
Attorney al Law.
Newport News. va
Dear SIR
II reply to your favor of the l9tn
inst, will say. that the only question
involved in the appeal Of Town OF
Culpeper VS.. Southern Railway COM
many. Is whether the Southern Kali
way Company. under the provisions OF
Sections l76-I77 of the Constitution
of virginia and the Tax Act on page
22O5 of the Code OF 1904, Vol. z. cL 20.
| Is exempt from the payment OF IL
| cense tar to the Town OF Culpeper
for doing business in the corporate
| limits of said town. The Circuit
Court OF Culpeper County held tha'
the Town OF Culpeper had no power
TO levy or enforce the payment vi
| said license tax, the said Town ap-
,ea,ed TO this court and the said ap-
| peal was refused.
/ VERY truly yours,
| III. STEWART JONES,
| CLERK"
COMPANIES Claim Immunity
The defendant companies in the pro-
/ csedings brought by the city cia-m
that the new statute requiring them
! 10 nav a franchise tax to the state
relieves them of the necessity for pay
ing a license tax to the city. lnes
base this eciaim upon section OF
the new act. which provides that tn.s
franchise tar with the other state
taxes provided for in The act snail oe
.In lieu OF all taxes or license charges
| whatsoever upon the frahchise y.
such corporation. and the shares OF
stock issued by Il and upon al i's
property as hereinbefore provided
l Justice Browns decision came as
surprise TO City Attorney Massie ana
many of the city officials. bot Attorney
Brsxton had been very confident ron.
the outset that he would win the case
so far as his company was concern
ed.
Case 70 Far Reaching.
1 The proceedings brought BY the city
are in the nature Of test OF the new
statute and every city IN Virginia ana
every HIGHT. water and gas company
IN the state will be effected BY the
final decision OF the courts In the mat
ter. u the city loses none OF the
corporations effected BY the new IA"