The Birmingham age-herald., 1923-04-19
CLAYTON IS FOR GAS COMPANY CONTENTION
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tContinucd from Page onc) that the questions are now in Ala bama and the decision should be rem dered for the guidance of the courts in the future.
 It was during discussion of the final decision that Judge Clayton expressed the opinion an effort was made to play a trick" on the court In exororating counsel for the state of any deliberate effort to play a trick" on the court, Judge Clay ton stated that he would not let his remarks regarding the states confession of the incorrectness of its order influence him in rendering final decision. He said his final decision would be based on the evil dcnce gathered by the special master, S. H. Dent, Jr.
 Judge Clayton then ovxruled the motion of the state for dismissal of the injunction case on the ground that it had become moot one and directed the special master to con tinue the examination of witnesses He said he is hopeful that a final decision can be rendered without great delay.
 No Issue Contention.
 In their argument in support of the motion. Mir. White and Mir. Yerger contended that no issue is before the federal court now since the order about which the Mobile Gas compa ny complained has been revoked and the company is now in the same position which 1t held prior to the issuance of a valuation order and the order for reduction in rates.
 MT. Smith for the company con tended that courts of equity Gener- ally follow close the end and rem dered decision regardless of the mattt\s which come into the case. He insisted that dismissal of the suit on the states motion would not protect the company which had furnished fifty thousand dollar bond payable to consumers of gas in Mobile and guaranteeing the return of any moneys collected in excess of the commissions order invali- dated.
 The moment the arguments were concluded Judge Clayton announced his decision and stated that he would prepare an opinion in sup port of his decision if he found the time to do SO.
 Shortly after Judge Henry D.
 
 denied the states motion for the dismis issal of the injunction suit brought by the Mobile Gas company, the gas company filed petition for another injunction preventing the public service commission from pre- ceeding toward to revaluation of the company's property in Mobile. Temporary Order.
 nd In or ary restraining order without delay and cited A. G. Patterson, president, and H. F. Lee and Frank Morgan, associate commissioners, to appear in the federal court May and show why a temporary injunction should net be granted. The temporary re- straining order will prevent the conn mission from doing any act tending toward a revaluation of the porperty until Judge Clayton and two other federal judges have determined whether or not q temporary injunc- inunction is issued 1t will be effec- tive until formal hearing. Federal law requires three federal judges to sit in a case involving tempor- ary injunction.
 Judge Clayton's injunction resulted from the action of the public service commission Monday in setting aside
  valuation on the gas company's prop erty, and directing revaluation. The state contended that the order of revaluation rendered the gas com pany's original injunction case a moot one and made motion to dis- miss 1t. Judge Clayton overruled the motion Wednesday. His act was fol- lowed immediately by the filing of complaint by the gas company alleg- ing that the valuation became final and that the public service commis- sion has no authority to order re- valuation or to proceed toward re- valuation of the property
 shal, appeared at the capitol late in the afternoon and served copies of the temporary restraining order on Commissioners Lee and Morgan President Patterson is in Birming- ham. Hugh White, special assistant attorney general, who is directing the litigation for the public service commission. and Frank J. Yerger city attorney of Mobile, held a con- ference imme ediately with Harwell G. Davis. attorney general. regarding the states plans for the resistance of latest move of the gas company. Brief History of Case.
 A terse history of the contest be- tween the public service commission and the Mobile Gas company up to this time follows:
 The commission established the valuation of the gas company's prop erty at Sl,969,565 early last year. On rehearing the commission reduced the valuation to $1,700,000 and or- dered a reduction in rates.
 The gas company obtained a tenn porary injunction preventing the commission from enforcing It's order for reduction in rates.
 Judge Clayton appointed s. H. Dent. Jr., special master, and directed him to receive testimony on the petition of the gas company for a permanent injunction. MT. Dent has been re- ceiving testimony for several weeks.
 The public service commission filed motion with the special master for an order directing the gas company to produce for its inspection all books relating to the historical cost of the property. The special master denied the motion. The commission ap- pealed to Judge Clayton and he sus- tained the special master in de- cision last Saturday.
 The commission issued an order Monday canceling It's order establish ing a valuation and canceling its order for rate reductions. It then made a motion in the federal court for the dismissal of the gas com pany's petition for a permanent in- junction. contending that the order 1irpr (