Source: http://supreme.nolo.com/us/260/212/case.html
Timestamp: 2019-04-23 00:35:36+00:00

Document:
Cumberland Telephone & Telegraph Company v.
1. Upon appeal from an order merely refusing a preliminary injunction, under Jud.Code § 266, there is nothing upon which a supersedeas may operate. P. 260 U. S. 215.
2. Under Jud.Code, § 266, a single judge, in allowing an appeal from an order of the district court, constituted of three judges, denying a preliminary injunction is without power to grant a continuance of a temporary restraining order pending the appeal, and his order to that effect is void. P. 260 U. S. 216.
3. Equity Rule 74, which authorizes a justice or judge who took part in a decision granting or dissolving an injunction to suspend, modify, or restore the injunction pending appeal, does not apply to an appeal from an order refusing a preliminary injunction under Jud.Code § 266. P. 260 U. S. 217.
extraordinary circumstances, only after notice, and its allowance must be evidenced by their signatures or by announcement in open court with the three judges sitting, followed by a formal order tested as they direct. P. 260 U. S. 218.
5. The granting of such an injunction pending appeal is within the power of this Court, but application therefor will generally be referred to the Court of three judges who heard the case upon its merits and are familiar with the record. P. 260 U. S. 219.
Motion by the appellees to set aside an order of supersedeas and injunction granted by a district judge in connection with an appeal from an order of the district court, constituted of three judges, refusing an interlocutory injunction in appellant's suit to enjoin appellees, members of a state commission, from reducing its rates for telephone service. Application to this Court by appellant for an injunction maintaining the status quo. For the opinion of the court below denying the interlocutory injunction, see 283 F. 215.
This is a motion by the appellees to set aside the supersedeas and injunction granted by district judge Foster at the time he allowed an appeal from an order of three judges, Circuit Judge Bryan, District Judge Clayton, and himself, denying an application for an interlocutory injunction under § 266 of the Judicial Code..
"for repayment to plaintiff's subscribers and to each of them of the excess charges collected from each of said subscribers as a result of the issuance and continuance of the preliminary restraining order issued herein, over and above what would have been collected from said subscribers had said restraining order not been rendered, the said payment to be made as, when, and if it shall have been finally determined herein that the order of the Louisiana Public Service Commission of May 13, 1922, is a legal order binding upon the plaintiff herein."
County v. Harshman, 132 U. S. 14, 132 U. S. 16; Merrimack River Savings Bank v. Clay Center, 219 U. S. 527. The effective part of the order of Judge Foster, if valid, was the continuance of the restraining order, which is called in the motion and argument the injunction. The motion to set this aside must be granted.
restraining order in such a case as provided, the same judge could not set aside his own order, and such act by him was without jurisdiction. This Court therefore issued a mandamus directing him to annul the order of vacation. We are of opinion that a single judge has no power, in view of § 266, to affect the operation of the order of the court constituted by the three judges granting or denying the interlocutory injunction applied for. To hold that he may grant a temporary injunction varying the order of the three judges would be to make the legislation a nullity and work the result which Congress was at great pains to avoid. Arguments to show that the order only continued the status quo, that a disturbance of it will work irreparable injury, and that the bond herein required secures all parties in interest are beside the point. This is a question of statutory power and jurisdiction, not one of judicial discretion or equitable consideration.
Equity rule No. 74, which authorizes a justice or judge who took part in a decision of an equity suit granting or dissolving an injunction to make an order suspending, modifying, or restoring the injunction pending the appeal upon proper terms, does not apply to such an appeal or to such a case as this. This appeal is not from a final decree. It is a special proceeding, in which the power of a single judge is definitely limited.
"Now let us go a little further. Here is a question submitted to three judges, let us say. This is not the action of an individual judge. The question of supersedeas was a matter of discussion among the court composed of Judge Bryan, Judge Clayton, and myself, and I showed you, Mr. Long [counsel for the Public Commission], Judge Bryan's letter in which he says that he thought the Cumberland Telephone Company would be entitled to a supersedeas in this case, but that was a matter to be taken up by the district court, by myself."
"Now, when I granted an appeal with supersedeas, that is the action of the court, it is merely a matter of practice that I signed the order. Now that supersedeas ought always to be granted to prevent irreparable injury."
motion to set it aside as void and made without jurisdiction.
The appellees ask that, if we conclude to set aside the injunction, we entertain a motion to grant one now to preserve the status quo. The fact that a majority of the three judges of the district court denied the interlocutory injunction suggests the want of merit in the application here. We, of course, appreciate that, notwithstanding a denial of an injunction on its merits, a court may properly find that pending a final determination of the suit on the merits in a court of last resort, a balance of convenience may be best secured by maintaining the status quo and securing an equitable adjustment of the finally adjudicated rights of all concerned through the conditions of a bond. Hovey v. McDonald, 109 U. S. 150, 109 U. S. 161; Equity Rule No. 74. But the court which is best and most conveniently able to exercise the nice discretion needed to determine this balance of convenience is the one which has considered the case on its merits, and therefore is familiar with the record. Records in cases like this are often very voluminous. Such is the record in this case. Without abdicating our unquestioned power to grant such an application as this, and conceding that exceptional cases may arise, we are generally inclined to refer applications of this kind to the court of three judges who have heard the whole matter, have read the record, and can pass on the issue without additional labor. That was the course taken by this Court in Southern Railway Co. v. Watts, 259 U.S. 576. A similar order will be made here. The action of the district court thus constituted, however, will not revive or vitalize the order of injunction granted by Judge Foster, for that was void, and the parties affected by it must be left to such course as they may be advised. We are not now called upon to construe or determine the validity or effect of the bond taken in that proceeding.
First. The motion of appellees is granted, and the order of injunction granted by Judge Foster when allowing the appeal is set aside as without jurisdiction.
Second. The application to this Court for an injunction maintaining the status quo is referred to the district court, constituted of three judges, for its determination.
The costs on this motion will be taxed to the appellant.

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