157 F. 944 | U.S. Circuit Court for the District of Middle Alabama | 1907
(after stating the facts as above). On the day set for the hearing of these motions, the Attorney General appeared; and, while avowing the highest respect for the court, and friendship for the presiding judge personally, expressed the opinion that the questions raised on the rule to show cause had been “prejudged” by the opinion rendered in granting the restraining orders, and therefore asked leave to withdraw any further appearance in this particular matter. Reciprocating the feeling of friendship and respect expressed by the Attorney General, the court freely granted his request, but verbally repelled from the bench, without unkind comment, the injustice of his position. The opinion on the granting of the restraining orders enunciated no view of the law which had not already been solemnly adjudged before in decisions made in these cases in 11 separate orders which were submitted to counsel, and to which they did not then object. Those orders enjoined threatened criminal prosecutions by state officers. The alleged threats by solicitors and sheriffs raised the same presumption that they would endeavor to enforce these laws as flows from the “special charging” of the respondents to the original bill with such a duty. It was also known to counsel that in Express Co. v. City of Ensley (C. C.) 116 Fed. 756, the presiding judge some years before had decided that a court of equity had undoubted authority to enjoin criminal prosecutions for the protection of a property right when imperiled by the execution of void statutes or ordinances. It was well known to everybody that the court prior to issuing these restraining orders had decided in an elaborate written opinion in these very cases that it had jurisdiction of the subject-matter, that it had the right to enjoin the criminal proceedings threatened, and that the suits were not suits against the state. Seaboard Air Line Railway Company et al. v. Railroad Commission et al. (C. C.) 155 Fed. 792. Moreover, in the opinion on the restraining orders against the sheriffs and solicitors, it was stated that the court had “necessarily” heretofore decided those questions, and all expression of opinion as to any new matters which might be raised by the answers was expressly pretermitted. Moreover, their answers were on file when the Attorney General asked to withdraw, and they did not attempt, even remotely, to raise any new questions. Every court is bound to follow its own decisions, if it deems them sound, until overruled by higher authority. Otherwise, there would be no certainty in the law.
After the withdrawal of the Attorney General, the solicitor for Montgomery county, who expected to be represented by the Attorney General, obtained an adjournment and employed counsel, who very ably argued in support of the contention set up in the answers of the solicitors and sheriffs. These answers are, in effect, a plea to the jurisdiction, based upon the insistence that Fitts v. McGhee, 172 U. S. 516, 19 Sup. Ct. 269, 43 L. Ed. 535, applies to and controls the case made by the amended bill, and that it is a suit against the state in violation of the eleventh amendment. It is not necessary in order to sustain the jurisdiction here to critically analyze that case. If it be conceded to reach as far as respondents claim in the sweep of its influence, the doc
A state statute, during the period of its suspension, can have no legal force whatever. It stands during its suspension as though it had never been, or had been declared unconstitutional. What is popularly known as “the outlaw statute” — the statute forfeiting complainant’s right to do intrastate business if it brought suit to test the rates in a federal court — had already been declared unconstitutional, and the rate laws complained of had been formally suspended under the authority of the state statute, as well as the equity powers of the court, pending investigation of the facts which would determine whether the statutes could be treated as law at any time.- No discretion whatever was vested in these officers to prosecute for violation of the suspended statutes, and the plain law of the land made it their duty not to attempt to do so. Yet, if they did so, they would unlawfully put state power in motion,-and thus effect results, which, under Fitts v. McGhee and all other cases, they can be enjoined from accomplishing. There is a manifest distinction between Fitts v. McGhee and the present case in several most vital aspects: First. There was no state law in Fitts v. McGhee, as here, under which the owner of the bridge there could by bill in equity initiate litigation with representatives of the public to test the reasonablehess of the toll, and by pursuing the mode the state law pointed out, not only bind every one by a decision in that one case, but, while the litigation was pending, could secure a suspension of the statute complained of, and thus destroy, pending final decision by the court in which the proceeding was brought, all basis of authority anywhere for any claim that the law had been violated by not observing a suspended statute. Second. In that case no court of competent jurisdiction, armed with power'to determine “the very matter in dispute,” had first obtained jurisdiction, and therefore enjoined prosecutions by indictment before any had been found in the state court, in order to prevent the transfer of the trial of the reasonableness of the rates to another forum,. and thus acquired ancillary jurisdiction to prevent' subsequent proceedings, in order to preserve, the exclusive jurisdiction obtained by the commencement of the, suit in the federal.
The contention that a state officer cannot be restrained by injunction ■of the United States court from enforcing fate statutes by criminal prosecutions was overruled by the Supreme Court of the United States in Prout v. Starr, 188 U. S. 537, 543, 23 Sup. Ct. 398, 47 L. Ed. 584, and the same ruling was made in Smyth v. Ames, 169 U. S. 466, 18 Sup. Ct. 418, 42 L. Ed. 819. There can be neither criminal law nor duty to enforce it unless there be crime created by some valid operative law of the state. In Prout v. Starr, supra, the Supreme Court, referring to the insistence of the Attorney General of the state in that case that he “could not be restrained by injunction from enforcing the criminal laws of the state,” said “that contention is only another phase of the same question,” referring to its observations in another part of the ■opinion, where the court said:
“It would, Indeed, be most unfortunate if tbe immunity of the individual states from suits by citizens of other states provided for in the eleventh amendment were interpreted so as nullifying other provisions of the Constitution which confer power on Congress, * * “ all of which provisions existed before the adoption of the eleventh amendment, which still exist, and which would be nullified and made of no effect if the judicial power of the United States could not be invoked to protect citizens affected by the passage of state laws disregarging these constitutional limitations. Much less can the eleventh amendment be successfully pleaded as an invincible barrier to judicial inquiry*954 whether the salutary provisions of the fourteenth amendment have been disregarded by state enactments.”
in the same opinion the Supreme Court refers to the case, among others, of Fitts v. McGhee as an example in which the judicial power of the United States has secured state immunity from suits in “proper cases.” The Supreme Court there held that an injunction against the Attorney General of Nebraska to prevent prosecutions for to recover penalties for violation of a state rate statute did not present “a proper case” in which to apply the doctrine of Fitts v. McGhee, supra. It emphatically held that Fitts v. McGhee had no application whatever to such a case. In the case of Davis & Farnham Manufacturing Company v. Los Angeles, 189 U. S. 217, 23 Sup. Ct. 500, 47 L. Ed. 778, which is subsequent to Fitts v. McGhee, the Supreme Court says, without qualification it would seem:
“If there be jurisdiction in a court of equity to enjoin the invasion of property rights through the instrumentality of an unconstitutional law, that jurisdiction could not be ousted by the fact that the state had chosen to assert its power to enforce the statute by indictment or other criminal proceeding.”
In the still later case of Dobbins v. Los Angeles, 195 U. S. 241, 25 Sup. Ct. 22, 49 L. Ed. 169, the Supreme Court declares:
“It is well settled that where property rights will be destroyed, unlawful interference by criminal proceedings under a void law or ordinance may be reached and controlled by a decree of a court of equity.”
The same principle has been repeatedly declared by the state courts, and by none more emphatically than the Supreme Court of Alabama, in Port of Mobile v. L. & N. R. Co., 84 Ala. 115, 4 South. 106, 5 Am. St. Rep. 342; City Council of Montgomery v. L. & N. R. Co., 84 Ala. 127, 4 South. 626. See, also, Lottery Co. v. Fitzpatrick, 3 Woods, 222, Fed. Cas. No. 8,541; City of Hutchinson et al. v. Beckham et al., 118 Fed. 401, 55 C. C. A. 333; Central Trust Co. v. Citizens’ S. R. Co., 80 Fed. 218.
This is unquestionably a case in equity. The court has jurisdiction, not only because it is a controversy between citizens of different states, but because the case involves the application of the Constitution and laws of the United States. If it be a case in equity, equity can undoubtedly administer its usual preventive remedies by injunction or otherwise, if necessary, to prevent a multiplicity of suits and irreparable injury pending final decree. The Supreme Court of the United States has declared that:
“The proper, if not the only, mode of judicial relief against the character of rates established by the Legislature, or by its commission, is by bill in chancery asserting their unreasonable character and their conflict with the Constitution of the United States, and asking a decree of the court forbidding the corporation from exacting such rates as excessive or establishing its right to enforce the rates as being within the limits of just compensation for the services rendered.” Railway Co. v. Gill, 156 U. S. 649, 15 Sup. Ct. 484, 39 L. Ed. 567; Chicago R. R. Co. v. Minnesota, 134 U. S. 419, 10 Sup. Ct. 462, 33 L. Ed. 970.
Indictments for not observing the rates prescribed by statute would not settle the reasonableness or unreasonableness of the rate except in the particular case. The basic fact which furnishes the test of the rea
It is the veriest legal and moral misnomer to call an injunction against prosecutions about .a rate charge an interference with “the-power of the state to punish crime.” The issue grows out of an admittedly lawful use of property in the transportation of persons and', things, and in the performance of a duty the state exacts. The car
It is equally well settled that:
“Jurisdiction of the federal courts sitting as courts of equity is neither enlarged nor diminished by state legislation, though by it all differences in forms of action be abolished, and all remedies be administered in a single action at law, and so far, at least, as form is concerned, all distinction between law and equity be done away with, yet the jurisdiction of the federal courts sitting as courts of equity remains unchanged. We have repeatedly held that the jurisdiction of courts of the United States over controversies between citizens of' different states cannot be impaired by the laws of a state which prescribe modes of redress in their courts, or which regulate the distribution of their judicial powers. If legal remedies are sometimes modified to suit the changes in the laws of the states- and the practice of their courts, it is not so with equitable. The equity jurisdiction conferred on the federal courts is the same as that the High Court of Chancery in England possesses, is subject to neither limitation or restraint by state legislation, and is uniform throughout the different states of the Union. * * * That jurisdiction, as has often been decided, is vested as part o-f the judicial power of the United States in its courts by the Constitution and acts of Congress in execution thereof. Without the assent of Congress, that jursidiction cannot be impaired or diminished by the statutes of the several states regulating the practice of their own courts. * * * Conceding it to be true, as stated by the learned judge, that the full relief sought in this suit could be obtained in the state courts in an action at law, it does not follow that the federal court sitting as court of equity is without jurisdiction. The inquiry rather is whether by the principles of common law and equity as distinguished and defined in this and the mother*958 country at the time of the adoption of the Constitution of the United States the relief here sought was one obtainable in a court of law, or one which the court of equity was competent to give.” Mississippi Mills v. Cohn, 150 U. S. 201, 11 Sup. Ct. 75, 37 L. Ed. 1052.
The amended bill presents, as did the original bill, a case of threatened arrests, in many places and in a multitude of instances, of officers and operatives of railroads thousands of miles in length, which feed the commerce of the most important cities of the state and traverse its entire length. Thousands of the employés subject to threatened ay-rest are engaged at the same time alike in intrastate and interstate commerce, and in the delicate operation of handling and running hundreds of trains daily. If complainant’s servants may be arrested wherever found, in any of the numerous counties which their roads traverse, wherever any one chooses to swear out a'warrant, or procure an indictment, it would inflict untold harm upon every private and public interest which -is served by the carriers in their business. Not only intrastate commerce, but the orderly transit of interstate commerce, both of passengers and freight, and the prompt carriage of the mails, would be disordered and delayed, and the usefulness of the railroads to the public, measured by the requirements of modern industry and the economic necessities of our people, in a large measure destroyed. The employer has a property right in the services of his workman in his business, so long as he is willing to serve. He may maintain an action against any one who entices his servant to leave him, or by force or fraud prevents the servant from doing the master’s work, when that is the design of the interference with the workman. This right of the employer in the services of his workman is protected by the sanction of our criminal laws against the efforts of all persons to destroy the relation, so long as the master and his workman desire that it shall’ continue. The arrests here threatened, with the disasters we have pointed out, it is important to remember are to be made under a statute which has been declared unconstitutional, or under statutes the operation of which have not only been enjoined, under the equity powers of the court, but suspended under the authority given by the state statute itself pending investigation of the facts upon which their validity ultimately depends. There is now no more authority to prosecute for nonobservance of these suspended laws than there would be to indict for violation of a statute which had not taken effect when the indictment is found. The suspended laws have not now, and can never have, force and effect in the future until the suspension is abrogated by the tribunal to which is intrusted the power to suspend the laws. Every arrest under these statutes while they are suspended is therefore a trespass upon the rights both of the employer and the workman. These arrests are to be made to prevent the carrier from carrying on a business in a way which is lawful, at least during the period of suspension. They are threatened in order to coerce complainants to abandon a right to protection of writs of a court of competent jurisdiction which have been issued to prevent a multiplicity of suits, and irreparable injury pendente lite, and to break down and defy the authority of a court of the United States to administer the rights of parties in a suit of which it has jurisdiction.according to the usual modes of pro
The authorities are unbroken and numerous to the effect that in cases like this equity must intervene by its preventive remedies. Osborne v. Bank, 9 Wheat. 738, 6 L. Ed. 204; Davis v. Los Angeles, 189 U. S. 217, 23 Sup. Ct. 498, 47 L. Ed. 778; Dobbins v. Los Angeles, 195 U. S. 223, 25 Sup. Ct. 18, 49 L. Ed. 169; Smyth v. Ames, 169 U. S. 466, 18 Sup. Ct. 418, 42 L. Ed. 819; Reagan v. Trust Co., 154 U. S. 362, 14 Sup. Ct. 1047, 38 L. Ed. 1014; Detroit v. Detroit Citizens’ Street Railway Co., 184 U. S. 368, 22 Sup. Ct. 410, 46 L. Ed. 592. As Story observes:
“If, indeed, courts of equity did not interfere in cases of this sort, there would be a great failure of justice in this country.” Story’s Eq. Jur. § 928.
There is no difference in the issue sought to be raised by the prosecutions asked to be enjoined and the issue pending in this court on the bill in equity as to these rates. They present the identical question. The same proof in either court will defeat or maintain the rate. No greater or less degree of proof is required in either. No proof can possibly be offered upon the trial of an indictment as to the rates which would not be competent evidence in a civil suit concerning them. A judgment either way in criminal prosecutions concerning them would not bind the state or the public. A judgment either way in the equitv suit will determine the whole question as regards the state, the public, the customer, and the carrier. To quote the language of the Supreme Court:
“Tbe same rights are involved in the civil and criminal cases, and the legal questions involved are the same.”
See Harkrader v. Wadley, 172 U. S. 167, 19 Sup. Ct. 127, 43 L. Ed. 399, where the court, in declining to allow interference with the indictment in that case, puts its refusal upon the distinct ground that “the fallacy in the argument of the appellee in the present case is the assumption that the same right was involved in the criminal case in the state court and in the equity case in the federal court.”
These matters aside, respondents finally insist that they are in no wise bound by the direction of the Governor as to the institution of criminal proceedings and the arrest of persons for the violation of these statutes, and that, as no overt act has been charged against them, they cannot properly be made parties defendant to the amended bill. It is unnecessary to determine how far the solicitors and sheriffs would be bound by the directions of the Governor in this respect, but, assuming respondents’ view of the law in this regard to be correct, it does not meet the case. It is true the amended bill sets up as matter of inducement, or as a motive for the threatened action of respondents, that the Governor has charged or will charge them to make the arrests and institute the proceedings; but the allegation is positive, after reciting the reasons for complainants’ belief, that respondents “will cause complainants’ officers, agents, and servants to be arrested, indicted, and prosecuted for said charges, refusals,” etc. The respondents have been careful to refrain from any denial of what they purpose, notwithstanding it is positively charged that they will make the arrests, and put on foot the prosecutions. They know their own intentions. The answers of the respondents are identical, and their attitude is evidently dU rected by one mind. It is usual in matters of this kind, even where the action of private persons is concerned, when it is sought to defeat the issue of a preliminary injunction to disavow any intention, when it is positively charged, to override and defy the orders of the court. If such a disavowal be incumbent upon a private citizen under such circumstances., how much more is it requisite when the allegations concern the actions of a class of officers who are emphatically peace officers, bound by the highest moral and legal considerations to respect and obey the orders of the courts. The omission to enlighten the court on this point is not due to oversight or inadvertence. Under these circumstances, and in the light of matters of common knowledge recited in the amended bill, but of which the court may also take judicial notice, what is the only natural inference to draw from the answers, which challenge only the jurisdiction of the court to make the orders and carefully refrain from any disclaimer of intention to make the arrests, although it is flatly charged in the bill? Under such circumstances, the court must believe they will make the arrests unless restrained, and enjoin them accordingly. A contention like the present is fully answered
“It Is further contended that the bill does not disclose any actual proceeding on the part of the city to displace complainant’s rights under the contract, that mere apprehension that illegal action may be taken by the city cannot be the basis of enjoining such action, and that, therefore, the Circuit Court did right in dismissing the bill. We cannot accede to this contention. It is one often made in cases where bills in equity are filed to prevent anticipated and threatened action. But it is one of the most valuable features of equity jurisdiction to anticipate and prevent a threatened injury, where the damages would be insufficient or irreparable. The exercise of such jurisdiction is for the benefit of both parties — in disclosing to the defendant that he is proceeding without warrant of law, and in protecting complainant from injuries which, if inflicted, would be wholly destructive of his rights.”
There is no real difference in principle between the injunctions issued on the original bill and those now prayed. The difference is of form only, in that the sheriffs and solicitors are made defendants by name in the amended bill, instead of being included, as in the original injunctions, under the designation, “other persons.” The injunctions sought follow the lines the Supreme Court held proper in Reagan v. Trust Co., supra, and Smyth v. Ames, supra, both of which as to the nature of the specific relief granted went further in their terms in some respects than the injunctions now asked. Let an order be entered granting the preliminary injunction as to all the defendants who have been served, and fixing a further day as to the defendants who have been served.
The case made by the amended bill of the South & North Alabama Railroad Company is the same in its facts as that of the Louisville & Nashville Railroad Company. Like orders will be entered in it also.