165 Ind. 492 | Ind. | 1905
This is an action of mandamus brought by appellee in the Lake Superior Court to compel appellant, as a public-service corporation, to sell and deliver to the Hammond Elevator Company the continuous market quotations of the Chicago Board of Trade. An alternative writ of mandate was issued and served upon appellant; and, upon being then brought into court, appellant filed its petition and bond for a removal of the cause to the circuit court of the United States, on the ground of diverse citizenship of the parties. This application was denied, and an
It is averred in the assignment of errors that .the court below erred: In denying appellant’s application for a removal of the cause to the federal court, in striking out its plea to the jurisdiction of the state court, in overruling its demurrer to the amended complaint, and in sustaining appellee’s demurrer to the second, third, fourth, fifth and sixth paragraphs of answer.
Appellee urges many technical objections to the record, and to appellant’s brief, all of which, having been duly considered, and in the, main found unsubstantial, we have disregarded.
The section of the federal statutes in relation to the jurisdiction of circuit courts of the United States confers upon them “original cognizance, concurrent with the courts of the several states, of all suits of a civil nature, at common law or in equity,” where the matter in dispute exceeds, exclusive of interest and costs, $2,000, and in which there is a controversy between citizens of different states. The section providing for the removal of a cause from a state court to the United States Circuit Court employs the same language, except that the suit is to be one “of a civil nature, at law or in equity.” 25 Stat. at Large, p. 433, §§1, 2, U. S. Comp. Stat. 1901, pp. 507-509.
It has been repeatedly held by the Supreme Court of the United States that an action for a writ of mandamus is not a suit of a civil nature at common law or in equity, within the meaning of the acts of congress creating and defining the jurisdiction of circuit courts of the United States; and that such courts have no jurisdiction of such an action unless it be in aid of a jurisdiction previously acquired. Mandamus was originated at a time when it was supposed that the king in person presided over the court of king’s bench. It was a prerogative writ, issuing in the king’s name from that court, and the proceedings did not partake of the nature of a suit between parties. The relief sought was granted and effected by means of the writ, but it had none of the elements of a summons or judicial writ requiring a party to appear and plead. The character of the proceeding and the nature of the writ have been materially changed by statute, and in most of the states of the Union a proceeding by mandamus is now considered a civil action. However, the Supreme Court of the United States and some of the federal circuit courts have passed upon the question under consideration, and held that an action of mandamus is not a suit of a civil nature at law or in equity, and not
The amended complaint contained the following facts: The relator Hammond Elevator Company is a corporation organized under the laws of the state of Delaware, and the relator Frank C. Williams is secretary of said company and appears herein, not in his personal capacity, but as such secretary. Said elevator company is organized, among other things, for the purpose of buying and selling grain and provisions, stocks and bonds, and other commodities and securities, and is’ now, and has been since January 1, 1903, engaged at Hammond, Indiana, in such business. Appellant Western Union Telegraph Company is a corporation, and was organized February 18, 1859, under the laws of the state of New York, for the purpose of doing a general telegraph business in, between and among the several states of the United States and elsewhere, and with, between and among all of the inhabitants thereof. It has power and authority, under its charter, and under the laws of said state, and under the laws of the State of Indiana and of the state of Illinois, to gather, buy, transmit and sell news and information to all persons and corporations who may desire the same, and to the public generally throughout all the states. It-has been since its incorporation, and is now, doing, and will continue to do, that character of busi
Said prices at which said commodities are sp bought and sold, or contracted to be bought and sold, are noted by persons placed for that purpose on said exchange, and by them marked down, and then each and every fluctuation in'the price of said commodities upon said exchange is immediately transmitted to the telegraph operator on the exchange floor, who at once transmits the same by telegram to said Western Union Telegraph Company in the city of Chicago, which buys the same from said board at a stipulated price per year, for the purpose of disseminating and selling the same to any persons or corporation throughout the United States that may desire the same and pay its fixed price therefor. Erom its Chicago office by automatic apparatus they are repeated and sent out by said telegraph company over wires run into most of the large cities of the United States, and said continuous quotations are the property of said telegraph company, and are continuously received by it at said city of Chicago, at intervals varying from a few seconds to five minutes, with the fluctuations of said prices, and conveyed to the persons, corporations and exchanges in the several states of the United States within from fifteen to twenty seconds after such prices or fluctuations of prices are made in the course of such purchases and sales on said exchange, and are thus supplied by said telegraph company to persons, corporations and exchanges, and to the public generally, upon the payment to it of a regulation charge for the same. Said telegraph company has been engaged in said business of obtaining, disseminating and selling said quotations almost continuously for over ten years last past, and is now so
Appellant demurred to this complaint upon the grounds: . (1) That the board of trade was a necessary party respondent; and (2) that said complaint did not state facts sufficient to constitute a cause of action.
The first ground of demurrer is waived by silence.
Appellant’s counsel insist that a telegraph company is not a common carrier with respect to the purchase and sale of news, and that the facts alleged in the complaint are insufficient to impose upon appellant a legal duty to supply appellee elevator company with said market quotations.
The second paragraph of answer or return of appellant alleged: That it is a New York corporation, with charter power to conduct a telegraph business throughout the United States, and therein to transmit all messages from time to time tendered to it, and to engage in the business of buying and selling news; that on June 5, 1867, it filed with the postmaster-general of the United States its written acceptance of the restrictions and obligations .of the act of congress, approved July 24, 1866 (14 Stat. at Large, p. 221), entitled “An act to aid in the construction of telegraph lines, and to secure to the government the use of the same for postal, military, and other purposes;” that under said act of congress it has constructed its lines along the various public railroads running across Indiana into Ohio and other states, and the telegraph wires so running through Indiana connect with and extend beyond the terminal lines of said railroads over other railroads and post-roads, and that appellant has offices for its telegraph business at Washington, D. C., and in all the principal cities, towns and villages of the United States; that all said railroads are public highways and post-roads; that prior to the commencement of this suit appellant was engaged in the business of sending and receiving messages for the public over said lines between its different offices within and without the State of Indiana, and from its offices in one state to its offices in another state, and in sending telegraphic communications between the several departments, officers and agents of the government, said official telegrams being transmitted at rates fixed by the postmaster-general annually; that the telegraph business so conducted is interstate, and is being conducted under said act of congress; that an essential requisite in the telegraph business is the maintenance of the inviolability of the news transmitted, including the right
A contract, dated April 15, 1901, between the Chicago Board of Trade, respondent, and the Western Union Telegraph Company and the Postal Telegraph Cable Company is then set out in full. This contract is lengthy, and need .not be here set out in its entirety. It first provides that the board of trade shall collect the quotations upon its exchange and transmit them over a telegraph wire to the offices of these two telegraph companies in Chicago with due promptness and dispatch; and “Second. Said parties of the second and third parts agree that they will not knowingly furnish or sell, directly or indirectly, said continuous quotations to any person, firm or corporation conducting a bucket-shop, or other similar place, where such quotations are used as a basis for bets or other illegal contracts based upon the fluctuations of the prices of commodities .dealt in on said hoard
The expression “continuous quotations” was defined as meaning every service of quotations wherein the price of any commodity shall be quoted oftener than at intervals of ten minutes.. It was further stated that the intent and purpose of the agreement was to prevent the misuse of said quotations for said unlawful purposes or in said unlawful business, and not to discriminate between persons desiring them for other than said prohibited purposes. The agreement was to remain in force for one year, and thereafter until terminated by notice, and provided for the payment of a consideration of $2,500 per month by each of said telegraph companies.
The third paragraph of answer avers that the Chicago Board of Trade is a private corporation organized under a special charter granted by the state of Illinois, and that its objects are “to maintain a commercial exchange, to promote uniformity in the customs and usages of merchants, to inculcate principles of justice and equity in trade, to facilitate the speedy adjustment of the business disputes, to acquire and disseminate valuable commercial and economic information, and, generally, to secure to its members the benefits of cooperation in the furtherance of their legitimate pursuits ;” that it is given charter power to hold property of all kinds, and dispose of the same by sale and otherwise, and generally to do and carry on any business that is usually conducted by hoards of trade or chambers of commerce; hut that said charter does not impose on said hoard the duty of furnishing to the public, or any person whatsoever, the knowledge of quotations of prices made in transactions between its members -in its exchange hall; that it has 1,800 members, and that the cost of maintaining itself is $240,000 a year, and that it has for many years provided in Chicago an exchange building, and therein an exchange hall, where its members meet every business day to buy and sell for themselves, or as brokers for their customers, for present
The fourth paragraph of answer contains the same averments as to the incorporation, powers, exchange hall, members, collection and distribution of the quotations of the Chicago Board of Trade, the loss of said quotations by the
The fifth paragraph of answer avers: That the Hammond company at the time it demanded said quotations and filed its petition herein, was engaged at Hammond in making bets on the fluctuations of the prices, and conducting a bucket-shop, and desired the quotations sought in this proceeding for the purpose of conducting a bucket-shop and gambling therein, in violation of the laws of Indiana, and for no other purpose, and that the Hammond 'company was, at the institution of this suit, and for some time prior thereto had been, engaged in purloining said continuous
The sixth paragraph of answer avers many of the facts contained in the other paragraphs, and concludes with the allegation that the board of trade is a necessary party defendant to the petition, and that without its being so the full determination of the question involved can not be made, and the writ would be unavailing.
In the last case cited the court, speaking to this point, said: “The bill, however, shows that the board and telegraph companies had established, as a regulation for the conduct of the business of supplying quotations, a rule that all applicants should sign an agreement in which they covenanted, among other things, not to engage in bucket-shopping. The appellant has failed to comply or to offer to comply with that regulation, and challenges the right of the appellees and the board of trade to require compliance with such a rule. Without deciding, but merely assuming for the sake of argument, as was done in Illinois Commission Co. v, Cleveland Tel. Co. [(1902), 119 Fed. 301, 56 C. C. A. 205] that the property right of the board of trade is impressed with a public use, and that the board and the appellees, as agencies through which the quotations are distributed, must serve without discrimination all who apply,
We are unwilling that the board of trade of Chicago should be a more considerate guardian of the morals of this State than its own courts, and, assuming the facts pleaded to be true, unhesitatingly declare that no court, under the guise of requiring the performance of a duty by a public-service corporation, should, either in violation of the contract pleaded or in its absence, compel the performance of acts vitally necessary to the continued operations of a bucket-shop. The third, fourth and fifth paragraphs of answer were sufficient, and the court erred in overruling appellee’s demurrers to the same.
The judgment is reversed, with directions to overrule the demurrers to the third, fourth and fifth paragraphs of answer or return to the amended complaint, and for further proceedings in harmony with this opinion.
Grillett, J., did not participate in this decision.