A. Ames & Co. v. Wallace

1 D.C. 238
CourtDistrict of Columbia Court of Appeals
DecidedJuly 1, 1933
DocketEquity No. 57796
StatusPublished

This text of 1 D.C. 238 (A. Ames & Co. v. Wallace) is published on Counsel Stack Legal Research, covering District of Columbia Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
A. Ames & Co. v. Wallace, 1 D.C. 238 (D.C. 1933).

Opinion

[240]*240MEMORANDUM

LETTS, J.

In this suit the plaintiff, a manufacture of iron and steel products in New Jersey, seeks to enjoin the defendants from putting into effect the provisions of Executive Order No. 6646, promulgated by the President of the United States on March 14, 1934. That order requires that all bidders on work or supplies for any agency of the United States, or for any state, municipal corporation, local subdivision, person, or corporation whose projects are to be carried out in whole, or in part, with funds loaned, or granted, by any agency of the United States, should accompany such bids with a certificate executed by the bidder stating that the bidder is either complying and will continue to comply with the code of fair competition to which he is subject, or, where not subject to [241]*241any particular code, that he is complying and will continue to comply with the President’s re-employment agreement. The order further forbids the consideration of any bid not accompanied by the certificate hereinbefore described.

The bill of complaint describes the business of the plaintiff and states in Paragraph 28 that the plaintiff “has never signed nor has it agreed to any code, or codes, of fair competition, nor has it signed nor has it agreed to the President’s re-employment agreement.” As a result of the non-compliance thus stated, the plaintiff alleges that it has been prevented from bidding, on Government work and on work of the Highway Department of the State of New Jersey to be carried out wholly, or in part, with funds loaned, or granted, by an agency of the United States to said department. In Paragraph. 24 of the bill of complaint, it is alleged on information and belief that had it been permitted to bid it would have sold to the Highway Department of the State of New Jersey, since March 14, 1934, materials in excess of 1,500 tons. The bill of complaint' then proceeds to attack the constitutionality of said Executive Order No. 6646, the constitutionality of Title I of the National Industrial Recovery Act and the constitutionality of the Codes of Fair Competition for the Iron and Steel Industry, and for the Re-enforcing Materials Fabricating Industry, to which codes it would be subject did it see fit to comply with the National Industrial Recovery Act.

Several questions of law are presented to the Court by the motion of the defendants to dismiss plaintiff’s bill. The grounds as stated in the motion are:

1. That the suit is in reality a suit against the United States and that the United States has not consented to be sued.

2. That the facts alleged in the bill of complaint are not sufficient to constitute a cause of action since:

(a) No immediate and irreparable injury to the plaintiff is shown.

[242]*242(b) No legal right of the plaintiff is alleged to have been invaded.

Consideration of this motion must be had in relation to plaintiff’s theory and the allegations of his bill which are said to support the theory. Plaintiff denies that the defendants have any authority in law to do the acts sought to be enjoined. Plaintiff claims that Title I of the National Industrial Recovery Act is unconstitutional and void: that the Codes are unconstitutional and void: that the Executive Order No. 6646 is unconstitutional and void and that the threatened acts of the defendants have no authorization from the terms of the National Industrial Recovery Act. The basis of plaintiff’s complaint is that the defendants’ threatened actions are unlawful and being unauthorized are not the acts of the United States. Plaintiff seeks to restrain what he regards as illegal actions threatened to be done by the defendants under the color of office.

Adopting plaintiff’s interpretation of his bill I hold that the suit is not one against the United States. Philadelphia Co. v. Stimson, 223 U. S. 605. In case of an injury threatened by his illegal action an officer cannot claim immunity from injunction process. The principle has frequently been applied with respect to state officers seeking to enforce unconstitutional enactments. Osborn v. Bank of United States, 9 Wheat. 738, 843, 868; Davis v. Gray, 16 Wall. 203; Pennoyer v. McConnaughy, 140 U. S. 1, 10; Scott v. Donald, 165 U. S. 107, 112; Smyth v. Ames, 169 U. S. 466; Ex parte Young, 209 U. S. 123, 159, 160; Ludwig v. Western Union Telegraph Co., 216 U. S. 146; Herndon v. C. R. I. & P. Ry. Co., 218 U. S. 135, 155; Hopkins v. Clemson College, 221 U. S. 636, 643-645. And it is equally applicable to a Federal officer acting in excess of his authority or under an authority not validly conferred. Noble v. Union River Logging R. R. Co., 147 U. S. 165, 171, 172; School of Magnetic Healing v. McAnnulty, 187 U. S. 94.

In the second ground of their motion defendants say [243]*243that plaintiff’s bill of complaint does not show facts sufficient to constitute a cause of action. They say that there is no allegation of immediate and irreparable injury. The writ of injunction is a remedy of a Court of Equity which is granted only when it appears that the plaintiff is threatened with great, immediate and irreparable injury for which no adequate remedy at law exists. In the light most favorable to the plaintiff the allegations go no further than to state that plaintiff might have bid on contracts either for government work, or for work to be paid for in whole, or in part, with government funds and that it might have been awarded the contract or contracts in question. There is no allegation to the effect that, if these conjectural happenings had transpired and an award of a contract, or contracts had been made to the plaintiff, it would have profited by the fulfillment thereof. In this respect the bill is much weaker than the bill before this Court in the case of the Northwest Motor Co. v. Wallace, decided May 25, 1934. There the plaintiff had been the lowest, responsible bidder, had furnished a certificate of compliance for itself and presumably stood to profit largely had the contract been awarded to it. No such situation is here shown in the bill. The injury or threat of injury to this plaintiff is conjectural and speculative and the threatened wrong is an imaginary one. As said by the Supreme Court in Cline v. Frink Dairy Co., 274 U. S. 445, the danger of irreparable loss must be both “great and immediate” in order to justify the granting of a preliminary injunction. The principle is fundamental and must control the Court in this decision unless a further consideration of plaintiff’s bill reveals a theory which calls for the application of other rules or principles of equity.

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Related

Osborn v. Bank of United States
22 U.S. 738 (Supreme Court, 1824)
Davis v. Gray
83 U.S. 203 (Supreme Court, 1873)
Pennoyer v. McConnaughy
140 U.S. 1 (Supreme Court, 1891)
Noble v. Union River Logging Railroad
147 U.S. 165 (Supreme Court, 1893)
Scott v. Donald
165 U.S. 107 (Supreme Court, 1897)
Ex Parte Young
209 U.S. 123 (Supreme Court, 1908)
Ludwig v. Western Union Telegraph Co.
216 U.S. 146 (Supreme Court, 1910)
Philadelphia Co. v. Stimson
223 U.S. 605 (Supreme Court, 1912)
Cline v. Frink Dairy Co.
274 U.S. 445 (Supreme Court, 1927)
Smyth v. Ames
169 U.S. 466 (Supreme Court, 1898)
People of the State of N.Y. v. . Powell
63 N.Y. 88 (New York Court of Appeals, 1875)
People v. . Flack
26 N.E. 267 (New York Court of Appeals, 1891)
Hoban v. Dempsey
104 N.E. 717 (Massachusetts Supreme Judicial Court, 1914)
Plumer v. Houghton & Dutton Co.
178 N.E. 716 (Massachusetts Supreme Judicial Court, 1931)
State v. Rowley
12 Conn. 101 (Supreme Court of Connecticut, 1837)
Clarkson v. Laiblan
161 S.W. 660 (Missouri Court of Appeals, 1913)
Oxley State Co. v. Coopers' International Union of North America
72 F. 695 (U.S. Circuit Court for the District of Arkansas, 1896)

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Bluebook (online)
1 D.C. 238, Counsel Stack Legal Research, https://law.counselstack.com/opinion/a-ames-co-v-wallace-dc-1933.