American Telephone & Telegraph Co. v. Village of Arlington Heights

528 N.E.2d 1000, 174 Ill. App. 3d 381
CourtAppellate Court of Illinois
DecidedSeptember 22, 1988
Docket87-3357
StatusPublished
Cited by14 cases

This text of 528 N.E.2d 1000 (American Telephone & Telegraph Co. v. Village of Arlington Heights) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Telephone & Telegraph Co. v. Village of Arlington Heights, 528 N.E.2d 1000, 174 Ill. App. 3d 381 (Ill. Ct. App. 1988).

Opinion

JUSTICE JOHNSON

delivered the opinion of the court:

This is an interlocutory appeal from the order of the circuit court of Cook County granting plaintiffs, American Telephone and Telegraph Company and AT&T Communications of Illinois, Inc., a preliminary injunction to enjoin defendants, the Villages of Arlington Heights, Palatine, Barrington, and Lake Barrington and the City of Crystal Lake (all municipal corporations in Illinois) from interfering with their installation of a cable system in the public streets. The trial court further ordered that a team of three arbitrators be chosen to aid the court in deciding the issue of fair compensation. On appeal, defendants raise the following issues: (1) whether they have an absolute right to bar plaintiffs from the use of their streets for any reason they believe is proper, and (2) whether the trial court abused its discretion by issuing a preliminary injunction.

We affirm in part and reverse in part.

American Telephone and Telegraph Company is authorized by the Federal Commerce Commission to provide interstate long distance telephone and telecommunication services throughout the United States. AT&T Communications of Illinois, Inc., holds a certificate of public convenience and necessity from the Illinois Commerce Commission (hereinafter ICC) to provide intrastate long distance and telecommunication services in Illinois. Plaintiffs planned to construct a fiber optics system from Glenview to Rockford, approximately 85 miles. An easement was purchased in the right-of-way of Chicago and Northwestern Railroad in order to install the cable on private property. However, plaintiffs required approximately 1,200 feet of public way through defendants’ streets in order to make the cable contiguous and operational.

Plaintiffs hired Donahue & Associates, an engineering firm, to design the cable system. In February 1987, a permit coordinator from the firm began inquiries with respect to securing permits from defendants. Plaintiffs were informed that unless they entered into a franchise agreement with defendants no action would be taken on their permit applications. Defendants sought Northwest Municipal Conference, an organization representing approximately 22 suburban communities in Cook County, to represent them in negotiations with plaintiffs concerning such agreements.

By August 1987, plaintiffs had not been able to secure permits from defendants. Thereafter, plaintiffs sent a 10-day notice to defendants, pursuant to “An Act relating to the powers, duties and property of telephone companies” (Ill. Rev. Stat. 1985, ch. 134, par. 20) (hereinafter Telephone Act). The notice indicated that plaintiffs intended to begin construction of their cable system under defendants’ streets and requested defendants to provide time, manner, and place specifications within 10 days, as required by the Telephone Act. Defendants failed to respond and, after waiting the required time, plaintiffs commenced construction. Defendants issued stop work orders and plaintiffs filed, an action in the circuit court of Cook County.

The trial court issued a preliminary injunction, finding that defendants “exceeded the reasonable scope of their regulatory powers.” The court denied defendants’ request to stay its order. Subsequently, defendants sought stay of the preliminary injunction pending resolution of this appeal. The motion was denied by court order on November 6,1987.

Defendants contend that plaintiffs are not entitled to utilize their, public streets without their consent. They argue that the City of Geneseo v. Illinois Northern Utilities Co. (1941), 378 Ill. 506, cert, denied (1942), 316 U.S. 670, 86 L. Ed. 1746, 62 S. Ct. 1046, resolves any doubt concerning a municipality’s authority over the streets therein. The Geneseo court held that the authority granted to a municipality to allow or refuse a license, permit, or franchise to a public utility was not repealed by the Public Utilities Act (Ill. Rev. Stat. 1939, ch. 24, par. 383). The court further held that the Public Utilities Act does not vest power in the ICC to extend a franchise which has expired, or the exclusive right to authorize a public utility to occupy a street without a franchise or permit. (Geneseo, 378 Ill. at 530.) However, the court acknowledged the well-settled rule that where there is a conflict between a specific grant of power to the ICC which is in opposition to a similar power granted to a city or municipality, the former will prevail. Geneseo, 378 Ill. at 514.

The Geneseo court does not address the rights accorded to a public utility where a certificate of public convenience and necessity is issued by the ICC, pursuant to the Public Utilities Act (Ill. Rev. Stat. 1985, ch. lll2/3, par. 8 — 406) (hereinafter Utilities Act). Neither does the court discuss rights afforded the plaintiffs under the Telephone Act (Ill. Rev. Stat. 1985, ch. 134, par. 20). These issues are germane to the present case; therefore, Geneseo is not dispositive of this case.

Defendants also rely on the Cities and Villages Act (Ill. Rev. Stat. 1985, ch. 24, pars. 11-80-1 to 11-80-3, 11-80-7) and the Telephone Act to support their position. The relevant sections in the Cities and Villages Act only grant municipal corporations regulatory powers. The extent of those powers are designated in the second proviso of section 4 of the Telephone Act.

The Telephone Act sets forth the rights accorded to telephone companies to construct their facilities upon all State public streets. It also outlines the proper procedure for gaining access to the streets. Contrary to defendants’ assertion, a complete reading of section 4 of “An Act to revise the law in relation to telegraph companies” (Ill. Rev. Stat. 1985, ch. 134, par. 4) as well as section 4 of the Telephone Act clearly shows that defendants’ consent is not mandatory before access to the streets can be obtained. (See Ill. Rev. Stat. 1985, ch. 134, pars. 4, 20.) Section 4 of the Telephone Act expressly authorizes the telephone company to install its facilities when it is necessary. The first proviso suggests that the Telephone Act shall not interfere with the regulatory powers presently vested in cities and unincorporated towns and villages. However, the second proviso clearly demonstrates the extent of a municipality’s power to regulate its streets by authorizing it to impose time, manner, and location restrictions. The second proviso requires the municipality to provide such specifications, if any, within 10 days of receiving notice from the telephone company of its intended construction. If specifications are not received within the appropriate time period, the proviso authorizes the telephone company to proceed with its construction, “in order not to interfere with other proper use of the street.” Ill. Rev. Stat. 1985, ch. 134, par. 20.

As the facts reveal, plaintiffs gave defendants notice of their intended construction. Yet, defendants did not respond or furnish any time, manner, or location specifications within 10 days. Thus, in complying with the statute, plaintiffs commenced construction.

Defendants assert that People ex rel. Shallberg v. Central Union Telephone Co. (1908), 232 Ill.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Kalbfleisch v. Columbia Community Unit School District Unit No. 4
920 N.E.2d 651 (Appellate Court of Illinois, 2009)
Silver Fox Limousine v. City of Chicago
713 N.E.2d 583 (Appellate Court of Illinois, 1999)
American Telephone & Telegraph Co. v. Village of Arlington Heights
620 N.E.2d 1040 (Illinois Supreme Court, 1993)
Markert v. Ryan
617 N.E.2d 1373 (Appellate Court of Illinois, 1993)
Continental Cablevision of Cook County, Inc. v. Miller
606 N.E.2d 587 (Appellate Court of Illinois, 1992)
American Telephone & Telegraph Co. v. Village of Arlington Heights
576 N.E.2d 984 (Appellate Court of Illinois, 1991)
Diginet, Inc. v. Western Union ATS, Inc.
759 F. Supp. 1285 (N.D. Illinois, 1991)

Cite This Page — Counsel Stack

Bluebook (online)
528 N.E.2d 1000, 174 Ill. App. 3d 381, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-telephone-telegraph-co-v-village-of-arlington-heights-illappct-1988.