Barton Trucking Corp. v. O'Connell

7 A.D.2d 36, 180 N.Y.S.2d 686, 1958 N.Y. App. Div. LEXIS 3840
CourtAppellate Division of the Supreme Court of the State of New York
DecidedDecember 16, 1958
StatusPublished
Cited by3 cases

This text of 7 A.D.2d 36 (Barton Trucking Corp. v. O'Connell) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Barton Trucking Corp. v. O'Connell, 7 A.D.2d 36, 180 N.Y.S.2d 686, 1958 N.Y. App. Div. LEXIS 3840 (N.Y. Ct. App. 1958).

Opinion

Breitel, J. P.

Petitioner, a trucking company, appeals from the dismissal of its petition in an article 78 proceeding which sought to annul the action of the New York City Commissioner of Licenses in refusing to grant it a public carting license. The principal administrative ground for refusing the license was petitioner’s unfitness to qualify for a license as evidenced by the conviction of one of its principals, James Plumeri, for extortion in 1937.

The order should be reversed, the petition granted to the extent of annulling the determination by the commissioner, and the matter remanded to the commissioner for the purpose of reconsidering the application, taking such additional evidence as he may be advised, and redetermining the application in accordance with the views expressed in this opinion.

The question in this case is whether the Commissioner of Licenses, under the city statutes which apply to him, has the power to consider the character of an applicant for a cartman’s license, and whether, if he has such power, the information adduced supported his determination.

[38]*38The City Commissioner of Licenses has a number of powers to grant licenses with respect to various callings and installations used in certain businesses (N. Y. City Charter, § 773 et seq.) Administrative Code of City of New York, § 773a-1.0 et seq.; § B32-1.0 et seq.). Among these powers is that of granting licenses to public cartmen, a public cart being defined as any vehicle ‘1 which is kept for hire or used to carry merchandise, household or office furniture or other bulky articles within the city, for pay ” (Administrative Code, § B32-92.0 et seq.). The statute provides variable license fees and regulates the charges that may be imposed by the public cartman for his services. There is then provision for the handling of violations of the regulations. Beyond these provisions there are no requirements of any kind for public cartmen except the general provision applicable to all licensees that they must be citizens (Administrative Code, § 773a-1.0). The bareness of the statutes with regard to the qualifications of a public cartman before being entitled to a license raises critically the question whether the commissioner has any discretionary power to require any additional qualifications not expressed in the statutes.

It is now well-settled law that a legislative body may delegate to an administrative officer, charged with the obligation of granting licenses, the power to exercise discretion with regard to the qualifications of licensees, the use to which the licenses may be put, and the elements of public convenience that must be served before licenses may be granted (Matter of Small v. Moss, 279 N. Y. 288; Matter of Seignious v. Rice, 273 N. Y. 44; Matter of Elite Dairy Products v. Ten Eyck, 271 N. Y. 488). It is equally well settled, however, that such discretionary powers must be expressly delegated by the legislative body or be delegated by such clear implication that the legislative intention is clear, and such delegation must then be accompanied, expressly or by clear implication, by standards by which the administrative official is to be guided (Packer Collegiate Inst. v. University of State of New York, 298 N. Y. 184; cf. Matter of Fink v. Cole, 302 N. Y. 216, 225; Matter of Small v. Moss, 279 N. Y. 288, supra; Matter of Savage v. Commissioner of Licenses, 3 A D 2d 717; Ann. —, Vesting Discretion in Public Officials, 92 A. L. R. 400).

The distinction here is between legislative and quasi-judicial functions lodged in the administrator. Discretion may be delegated to the administrator but only when it is circumscribed by such standards as will delimit the administrative field of action. The authority to ascertain and impose policy is a legislative function and can be exercised only by the Legislature. “ This [39]*39court has repeatedly pointed out that the courts may not invade the field of discretion conferred by law upon an administrative officer. It has also pointed out that such field of discretion must be defined by the Legislature. The Legislature must set bounds to the field, and must formulate the standards which shall govern the exercise of discretion within the field. Without the second rule as a corollary to the first rule there would be no effective restraint upon unfair discrimination or other arbitrary action by the administrative officer.” (Matter of Small v. Moss, 279 N. Y. 288, 298-299, supra.)

What has occasionally caused confusion is the failure to distinguish certain special circumstances in which an administrative official charged with the duty of granting licenses may nevertheless deny the license even though delegations and standards of the kind just referred to have not been expressly provided. Thus an administrative official is not obliged to, and should not, grant a license which would result in a use of the license in violation of law, either under statute or by well-recognized decisional rules (Matter of Dr. Bloom Dentist, Inc., v. Cruise, 259 N. Y. 358; Matter of Barresi v. Biggs, 203 App. Div. 2; People ex rel. Cumisky v. Wurster, 14 App. Div. 556). Another such circumstance which allows the administrative official, and, indeed, requires him, to abstain from granting a license, is where the use would patently deny a public policy for which the licensing statute is evidently, from its history or from its face, the implement of execution (Matter of Rosenberg v. Moss, 296 N. Y. 595; People ex rel. Schwab v. Grant, 126 N. Y. 473; Matter of Rudhlan Amusement Corp. v. Geraghty, 146 Misc. 308). It has been well said that the licensing official is not in all cases supposed to act as an automaton and he must take cognizance of the purpose to which the license is to be put and ascertain whether the resultant use will be illegal or in violation of public policy (Matter of Doctor Bloom Dentist, Inc. v. Cruise, 259 N. Y. 358, 364, supra). All of this, however, is quite different from reading into the licensing power the right to pass on qualifications in the absence of specific delegation.

None of the provisions of the statutes applicable to public cartmen, nor any legislative history which has been made available, suggest any such broad sweep for the eartman licensing statutes which would embrace the broad delegation the commissioner has here assumed. Notably, when one considers the other occupations and installations subject to the commissioner’s licensing power there are many instances where detailed qualifications are prescribed. Or, in other instances, there are statutory sequences or a statutory history associated with such [40]*40sequences which demark an implied power and duty to impose specific qualifications (cf. People ex rel. Schwab v. Grant, supra). Thus, for example, the situation here is not like that which obtains with regard to the licensing of theaters. There the history of the relevant statutes makes it quite clear that the purpose was more than merely to license for purposes of identification, collection of revenue, or control of the licensees ’ activities under specific regulations governing their conduct (see, e.g., Matter of Rudhlan Amusement Corp. v. Geraghty, 146 Misc. 308, supra [Shientag, J.]).

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7 A.D.2d 36, 180 N.Y.S.2d 686, 1958 N.Y. App. Div. LEXIS 3840, Counsel Stack Legal Research, https://law.counselstack.com/opinion/barton-trucking-corp-v-oconnell-nyappdiv-1958.