Burns v. Essling

194 N.W. 404, 156 Minn. 171, 1923 Minn. LEXIS 507
Supreme Court of Minnesota·Decided June 22, 1923·No. No. 23,492·Published·Cited by 17 cases

Opinion

Lees, C.

This is a taxpayer’s action brought to permanently enjoin the city of Eveleth and its mayor, councilmen, treasurer and clerk from pledging the credit or expending the funds of the city to aid in the construction of a hockey rink-. Plaintiff obtained an order requiring defendants to show cause why a temporary injunction should not be granted and restraining them in the meantime from taking the threatened action. A temporary injunction was granted in December, 1921. A trial on the merits was had in May, 1922, resulting in a decision in plaintiff’s favor, and defendants have appealed from an order denying a new trial.

The original complaint alleged- that defendants were about to expend the city’s money in paying for labor and materials furnished to the Eveleth Athletic Association to construct a hockey rink, taking in return the bonds of the association. This was the threatened action which was temporarily enjoined. Thereafter the association offered to transfer the rink to the city and the offer was accepted. A condition attached to the offer was that the city should pay the outstanding bills for labor and materials furnished to construct the building. On learning of the acceptance of the offer, plaintiff had the individual defendants cited into court to show cause why they should not be punished for contempt. After a hearing they were absolved from the charge, but were ordered not to expend any of the city’s funds in purchasing or completing the rink while this [173]*173suit was pending^ and plaintiff was given leave to amend Ms complaint by pleading the facts which had newly occurred.

Defendants’ first contention is that this order was one the court had no jurisdiction to enter because the changed situation had not yet been pleaded. They assert that under the circumstances the court could not make findings and an order for judgment which did not fit the facts pleaded in the original complaint. The condition for dismissing the contempt proceeding was that defendants should draw no more money from the city treasury to pay claims for laborers and materialmen. The court had the power to attach this condition to its order and so prevent defendants from indirectly doing the very tMng they had been commanded not to do.

Would the fact that the order was not supported by the original complaint deprive the court of the jurisdiction it undoubtedly had of the parties and the subject matter in litigation? Clearly it would not. Any relief consistent with the complaint and within the issues subsequently tried might properly be granted. Section 7896, GL S. 3 913. The amendment set out facts which happened after suit was begun. In effect it was a supplemental pleading by which the kind of relief plaintiff claims he was entitled to from the beginning was properly enlarged or changed. Meyer v. Berlandi, 39 Minn. 438, 40 N. W. 513, 1 L. R. A. 777, 12 Am. St. 663. The issues to be tried were defined by it and the defendants’ answer. The relief granted was consistent with these pleadings and was within the issues made by them. For these reasons the contention cannot be sustained.

The city of Eveleth has a so-called “home rulé” charter. It declares that the council shall have power to acquire by purchase, condemnation or otherwise, places of recreation and public buildings for the good of the city. The resolution accepting the association’s offer recited that the city needed a rest room, tourists’ camp and market place, and that the property was adapted to such uses. It was shown that the building could be used for these purposes, but the court found that the primary object of the defendants was to acquire a hockey rink in which the atMetic association could “stage hockey games between a team whose salaries and expenses [174]*174* * * were to be paid largely by the city. * * * and other teams”; that the ice sheet in the rink “would be devoted primarily to the use of such a hockey team,” and that “an admission charge of-a substantial sum would be charged persons desiring to witness such games.” It is not contended that the city may lawfully own and support a rink where contests between rival hockey teams are staged for the entertainment of those paying an admission ifee. The time may come when,, as in ancient Rome, the rulers of a city will be permitted to amuse the -people with games and spectacles in a public arena, but it is not yet here. As Judge Cooley tersely, said in his treatise on Taxátion, p. 210: “To furnish amusements to its citizens is not one of the functions of government.” There are many permissible forms of municipal activity intended to contribute in a measure to the enjoyment of life in cities. Children’s playgrounds, public baths and band concerts are familiar examples. Other illustrations may be found in the reports of the decisions of this court. City of Minneapolis v. Janney, 86 Minn. 111, 90 N. W. 312; Anderson v. City of Montevideo, 137 Minn. 179, 162 N. W. 1073.

The wisdom or expediency of a proposed expenditure of the taxpayers’ money for such purposes is to be determined solely by the legislature or by the local authorities to whom legislative powers have been delegated. But public funds can only be expended for public purposes and the courts must determine whether a given expenditure is for such a purpose, and will enjoin it at the suit of a taxpayer if it is not. Castner v. City of Minneapolis, 92 Minn. 84, 99 N. W. 361, 1 Ann. Cas. 934. It is well settled that, if the primary object of an expenditure of municipal funds is to subserve a public purpose, the expenditure is legal, although it may also involve as an incident an expenditure which, standing alone, would not be lawful. It is equally well settled that, if the primary object is to promote some private end, the expenditure is illegal, although it may incidentally serve some public purpose also. Coates v. Campbell, 37 Minn. 498, 35 N. W. 366; Bates v. Bassett, 60 Vt. 530, 15 Atl. 200, 1 L. R. A. 166; Brooks v. Brooklyn, 146 Iowa, 136, 124 N. W. 868, 26 L. R. A. (N. S.) 45; Wheelock v. City of Lowell, 196 Mass. 220, 81 N. E. 977, 124 Am. St. 543, 12 Ann. Cas. 1109; McQuillin, [175]*175Municipal Corporations, § 1117; 19 R. C. L. p. 780. The courts as a rule have attempted no judicial definition of a public as distinguished from a private purpose, but have left each case to be determined by its own peculiar circumstances. Green v. Frazier, 253 U. S. 233, 40 Sup. Ct. 499, 64 L. ed. 878.

Was the court warranted in finding that defendants had planned the expenditure of public funds for an unauthorized purpose?' This is the principal question presented by this appeal.

Three of the defendants were members of the Athletic Association. In the fall of 1921 the association began to construct a frame building 230 feet long and 150 feet wide, with seating accomoda-tions for 3,000. The cost of the building was estimated at $65,000, 20 per cent thereof representing the expense of providing seating accommodations. The architect’s plans provided for an arena which could contain a sheet of ice 190 feet long and 87 feet wide, booths for ticket sellers and a room on either side of the entrance for the use of rival hockey teams. After the building was begun, one of these rooms was designated on the plan as men’s and the other as ladies’ retiring room.

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Burns v. Essling, 194 N.W. 404, 156 Minn. 171, 1923 Minn. LEXIS 507 (Mich. 1923).

194 N.W. 404 (Burns v. Essling) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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