Citizens' Light, Heat & Power Co. v. Montgomery Light & Water Power Co.

171 F. 553, 1909 U.S. App. LEXIS 5620
CourtU.S. Circuit Court for the District of Middle Alabama
DecidedJuly 22, 1909
StatusPublished
Cited by38 cases

This text of 171 F. 553 (Citizens' Light, Heat & Power Co. v. Montgomery Light & Water Power Co.) is published on Counsel Stack Legal Research, covering U.S. Circuit Court for the District of Middle Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Citizens' Light, Heat & Power Co. v. Montgomery Light & Water Power Co., 171 F. 553, 1909 U.S. App. LEXIS 5620 (circtmdal 1909).

Opinion

JONES, District Judge

(after stating the facts as above). This case has been ably and elaborately argued and has had most painstaking consideration. The public, as w.ell as the parties, are deeply concerned in the important questions it involves, and no apology is needed for extended examination and discussion of them.

1. At the threshold of the case, we are met with the question of the power of the court of equity to enjoin written or spoken defamation of a man’s credit and business standing. The difficulties in the way of affording such relief are insurmountable. They grow alike out of' constitutional provisions, and want of jurisdiction in the court of equity. If the statements complained of are not false, defendant has a right to make use of them in getting business for itself. It affirms that these statements are true, while complainant insists the}'’ are maliciously false. Defendant has a right to have the truth or falsity of the issue determined by a jury trial as at common law. That it cannot get in a court of equity. A person cannot be enjoined from doing ai^-act unless it is fairly apparent the act is wrongful, or the person sought to be enjoined has no right to do that act. How can a court of equity be satisfied where the right lays in the matter of the alleged false statements? It cannot try the question for itself, or determine the right in advance of the law court. Again, the Constitution forbids any law “to curtail or restrain the liberty of speech or of the press,” and declares that:

“Any person, may speak, write and publish his sentiments on all subjects, being responsible for the abuse of that liberty.” Const. Ala. 1901, art. 1, § 4.

Neither a court of equity, nor any other department of government, can set up a censorship in advance over such matters, and prevent a person from exercising this constitutional right. He has the right to publish, if he chooses to take the consequences. After he has spoken or written falsely, the criminal law can punish him, and the civil courts amerce him in damages. That such redress may not be adequate in all-cases, and in some cannot be, is quite apparent; but the remedies named are all that the Constitution permits any court to employ against slanders upon a man’s credit and business standing. The court cannot go outside of the Constitution, or hold that to be an inadequate remedy which the Constitution has declared to be the sole remedy. The wrongs and injury, which often occur from lack of preventive means to suppress slander, are parts of the price which the people, by their organic law, have declared it is better to pay, than to encounter the evils which might result if the courts were allowed to take the alleged, slanderer or libeler by the throat, in advance. It is bootless now, to inquire whether the courts, which first dealt with this matter, did not [557]*557unduly extend the privileges the constitutional provision intended to secure, by denying all power to deal in advance with the emanation of slander and libel by one private person upon another, where the only purpose of uttering them is to acquire personal gain, by wrongfully and wantonly aspersing a fellow man’s reputation and business standing. However that may be, it was the law in England until changed by statute, and is the settled doctrine in this country, that a court has no such power. Raymond v. Russell, 143 Mass. 295, 9 N. E. 544, 58 Am. Rep. 137; Kidd v. Horry (C. C.) 28 Fed. 773; Francis v. Flinn, 118 U. S. 385, 6 Sup. Ct. 1148, 30 L. Ed. 165; Marlin Fire Arms Co. v. Shields, 171 N. Y. 384, 64 N. E. 163, 59 L. R. A. 310; Flint v. Smoke Burner Co., 110 Mo. 492, 19 S. W. 804, 16 L. R. A. 243, 33 Am. St. Rep. 476; Edison v. Edison Chemical Co. (C. C.) 128 Fed. 957.

Nevertheless it is insisted the court has jurisdiction to enjoin the making and circulation of the false statements, in order to defeat a fraud upon complainant’s customers, whereby they are wrongfully induced to breach their contracts with it, thus working a fraud upon complainant itself. We have seen the constitutional trammels which prevent the court of equity from enjoining the making or circrtlation of the defamatory or libelous statements. These trammels cannot be shaken off, and the jurisdiction of equity enlarged, by denouncing a mere libel as a fraud, no matter what the injury. In Pomeroy’s Equity Jurisprudence, § 630, it is said: “The grounds of interference must be more than injury to the property arising from the libelous character of the publication. Thus the publication of the libelous circular will not he enjoined when the injury to the property arises from the falsity of the charge.” No question of disclosure of confidential matter is involved, and no relation exists between the parties except that of rivals fighting each other at arm’s length. The “intimidation” and “frightening” of complainant’s customers, which complainant insists is effected by the false statements, does not amount to coercion or intimidation in the eye of the lav/. In their circulation it is not alleged that violence was threatened to the customer’s person, or injury to his property or business, or interruptions of his relations with other persons. Appeals to self-interest only, based on a statement of facts, false though they may he, are addressed to the customer, from which he may deduce the conclusion that it is more to his advantage to deal with the solicitor than to remain with the complainant. The customer is left free to form his own judgment and take his own choice. He has been deceived, it may be; but he has not been threatened, intimidated, or coerced. Surely no one would claim that a person who was deceived in swapping horses by willfully false representations as to the superior quality of the horse he got, compared with the horse he parted with, or the benefit to result in consequence of the bargain, had been coerced or intimidated, or frightened into making the swap. He has merely been outwitted and deceived. Hence the case does not fall ’within the influence o f Beck v. Railway Teamsters’ Union, 118 Mich. 497, 77 N. W. 13, 42 L. R. A. 407, 74 Am. St. Rep. 421, and kindred qases, wherein it is properly held that the constitutional provision as to the freedom of the press and liberty of speech cannot prevent injunctive relief against the circulation of printing, or the speaking of words, the natural effect of [558]*558which, under the circumstances, is to convey a threat to bring about violence to person or property, or boycotts, or the like injury to the business of those to whom the writing or words refer, or will naturally be applied.

It is strenuously insisted, in view of defendant’s alleged purpose to compass the ruin of complainant’s business, by the several means recited, that the employment of solicitors to spread the objectionable matter, and their constant iteration of it to complainant’s customers, amounts to a conspiracy to destroy a property right under such circumstances that a court of equity must intervene to prevent irreparable injury. Concert among a number of persons to effect an unlawful purpose will frequently authorize a court of equity to intervene, when it could not grant such relief against like acts of a single individual. The right of the court of equity to interfere at all turns upon the consideration whether the conduct complained of would result in a wrong which a court of equity has power to prevent-at any stage of its accomplishment. A court of equity has no power to prevent the invention or circulation of slanders upon men’s business standing and credit.

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Cite This Page — Counsel Stack

Bluebook (online)
171 F. 553, 1909 U.S. App. LEXIS 5620, Counsel Stack Legal Research, https://law.counselstack.com/opinion/citizens-light-heat-power-co-v-montgomery-light-water-power-co-circtmdal-1909.