City of San Antonio v. United Gas Pipe Line Company

354 S.W.2d 217, 1962 Tex. App. LEXIS 2193
CourtCourt of Appeals of Texas
DecidedJanuary 31, 1962
Docket10961
StatusPublished
Cited by13 cases

This text of 354 S.W.2d 217 (City of San Antonio v. United Gas Pipe Line Company) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City of San Antonio v. United Gas Pipe Line Company, 354 S.W.2d 217, 1962 Tex. App. LEXIS 2193 (Tex. Ct. App. 1962).

Opinion

HUGHES, Justice.

This is a venue case. The City of San Antonio, a municipal corporation, the City Public Service Board of San Antonio 1 and the Alamo Gas Supply Company have appealed from an order overruling their pleas of privilege to he sued in Bexar County, the county of their residence.

The suit below was instituted by the United Gas Pipe Line Company, appellee, against the Railroad Commission of Texas and appellants in the nature of an appeal 2 from the following order of the Commission entered June 26, 1961:

“IN RE: PETITION OF UNITED GAS PIPE LINE COMPANY CONCERNING FUTURE DELIVERIES OF NATURAL GAS TO THE CITY OF SAN ANTONIO BY ALAMO GAS SUPPLY COMPANY.
“WHEREAS, On the 21st day of June, 1961, the Railroad Commission of Texas received a petition, dated the 20th day of June, 1961, from United Gas Pipe Line Company requesting that the Railroad Commission of Texas hold a hearing and that upon hearing determine that it is contrary to the public interest for Alamo Gas Supply Company to construct facilities into the San Antonio area and supplant United Gas Pipe Line Company; that it is contrary to the public interest for San Antonio to obtain its natural gas from Alamo Gas Supply Company rather than continue to obtain its natural gas require *219 ments from United Gas Pipe Line Company; that the contract between San Antonio and Alamo Gas Supply Company is null and void and contrary to the laws and public policy of this state and that it he disapproved; that pending a hearing and final determination, the Commission order Alamo Gas Supply Company and San Antonio not to carry out the provisions of the contract or to take any action which would in any manner affect or prejudice the ultimate determination of the validity of such contract and the public interest ; and
“WHEREAS, The Commission has considered Article I, Section 26 of the Constitution of the State of Texas which provides that, ‘Perpetuities and monopolies are contrary to the genius of a free people and shall never be allowed’; and
“WHEREAS, The Commission has considered Section I of Article 7428-A, Revised Civil Statutes of Texas, 1925, As Amended, which provides, ‘That monopolies are contrary to the public policy of the State of Texas; and it shall hereafter be unlawful for any person, company, partnership or corporation, domestic or foreign, doing business in the transportation and/or sale of natural gas, electric current and power, telephone services, telegraph services and/or similar public utilities to wilfully and intentionally do any act whatever to prevent or hinder any legitimate competition in such business.’
“ORDER
“IT IS ORDERED, ADJUDGED AND DECREED BY THE RAILROAD COMMISSION OF TEXAS, That it is without jurisdiction of the ' above setout subj ect matter, and therefore denies the petition in its entirety.”

In its original petition, filed July 3, 1961, United pled, in part:

“The action of the Commission in refusing to take jurisdiction of the matters set forth in Plaintiff’s Petition and in denying Plaintiff’s petition was arbitrary, capricious, contrary to the laws of this State, and in disregard of its duties, obligations and jurisdiction with respect to natural gas utilities for the following reasons:”

Many reasons are pleaded in support of the quoted allegations.

The prayer of this petition follows:

“WHEREFORE, premises considered, Plaintiff prays that the Commission, Alamo and San Antonio be cited to appear and answer herein; and that upon hearing this Court hold that the Commission acted arbitrarily in denying Plaintiff’s Petition; that the Court grant the declaratory judgment requested in Paragraph 8 hereof and that it grant to Plaintiff such further relief as it may be entitled to receive.”

The declaratory judgment sued for and referred to in the prayer is as follows:

“Plaintiff sues for declaratory judgment under Article 2524-1 of the Revised Civil Statutes of Texas to establish the following:
“(1) That the Commission has jurisdiction under the laws of this State to determine whether it is in the public interest for Alamo to construct facilities into the San Antonio area and whether it is in the public interest for San Antonio to obtain its natural gas requirements from Alamo rather than continuing to obtain its natural gas requirements from Plaintiff.
“(2) That the Commission has jurisdiction to disapprove the contract between San Antonio and Alamo dated June 14, 1961 as not being in the public interest.
“(3) That the Commission has jurisdiction to disapprove the contract be *220 tween San Antonio and Alamo dated June 14, 1961, because it was entered into upon the basis of unlawful bid specifications and contains provisions contrary to law and in disregard of the authority of the Commission.
“(4) That the public policy of the State of Texas, as established by the Legislature, is that regulation by the Commission of gas utilities is intended to supplant wasteful duplication of facilities and service.
“(5) That the Commission has jurisdiction pending a hearing on any matter within its jurisdiction, to issue a stay order in aid of its jurisdiction.”

All defendants answered this petition filed by United, the nature of such answers need not be stated because none was a plea of privilege.

On August 22, 1961, United filed its first amended original petition. 3

On August 25, 1961, Alamo filed its Plea of Privilege as to the cause or causes of action sought to be alleged in paragraphs (7) through (10), page 20, of plaintiff’s first amended original petition.

On August 29, 1961, the City of San Antonio and the City Public Service Board of San Antonio and its trustees filed pleas of privilege similar to the one filed by Alamo.

On September 1, 1961, United filed its controverting affidavit. Before reciting the grounds stated in this pleading for conferring venue in Travis County, we copy the paragraphs of appellee’s first amended original petition to which appellants’ pleas of privilege were specifically directed. 4

“8. Plaintiff sues for declaratory judgment under Article 2524-1 of the Revised Civil Statutes of Texas to establish the following:

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Bluebook (online)
354 S.W.2d 217, 1962 Tex. App. LEXIS 2193, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-san-antonio-v-united-gas-pipe-line-company-texapp-1962.