City of St. Paul v. Twin City Motor Bus Co.

250 N.W. 572, 189 Minn. 612, 1933 Minn. LEXIS 845
CourtSupreme Court of Minnesota
DecidedOctober 20, 1933
DocketNo. 29,643.
StatusPublished
Cited by2 cases

This text of 250 N.W. 572 (City of St. Paul v. Twin City Motor Bus Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City of St. Paul v. Twin City Motor Bus Co., 250 N.W. 572, 189 Minn. 612, 1933 Minn. LEXIS 845 (Mich. 1933).

Opinion

OLSEN, Justice.

Defendant corporation appeals from an order denying its motion for a new trial.

The plaintiff, city of St. Paul, is a city of the first class operating-under a home rule charter adopted in the year 1900. The defendant is a corporation conducting and carrying on the business of a common carrier of passengers for hire, by motor buses, over and upon the public streets of the city over regular routes, some of which routes are wholly within the city, two extending into the adjoining-city of Minneapolis, and some extending into smaller neighboring-communities. It has been engaged in that business for some seven years last past.

The defendant has no franchise or grant of the right to operate its buses over and upon the streets of the city. This action was brought to restrain defendant from so operating without a license or franchise. The trial court made findings of fact, and as conclusions of law found plaintiff entitled to have, and directed, judgment restraining the defendant from continuing- to operate the two routes between St. Paul and Minneapolis.

The question presented is whether, from the facts found, the court erred in concluding that the plaintiff was entitled to judgment restraining defendant’s operation of its buses over the two routes mentioned.

The findings of the court do not state the charter provisions of the city of St. Paul except to state that it is a home rule charter *614 under art. 4, § 36, of the state constitution. But the district courts and this court take judicial notice of the provisions of the city-charter, and no doubt the trial court considered the provisions therein.

The city has two ordinances, Nos. 4026 and 6859, set out in the findings. Ordinance No. 4026 required a franchise and provided regulations and a license fee for the operation of passenger buses on the streets. But ordinance No. 6859 amended the prior ordinance so that its provisions “shall not apply to motor omnibuses operating under a state certificate of public convenience and necessity, in compliance with and as authorized by Chapter 185 of the General Laws of Minnesota for 1925.” The court found that defendant holds such state certificates for operation of its buses over the lines here in question.

L. 1925, p. 178, c. 185, as amended, reserves to cities of the first class, as we read it, all control and regulation over the use of public streets therein by transportation companies which they had under charter provisions or ordinances in force January 1, 1925, unless repealed after said date, or which they have under their police power.

The two ordinances do not impose any duty upon the defendant to obtain a license or franchise, or prohibit it from operating without a license or franchise. The question remains whether, by the provisions of the city charter, the defendant is required to have a license or franchise for conducting its business over and upon the streets the city. Chapter X of the city charter covers the subject of franchises and licenses for use of streets and highways within the city. Section 150 provides that no franchise shall be granted except by ordinance approved at a general or special election by the qualified voters of the city. It further provides that the council may by ordinance, by vote of four-sevenths of its members, grant a temporary license for one year for use of streets for public service purposes, and that such license may be renewed twice for a year at a time.

*615 Section 155 of the charter fixes a minimum license fee for any person or corporation exercising any franchise or privilege in, over, under, or upon any street in the city.

Section 159 provides:

“No person or corporation shall occupy or have any special rights or privileges, in, over, upon or under any street, highway, alley, public ground, .levee, or other property of said city unless said right is duly granted in the manner hereinabove provided.”

In the argument here defendant’s counsel frankly concede that if the charter provision in § 159 requires defendant to obtain a franchise or license in order to operate its buses on the city streets then it must so do. It is the earnest contention for the defendant that its use of the streets to carry passengers for hire, by motor buses, from place to place within the city, or from the city to outside points, is not a special right or privilege requiring either license or franchise under the charter provisions referred to; that its use of the streets is not unlawful and not a special right or privilege within the meaning of § 159 of the charter.

Both parties cite and rely to some extent on the well considered opinion in City of St. Paul against this defendant reported in 187 Minn. 212, 245 N. W. 33, 34. The question there was whether the city, without having granted any franchise or license fixing any license fee for defendant to pay, could collect the minimum five per cent license fee provided in § 155 of the charter to be paid by any person or corporation exercising any franchise or privilege in, over, or upon any of the streets of. the city. It was held that this section was "not self-executing, but called for positive action on the part of the city council fixing, by some grant or franchise, the rate to be paid [187 Minn. 215] “as a part of the contract which the council may deem advisable to make.” The very first sentence of the opinion, after stating the facts and quoting §§ 155 and 159 of the charter, is [187 Minn. 214]: “The city may impose regulation upon defendant’s use of the streets and can compel its acceptance of a franchise as a condition to its use thereof.” It is further said [187 Minn. 215]: “There is here involved a privilege that may be reg *616 ulated.” Again, it is said [187 Minn. 217]: “There can be no doubt that plaintiff has the right to regulate and control defendant’s business. The latter must yield to all reasonable regulation. We deal here only with plaintiff’s effort to collect the claimed tax.” The decision in that case is clearly expressed in the sentence [187 Minn. 217]: “In the absence of express legislative authority, an action cannot be maintained to collect a license fee where a license has not been applied for or granted.”

Whether or not defendant’s use of the streets be held to be a “special right or privilege” under § 159 of the charter, it seems clear that it is a privilege which the city has the right to regulate and license under its general power of control over city streets and under its police power. That the right to use public streets and highways in a city for commercial purposes, for carrying passengers and freight for hire over regular routes, is a privilege which the city may regulate and require to be conducted under a franchise or license is settled by Schultz v. City of Duluth, 163 Minn. 65, 203 N. W. 449, and State v. LeFebvre, 174 Minn. 248, 219 N. W. 167, cited with approval in City of St. Paul v. Twin City M. B. Co. 187 Minn. 212, 245 N. W. 33. The subject is so fully treated in these cases that further consideration and citation of authorities is not here necessary.

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City of Duluth v. State
390 N.W.2d 757 (Supreme Court of Minnesota, 1986)
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3 N.W.2d 666 (Supreme Court of Minnesota, 1942)

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250 N.W. 572, 189 Minn. 612, 1933 Minn. LEXIS 845, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-st-paul-v-twin-city-motor-bus-co-minn-1933.