Cleburne Water, Ice & Lighting Co. v. City of Cleburne

35 S.W. 733, 13 Tex. Civ. App. 141, 1896 Tex. App. LEXIS 30
CourtCourt of Appeals of Texas
DecidedMarch 14, 1896
DocketNo. 1500.
StatusPublished
Cited by12 cases

This text of 35 S.W. 733 (Cleburne Water, Ice & Lighting Co. v. City of Cleburne) 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
Cleburne Water, Ice & Lighting Co. v. City of Cleburne, 35 S.W. 733, 13 Tex. Civ. App. 141, 1896 Tex. App. LEXIS 30 (Tex. Ct. App. 1896).

Opinion

RAINEY, Associate Justice.

— The conclusions of fact as found by the court below, we find from the evidence to be correct, and the same are adopted as the conclusions of this court.

Opinion. — This is a suit by injunction, brought by the city of Cleburne, appellee, to enjoin the Cleburne Water, Ice and Lighting Company from charging the city and citizens of Cleburne a higher rate for water than the Bell system of rates, which" rates it is alleged the said company, by contract, is only authorized to charge. The appellant’s contention, in effect, is .that under the contract it is' not bound by the Bell rates, and that the same are confiscatory and unreasonable. That it is entitled to charge reasonable rates, and that the rates’fixed by it are reasonable and just. The case was tried by the court without a jury, and judgment rendered for the city.

Appellant presents twenty-nine assignments of error, fourteen of which complain of the action of the court in overruling special demurrers to the petition. Some of the demurrers should have been sustained by the court, as some of the allegations were of such a character as to constitute no basis for a recovery.

But, notwithstanding these defects, there were suificient allegations to constitute a good cause of action. Such allegations, in effect, were that there was a contract existing by which appellant was bound to supply the city of Cleburne and the inhabitants thereof with water at a specified rate; that a higher rate was demanded by appellant than authorized by said contract; that appellant was threatening to violate said contract by cutting off the supply of water, if said demand was not complied with, etc. As enough was alleged to constitute a good cause of action, and the cause having been tried by the court without the intervention of a jury, the failure to sustain the demurrers was not such error as requires the reversal of the judgment.

Some of the assignments relate to the admission of evidence, which we . deem it unnecessary to discuss, as it is evident the same had no controlling influence in the decision of the cause.

There are only three controlling issues raised, and those are: 1. Has the city the right to maintain this action? 2. If so, is it entitled to an injunction? 3. Do the terms of the contract bind said company to the Bell rates?

I. These we will consider in the order named. Has the city the right to maintain- this action? The principle arising under this propo *143 sition is fully and ably discussed by Justice Brown of our Supreme Court in the case of House v. Houston Waterworks Company, 31 S. W. Hep., 179. That ¡was a case where a' citizen of the city of Houston sought to recover of the waterworks company the value of property burned, the allegation of plaintiff’s petition being, in substance, that the said company had failed to furnish water for the extinguishment of fires, as it had contracted to do with the city of Houston. The contract made with the city of Houston provided for the supplying of water to said city “for extinguishing fires, and for the protection of property of the inhabitants of said city,” also that water should be furnished to private consumers at specified rates.

In these particulars that contract is substantially the same as the one here under consideration. In discussing the right of the individual citizen to sue for a breach of that contract, the court said: “There is no part of the contract which will justify the conclusion that the water company or the city contemplated that the water company should assume any duty to the citizens in the performance of this contract. Neither party contemplated that the water company should be obligated to the citizen.”

In that case, as here, it was contended that the city in making the contract acted for the public, and for the benefit of the citizens, which made the performance thereof a public duty; hence, the citizen, and not the city, had the right to sue for a breach thereof. In discussing this point in the case above quoted, the court said: “It is true the city acted for the public just as every city does in every act it performs, and each citizen was in a sense interested and to be. benefited just as from the performance of any work for the city. But no citizen had such an interest as would give him a right of action for its breach, unless it was a public duty.”

We think it clear from the foregoing that no public duty was imposed upon the appellant by the contract with the city, nor did any contractual relations exist between the appellant and the citizens of Cleburne that would give them the right to recover for a breach of the contract. It follows, we think, that as the city had undertaken to supply the citizens with water, and having contracted with appellant to perform that undertaking, and as the citizens could not sue, the city had the right to sue to enforce the performance thereof. The city not only had the right to sue to enforce the contract, but it was its duty to see that the contract was enforced, and the rights of the citizens protected thereunder.

2. The right of the city to an injunction is questioned; the contention being that there is an adequate and complete remedy at law.

It is a well settled rule of equity that, “if in an action at law the plaintiff can obtain full and adequate relief, a suit in equity for an injunction cannot be maintained by him.” 10 Am. & Eng. Encyl. Law, 792: On the other hand, it is also a well settled rule “That, although the action at law will lie, yet if there is utter uncertainty in any calcula* *144 tian of damages from the breach of the covenants, and the measure of damages is largely conjectural, equity will intervene because of the inadequacy of the remedy.” Wilkinson v. Colley, 30 Atl. Rep., 286.

The appellant had charged the citizens higher rates for water than the Bell rates provided for in the contract, and in the event of refusal to pay the higher rates, it would have cut off the supply of water. Had the supply been cut off, the citizens would have been damaged and no remedy existed therefor. In such a contingency, there is “utter uncertainty in any calculation of damages from the breach of the covenants, and the measure of damages is largely conjectural,” and no full and complete relief could have been obtained in an action at law. The equitable proceeding by injunction, under the facts and circumstances of this case, in our opinion, was the only adequate remedy. School District v. Gas Co., 25 Atl. Rep., 868; Winfield v. Water Co., 32 Pac. Rep., 663.

3. Do the terms of the contract bind said company to the Bell rates? The wording of that part of the contract that raises this issue is as follows: “The said S. E. Moss proposes to charge consumers of water the same rates as are now .charged at Waco, Texas, by the Bell system of waterworks, or such other reasonable rates as from time to time shall be fixed by the city council of the city of Cleburne. It being expressly understood that the limits of said rates shall not be less than is allowed by cities of like size and population in this State.”

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35 S.W. 733, 13 Tex. Civ. App. 141, 1896 Tex. App. LEXIS 30, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cleburne-water-ice-lighting-co-v-city-of-cleburne-texapp-1896.