Clover Meadow Creamery Co. v. National Dairy Products Co.

17 Ohio Law. Abs. 231, 1934 Ohio Misc. LEXIS 1294
CourtOhio Court of Appeals
DecidedMarch 26, 1934
StatusPublished
Cited by1 cases

This text of 17 Ohio Law. Abs. 231 (Clover Meadow Creamery Co. v. National Dairy Products Co.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Clover Meadow Creamery Co. v. National Dairy Products Co., 17 Ohio Law. Abs. 231, 1934 Ohio Misc. LEXIS 1294 (Ohio Ct. App. 1934).

Opinion

[233]*233OPINION

By LIEGHLEY, PJ.

Construing all the alleged violations charged in the petition and all the activities restrained by the trial court in the light most favorable to the plaintiffs, the defendants nevertheless claim that the Burke Act enacted by the Legislature of Ohio and known as the Ohio Milk Marketing Act, §§1080-1, 1080-23, GC, effective June 22, 1933, is all-inclusive of. the entire subject matter of this litigation in all its phases, and that each and every act complained of as unlawful by the provisions of this milk act have been made lawful and legal. It is claimed and asserted that now there remains no issue to be tried by this court and that this court no longer has jurisdiction to make any order upon any issue made by the pleadings affecting any substantial right of the parties herein, for the reason that the petition does not now. charge the-commission of a single act now unlawful.

The claims of the parties make it necessary to refer to §§1080-1, 1080-23, GC to ascertain some idea of the scope of the milk industry thereby placed under state control.

Thd reasons and purposes which inspired this legislation are fully set forth in §2 in detail. Also, reasons are briefly recited in §24 for declaring the legislation an emergency. With the exception noted in the act the entire milk industry of the state is stamped with a public interest. The initial sentence of §2 reads:

“The production, processing, distribution and sale of milk in this state as a whole, and each of said activities or operations, separately, is hereby declared to be a business charged with a public interest.”

Complete control and supervision with, plenary powers over the milk industry is authorized by §5. Unlimited powers of investigation, policing, examination and surveillance of the business of each and every one licensed to engage in the milk business is expressly granted to the Milk Marketing-Commission. All must make application for and be granted a license to engage in the business (§7). Whoever engages in business without a license or willfully disobeys an order of the. commission, is guilty of a misdemeanor and punishable (§6). It is declared to be lawful for two or more persons, partnerships or corporations engaged in the production, distribution and sale of milk to meet and agree on prices, trade practices, classes of milk and rules and regulations for the industry, to the end that fair prices may be established, improper trade practices eliminated and unfair competition abolished, subject to the approval of' the Milk Marketing Commission (§16).

With all of these things appertaining- to the production and marketing of milk for food uses now made lawful by this Act, with what are these defendants charged that can be said to be not included and covered by the provisions of this Act? Is there any activity on the part of the defendants charged by plaintiffs to be unlawful that is not now transferred to the dominant control of the commission? It is our opinion and judgment that all parties hereto and all issues involved herein are subject to state control in pursuance of and in accordance with the terms of the Milk Act.

Carlin v Hines, 107 Oh St 328; Transfer Co. v Railway, 288 U. S. 469; U. S. Navigation Co. v Cunard Steamship Co., 284 U. S. 474.

If the plaintiffs now have any grievance in respect to any act complained of or enjoined, their remedy is by way of complaint and appeal tq j;he duly constituted authori[234]*234ties provided for in the Act. If not licensed, there can be no ground of complaint by one not licensed. If licensed, co-operation seems to be the ultimate aim for che common good of all.' The commission is clothed with plenary powers to enforce and attain this end. For any continuation or repetition of the acts or practices by the defendants with which they are charged or were enjoined, the commission is now clothed with power and armed with the means to discipline any and all rebellious and non-conforming licensees.

It is claimed by plaintiffs that the allegations of the petition are broader than the Valentine Anti-Trust Act (§639(1 et seq, GC).

It is claimed' that the defendants were combining and performing by unlawful means and methods certain acts in violation of common law not expressly comprehended within the scope of the Burke Act. It is our opinion that the initial language of §16 answers these claims. “Anything in the common or statute law of this state to. the contrary notwithstanding, it shall be lawful;” etc. , This provision, coupled with the acts made lawful by the balance of this section, makes these claims untenable, if the Act be constitutional in all respects.

During the oral hearing of this case the constitutionality of this Ohio Milk Act was challenged, but it was suggested that the decision of this question in this court should await and would probably be determined by the decision of the Supreme Court of the United States in a case1 then pending involving the constitutionality of the so-called Milk Act of the state of New York.

We have examined and to some extent compared the New York Act and the Ohio Act. While there is some difference in phraseology, details and methods, the purposes, the ultimate aims, the supervisory control and scope of the industry taken over by the state are substantially the same.

In the case of People v Nebbia, 262 N. Y. 259, 186 NE 694, the accused was convicted in the lower court of violating an order of the Milk Control Board. This conviction was reviewed by the..Court of Appeals of New York in the case above cited, in which the constitutionality of the New York Milk Act was questioned, and its constitutionality sustained. This decision of the New York Court of Appeals was reviewed by the Supreme Court of the United States, under the title of Leo Nebbia v People of the State - of New York, decided March 5, 1934„ .and the decision affirmed and the constitutionality of that act sustained.

With these facts and this law before us, the constitutionality of the Burke Act must be sustained by us.

So that, holding these views, the basis for any present judicial action in this pending case has been removed by legislative enactment. Unless extended, this Milk Act expires July 1, 1935 (§23). Any order issued herein could have no legal effect- until thereafter, and not then if the- Act is extended. The injunction granted below now in fact restrains nothing as all the acts enjoined are now under state Control and supervision and will continue to be so long as the Act is in effect. And, by the appeal the cause was transferred to this court for trial de novo. Barnes v Christy, 102 Oh St, 160.

Trial de novo means trial in the same manner as though no trial had theretofore been had. A trial hereof would necessarily be conducted in reference to the state of the law at the time of trial and not controlled by what it was a year or two ago. Obviously, any order of this court as a result of a trial could only operate in the future and the decision could only be grounded and sustained by the law now in force. American Steel Foundries v Tri-State Council et, 257 U. S. 184; Texas Co.

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133 N.E.2d 633 (Ohio Court of Appeals, 1955)

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Bluebook (online)
17 Ohio Law. Abs. 231, 1934 Ohio Misc. LEXIS 1294, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clover-meadow-creamery-co-v-national-dairy-products-co-ohioctapp-1934.