Consumers Light & Power Co. v. Phipps

1926 OK 629, 251 P. 63, 120 Okla. 223, 1926 Okla. LEXIS 437
CourtSupreme Court of Oklahoma
DecidedJuly 20, 1926
Docket16769
StatusPublished
Cited by11 cases

This text of 1926 OK 629 (Consumers Light & Power Co. v. Phipps) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Consumers Light & Power Co. v. Phipps, 1926 OK 629, 251 P. 63, 120 Okla. 223, 1926 Okla. LEXIS 437 (Okla. 1926).

Opinion

Opinion by

JARMAN, C.

The parties will be referred to as they appeared in the trial court. The plaintiff, James Phipps, commenced this .action against the Consumers Light & Power Company, a corporation, to recover damages alleged to have been suffered by reason of unlawful discrimination against the plaintiff. Judgment was for the plaintiff in the sum of $656, from which the defendant brings error.

The evidence of the plaintiff discloses that during the years 1920 to 1923, he was engaged in the business of retailing ice and running a meat market at Addington; that the defendant was engaged in the business of manufacturing, selling, and distributing ice at Waurika; that the defendant furnished ice to certain consumers at Waurika, under contract, in lots of not less than 1,800 pounds at the rate i0.f 321-2 cents per hundred; that such consumers, under iheir contract, were to purchase all of their ice from the defendant and to purchase the same at regular intervals throughout the entire year, and the ice so purchased by them was noi to be retailed but to be used for the use of such customers. The plaintiff purchased ice from the defendant at Waurika, but was not obligated to purchase any given quantity of ice, nor did he agree to purchase all of his ice from the defendant nor to purchase ice for -his use only. The plaintiff, on the other hand, purchased a portion of his ice from another company at Comanche, and ice that was purchased by the plain riff from the defendant was retailed or i-esold by the plaintiff to his customers at Addington. The price paid by the plaintiff for ice purchased from the defendant was at ihe rate of 45 cents per hundred in lots of 1,800 pounds or more. All ice was delivered by the defendant to the plaintiff and other customers at its plant in Waurika. The plaintiff contended that he was entitled to recover from the defendant the difference between 45 cents per hundred and 32(4 cents per hundred, for the volume of ice purchased by him from the defendant during this period. At the conclusion of plaintiff’s evidence the defendant demurred thereto, which was overruled. • Thereupon, the defendant rested, and judgment was rendered for the plaintiff.

The first proposition urged by defendant ■is that it was engaged in a private business, and had the right to sell or to refuse to sell whomsoever it chose, and to fix different prices for sales of the same commodity to different persons. The correctness of this proposition depends on whether the defendant was engaged in a private business.

The defendant contends that, prior to the Act approved April 7, 1925, S. L. 1925, p. 226, declaring the manufacture, sale, and distribution of ice to be a public business, it was necessary that the business of the defendant be declared a “public business” by the Corporation Commission, or by a proper district court of the state, before the business of the defendant, which was the manufac-i ture, sale, ana distribution of ice, constituted a “public, business,” as provided by section 11032, C. S. 1921. No proceeding was ever had before the Corporation Commission or in any district court to subject the ice business of the defendant to the control of the Corporation Commission or the district court. We cannot agree with counsel that it was necessary that a hearing be had In the Corporation Commission or district court in order for the ice business of the defendant to be a “public business” within che purview of section 11032. Said section provides as follows :

“Whenever any business by reason of its nature * * * is such that the public must use the same, * * * or the commodities bought or sold therein are offered or taken by purchase or sale in such manner as to make it of public consequence or to affect the community at large as to supply, demand, or price, or rate thereof, * * * said business is a public business, and subject to be con-> trolled by the state, by the Corporation Commission, or by an action in any district court of the stare, as to all of its practices, prides, rates, and charges. And it is hereby declared to be the duty of any person, firm or corporation engaged in any public business, to render its services and offer its commodities, or either, upon reasonable terms without discrimination and adequately to the needs of the. public, considering the facilN ties of said business.”

It is obvious, after carefully considering the language of said- section, that it is not the subjecting of the business to control by the Corporation Commission or a district court that makes such business a “public *225 business” ; but the business must be a “public business” before it can be controlled.

As to whether a business is a “public business” depends on whether it possesses "the qualities prescribed by section 11032 — the statute defines and fixes the status of a “public business;” and the only authority vested in the Corporation Commission or district court is to regulate or control, not establish, a “public business.” A business may constitute a “public business” regardless of whether the Corporation Commission or district court was ever resorted to; but if such “public business” is to be regulated or controlled as to its practices, in'ices, rates, and charges, it would become necessary to resort to the Corporation Commission or the district court.

Was the business of the defendant a “public business” within the purview of section 11032? An element of a “public business,” as prescribed by said section, is that the business by 'its nature must be such that the public must use the same, or the commodities bought and sold in such manner as to affect the community at large as to supply, price, etc. As said by this court in the case of Oklahoma Power & Light Co. v. Corporation Commission, 96 Okla. 19, 220 Pac. 54:

“Ice is an article of common household necessity, the supply of which must ordinarily be purchased every day. * * *”

Being a household necessity, of which we will take judicial notice, ice is by its nature such a commodity that it must be used generally by the public. However, every person engaged in the ice business is not necessarily engaged in a “public business.” This question must be determined by the Saets in each particular ease. A person engaged in the manufacture, sale, and distribution of ice to a restricted number of persons, or, for illustration, where a refrigerator company should take the entire output of the plant, would not be engaged in a “public business.” A business which is private in fact cannot be made a “public business” by legislative declaration. As said by this court in the Oklahoma Light & Power Co. Case, supra:

“Bearing in mind the constitutional guarantee enjoyed by all persons, engaged in any lawful business, ultimately the determination that a business is clothed with such a public interest as to justify regulation, it cannot be said to be a matter of legislative discretion only, but ulttimately is a judicial question.”

In the instant ease, however, the defendant admits in its amended answer “that at the time referred to in the plaintiff’s perition, it (defendant) was engaged in the business of producing- and selling ice in the city of Wa-urika to those who cared to purchase the same. * * * Therefore, the defendant was engaged in a “public business” as defined by section 11032.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Opinion No. (2007)
Oklahoma Attorney General Reports, 2007
Hargrave v. Canadian Valley Electric Cooperative, Inc.
792 P.2d 50 (Supreme Court of Oklahoma, 1990)
In Re Traders Compress Company
381 F. Supp. 789 (W.D. Oklahoma, 1973)
Opinion No. 71-227 (1971) Ag
Oklahoma Attorney General Reports, 1971
Railroad Commission v. Humble Oil & Refining Co.
101 S.W.2d 614 (Court of Appeals of Texas, 1936)
Central States Power & Light Corp. v. Thompson
1936 OK 434 (Supreme Court of Oklahoma, 1936)
Russell v. Walker
1932 OK 676 (Supreme Court of Oklahoma, 1932)
New State Ice Co. v. Liebmann
285 U.S. 262 (Supreme Court, 1932)
Gulf States Utilities Co. v. State
46 S.W.2d 1018 (Court of Appeals of Texas, 1932)

Cite This Page — Counsel Stack

Bluebook (online)
1926 OK 629, 251 P. 63, 120 Okla. 223, 1926 Okla. LEXIS 437, Counsel Stack Legal Research, https://law.counselstack.com/opinion/consumers-light-power-co-v-phipps-okla-1926.