Dalzell, Gilmore & Leighton Co. v. Findlay

3 Ohio Cir. Dec. 214
CourtPaulding Circuit Court
DecidedMarch 15, 1891
StatusPublished

This text of 3 Ohio Cir. Dec. 214 (Dalzell, Gilmore & Leighton Co. v. Findlay) is published on Counsel Stack Legal Research, covering Paulding Circuit Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dalzell, Gilmore & Leighton Co. v. Findlay, 3 Ohio Cir. Dec. 214 (Ohio Super. Ct. 1891).

Opinion

MOORE, J.

This action, like the one just disposed of, the Bellaire Goblet Co. v. City of Findlay, ante, 205, is brought to enjoin the defendants from shutting off the gas supply from the plaintiff’s manufactory.

In many of the facts the case is similar to the one named, and in some is to be distinguished from that.

The pleadings, especially the answer, are too voluminous to gather from them the various matters set up, but I will content myself with a very brief statement of the facts that appear to be material and necessary for a proper disposition of the case.

The plaintiff is a corporation engaged in the manufacture of glassware, having its plant located in the city of Findlay. The city of Findlay is a municipal corporation with a board of gas trustees composed of five persons.

Whether it is a city of the third or fourth grade, second class, is immaterial in this case.

[215]*215The city of Findlay owns and controls by its duly constituted authorities a natural _ .gas plant to supply its citizens with light and heat. That for such purpose it owns real' estate, has leased, gas lands, sunk wells, laid pipes, and done all acts necessary to fully operate such plant. That prior to the time mentioned in the petition of the plaintiff, December i, 1800, the city furnished gas to the plaintiff and other manufacturers at merely a nominal price — to the plaintiff for $100 per year, payable monthly. That at the date named the city raised the price of gas to the plaintiff, and also to the other manufacturers. That the'amount required to be paid by the plaintiff after such time is $6,727.44 per year, and •served notice on the plaintiff that unless paid m monthly installments, the first by December 26, 1890, the supply of gas would be shut off.

That prior to April, 1888. the "Wyoming Syndicate.” composed of E. T. Dunn, J. H. McConica, John W Harper, W. B. Ely and Jos. Ramsay, Jr., owned a large tract of .land in what is termed North Findlay, and desiring to sell lots, increase the value, etc., in -other words create a “boom,” the parties named agreed with the plaintiff that if they would erect a glass manufactory they would furnish the gas free of cost for the term of five years; the plaintiff was also to receive some $10,000 to $15,000 in money, a number of lots free of costs — other conditions existed in the contract which are not material. The ,gas was to be furnished from a well upon the Howard addition, and other wells were to be drilled in if this was not sufficient.

The glass works was built as contracted, and gas furnished as contemplated, for a time. Other factories, to-wit: The Bellaire Goblet Co., the Model Flint Glass Co., and the Findlay Pot Co. were attached to the same wells, and also to another called the Heck well, belonging to the same syndicate — the Howard well not being of sufficient capacity to furnish all the gas required.

On December 14, 1888, on application of the Bellaire Goblet Co. and also the plaintiff, the city pipe lines were attached to their manufactories. The amount of gas furnished in this way, however, is very indefinitely proved.

On May 17, 1889, the following proceedings were had by the gas trustees, as appears from the minutes in evidence:

“Mr. E. T. Dunn offered the following proposition: That they would deed to the city the Harper and Howard wells and the end of the lots on which they are situated, together with one and five-eighths miles of four-inch pipe, provided the city will furnish sufficient gas to operate the Dalzell Glass Works, Model Flint Glass Works, Findlay Clay Pot Co., and the Bellaire Goblet Works, for 5250 per annum.

May 21, 1889, moved by Mr. Gorby, seconded by Mr. Mills, that the following resolution be adopted:

Resolved, That the city supply the pot works as now constituted for the sum of $60 per year, and the Dalzell Glass Works as now constituted for $100 per year, for five years, provided the city has sufficient supply of gas to meet their requirements, and provided that the Harper and Howard wells, together with the valve and pipe lines leading to the .above works, are deeded to the city.

Yeas: Carrothers, Gorby, Hull, Mills, McManness. Carried.

On July 29, a deed was duly made and executed for the Howard wells, also including the pipe line leading from the wells, with right of way. The deed so made has as grantors, William Henry Davis, Jasper G. Hull, Mary J. Hull, Elijah T. Dunn and Martha J. Dunn.

This deed was delivered for record on August 13, 1889.

Jasper G. Hull, one of the grantors in the deed, had an interest in and was one of the trustees of the syndicate. He was one of the gas trustees for the city.

W. A. Gorby was. largely inteiested in and secretary of the Bellaire Goblet Co., and was also one of the gas trustees for the city of Findlay.

The pressure of the Howard wells had largely diminished, and they were, soon after having been conveyed to the city, abandoned by taking up the pipe line that connected them with the factories. This was done by the gas trustees, and the pipes were used elsewhere. The city, through the action of its gas trustees, has continued to furnish gas to the plaintiff and the other factories named in the resolution of May 21.

The gas furnished the plaintiff by the city is of as much value, or more, than was sought to be charged for it by the action of the gas trustees to take effect December 1, 1890.

I have now stated all the facts necessary to raise the question which distinguishes this case from that of the Bellaire Goblet Co. v. City of Findlay, ante, 205, disposed of by Judge Seney.

x. Is the city of Findlay bound by the contract made by the gas trustees with E. T. Dunn et al., under which the Howard wells were conveyed to the city in consideration that the plaintiff and others would be furnished gas to supply their manufactories for the term of five years?

2. Tf not bound under the contract has it. the city, so ratified such contract [216]*216as to be estopped from denying its liability under it, and the right of the plaintiff from having it enforced?

We are of opinion that both these propositions are to be answered in the negative.

Municipal corporations possess, in their public capacity, such powers only as are expressly granted by statute, and such as may be implied as essential to carry into„effect those which are expressly granted.

These powers must be exercised by the body appointed by statute, and usually by the council.

If the city is to be bound by the contract under consideration, it is because of the acts of the gas trustees.

•Sec. 2486 Rev. Stat. provides that the council of any city or village shall have power, whenever it may be deemed expedient and for the public good, to erect gas works at the expense of the corporation, or to purchase any gas works already erected therein. This and sec. 2489 are to be construed together.

The last named section provides that the board of gas trustees may construct.

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Bluebook (online)
3 Ohio Cir. Dec. 214, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dalzell-gilmore-leighton-co-v-findlay-ohcirctpaulding-1891.