Delaware Liquor Store, Inc. v. Mayor & Council of Wilmington

75 A.2d 272, 45 Del. 461, 6 Terry 461, 1950 Del. Super. LEXIS 158
Superior Court of Delaware·Decided August 17, 1950·No. 550·Published·Cited by 11 cases

Opinion

Terry, J.

A municipal corporation has a dual character, and, as such, performs a dual function. In its first aspect it is governmental, public or legislative. In its second it is corporate, private, ministerial or proprietary. 1 Dillon, Municipal Corporations, 5th Ed., Page 181; McQuillen, Municipal Corporations, 2d Ed., Page 758; City of Seattle v. Stirrat, 55 Wash. 560, 104 P. 834, 24 L. R. A. (N. S.) 1275; 63 C. J. S., Municipal Corporations, § 757 (b); 38 Am. Jur., Municipal Corporations, Sec. 572.

The Courts of this country have with practical unanimity declared that a municipal corporation engaged in the performance of a governmental or public function, in the absence of statute, is not liable for injuries or damages occasioned by the negligent or wrongful acts of its officers, agents or employees. Mardis v. City of Des Moines, Iawo, 34 N. W. 2d 620; Richardson v. Hannibal, 330 Mo. 398, 50 S. W. 2d 648, 84 A. L. R. 508; Bradley v. City of Oskaloosa, 193 Iowa 1072, 188 N. W. 896; Hafford v. New Bedford, 16 Gray 297, 82 Mass. 297; Dargan v. Mayor etc. of Mobile, 31 Ala. 469, 70 Am. Dec. 505; Hagerman *466 v. City of Seattle, 189 Wash. 694, 66 P. 2d 1152, 110 A. L. R. 1110; 38 Am. Jur., Municipal Corporations, Sec. 572; 63 C. J. S., Municipal Corporations, § 757 (b).

Several reasons have been advanced for the immunity granted to municipal corporations when acting in a governmental capacity: (1) “The State is sovereign and the municipality is its governmental agency; since the State may not be sued without its consent its agent cannot be.” (2) “The municipality derives no pecuniary benefit from the exercise of a public function.” (3) “Members of municipal departments in the exercise of governmental functions are agents of the State and not of the City and hence the doctrine respondeat superior has no application.” (4) “It is necessary for the proper performance of governmental functions that a municipal corporation should not be liable for the negligence of its agents or employees.” (5) “Taxes raised for specific governmental purposes should not be permitted to be diverted to the payment of damage claims.”

Writers of monographs and comments have criticized the logic underlying the above reasons. 34 Yale Law Journal, Pages 1-45, 129, 143, 229-258; 36 Yale Law Journal, Pages 1-41, 759, 1039-1100; 20 Columbia Law Review, Pages 34, 772; Harvard Law Review, Page 66.

The underlying test in distinguishing governmental functions from corporate functions, and, consequently, in determining the liability or nonliability of a municipality for the torts of its officers, agents or employees, is whether the act performed is for the special benefit of the corporate entity or for the common good of all; that is, for the public. Thus, if the damaging action or the negligence of the officers, agents or employees arises in the execution of a duty which is for the exclusive benefit of the municipality, the municipality is liable, but, if the duty in whole or in part is one imposed upon the munici- *467 polity as a public instrumentality of the State, the municipality is not liable. 63 C. J. S., Municipal Corporations, § 757 (2); Hagerman v. City of Seattle, 189 Wash. 694, 66 P. 2d 1152, 110 A. L. R. 1110; 38 Am. Jur., Municipal Corporations, Sec. 572.

Having stated the general rule pertaining to liability or non-liability of a municipal corporation in cases involving corporate or private duties as distinguished from governmental or public duties, I now reach the somewhat difficult problem that arises in many cases; that is, whether the act complained of as being negligent or wrongful was performed by the municipality in the exercise of its corporate or private power, or in the exercise of its governmental or public power.

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Delaware Liquor Store, Inc. v. Mayor & Council of Wilmington, 75 A.2d 272, 45 Del. 461, 6 Terry 461, 1950 Del. Super. LEXIS 158 (Del. Ct. App. 1950).

75 A.2d 272 (Delaware Liquor Store, Inc. v. Mayor & Council of Wilmington) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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