Detroit & Toledo Shore Line Railroad v. Campbell

103 N.W. 856, 140 Mich. 384, 1905 Mich. LEXIS 578
CourtMichigan Supreme Court
DecidedJune 8, 1905
DocketDocket No. 13
StatusPublished
Cited by24 cases

This text of 103 N.W. 856 (Detroit & Toledo Shore Line Railroad v. Campbell) is published on Counsel Stack Legal Research, covering Michigan Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Detroit & Toledo Shore Line Railroad v. Campbell, 103 N.W. 856, 140 Mich. 384, 1905 Mich. LEXIS 578 (Mich. 1905).

Opinion

Hooker, J.

The Detroit & Toledo Shore Line Railroad Company, being completed from Toledo to Trenton, let a contract to Strang to obtain for it the necessary right of way and construct the remainder of its projected railway from Trenton to Detroit; authorizing Strang to take the necessary steps in its name to condemn lands necessary for the purpose. Proceedings to condemn a right of way across many parcels of lands were instituted by Strang, a jury was impaneled, and awards made. The defendants named in this record have appealed.

The questions raised may be divided into three classes:

(1) Those raised to the jurisdiction of the court to submit the cause to a jury.

(2) Alleged errors in the admission or exclusion of evb dence before the jury.

(3) Objections to the order of confirmation.

Upon the presentation of the petition the defendants answered, raising a number of questions relating to the jurisdiction of the court, to submit the matter to a jury, and a hearing was had and proofs were taken upon the issues thus raised. It was contended:

1. That this was not a proceeding by the railroad company, but by and for the benefit of a private person, and that such had no authority to institute the proceedings. The evidence upon which this was based tended to show, as hereinbefore stated, that Strang was under contract obligations to perform the service of securing the right of way, including payment for the same, and to construct the road, for which he was to receive an agreed sum in payment. He was authorized to use the company’s name in condemnation proceedings where necessary, and instituted these proceedings in its name after failing in an attempt to obtain the right of way by purchase.

The right to the benefit of the law of eminent domain inures to railroad companies by virtue of the. statute which confers powers upon the railroad companies similar to those used by highway authorities. These powers are sustained upon the theory that railroads are public high[387]*387ways, in a sense, and that the public may condemn lands for railways, and that it is lawful to delegate the power to the railroad companies for the use of the public; i. e., the power is “ delegated to a public agent to work out a public use.” See Swan v. Williams, 2 Mich. 435; Michigan Central R. Co. v. Ward, 2 Mich. 547; Consumers’ Gas Trust Co. v. Harless, 131 Ind. 450 (15 L. R. A. 507); Venable v. Railway Co., 112 Mo. 119 (18 L. R. A. 73); Gano v. Railroad Co., 114 Iowa, 721 (55 L. R. A. 267); Township of Pine Grove v. Talcott, 19 Wall. (U. S.) 676; Taylor v. Ypsilanti, 105 U. S. 64. That a corporation must in all things work through individuals who act as agents is obvious, and it is not necessary that it limit such agents to its officers or stockholders. It may employ an attorney to act for it, or it may choose a layman, so long as he is to act as the representative of the company and for its benefit. Strang acted for the company in procuring the right of way from the owners. Presumably the land required was designated by the company, and Strang was expected to procure it, not for his own, but the railroad’s, use. We do not see a reason for denying the railroad the right to acquire a right of way by condemnation merely because it had a contract with Strang to take the necessary steps to condemn the land for and in the name of the railroad, or that the authority of the raib road was affected by the terms agreed upon between them as to how he should be paid for his services and disbursements.

In the case of Ten Broeck v. Sherrill, 71 N. Y. 276, it was held that the authority given to canal commissioners by statute to take lands from which to obtain gravel for repairsof the canal was notimpaired by the fact that the State had let the work by contract, or that the contractor was to furnish the materials. It was said that this was a question between the State and the contractor, and did not affect the power of the canal commissioners. A similar holding is found in the case of Bliss v. Hosmer, 15 Ohio, 44 See, also, State v. Mayor, etc., of Newark, [388]*38854 N. J. Law, 62. Several cases are cited by counsel which, hold that although the railroad company may lease the road, even though it be for the full period of its charter rights, the authority to condemn property is not lost, and proceedings may be taken in its name. In re New York, etc., R. Co., 35 Hun (N. Y.), 225, 99 N. Y. 20, following Kip v. Railroad Co., 67 N. Y. 227; Chicago, etc., R. Co. v. Illinois Cent. R. Co., 113 Ill. 156.

We must hold, therefore, that the arrangement made with Strang did not divest the petitioner of its power to condemn land, and that the institution of the proceedings by Strang was upon its behalf.

2. It was urged that the proceedings were void for the reason that the road was, at the time they were instituted, in the hands of a receiver appointed by the Federal court at Detroit, who, if any one, had the exclusive authority to institute such proceedings. As a foundation for this point, it was shown that a judgment had been rendered against the railroad company by the Federal court at Detroit in favor of Henry A. Everett; that a creditors’ bill had been filed and a receiver appointed in 1902, who had not been discharged at the time the petition in this proceeding was filed, though he has been since. The gist of this objection we understand to be that the appointment of the receiver divested the company of the power granted it by the State, and gave it to the receiver, or, if not, that it suspended its power to act while its property was in the custody of the court.

We have said that the reeceiver was appointed upon a creditors’ bill, which, of course, sought to apply the property of the defendant to the judgment owned by Everett. We have not before as the proceedings in that case. All that our attention is called to is the order appointing the receiver, which provides that:

“On reading and filing the bill of complaint and the answer of the defendant in this cause, and on motion of Brennan, Donnelly & Yan De Mark, solicitors for the complainant, with the consent of Mr. Guy M. Walker, [389]*389solicitor for the defendant, it is ordered, adjudged, and' decreed that Allen F. Edwards be, and he is hereby, appointed temporary receiver, until the further order of this court, of all the property, real and personal and mixed, of every kind, belonging or in the possession of the defendant railroad company, and, if necessary, to sue for, in the name of said receiver, and recover, all such property, whether in possession or in action, and that, upon demand made by said receiver, the defendant company, its officers and agents, shall forthwith deliver over to the receiver all of the aforesaid property, and that neither said company, nor any officers or agent or employe of said company, shall interfere with or molest the possession or enjoyment of any of said property in the possession of such receiver by said receiver.

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Bluebook (online)
103 N.W. 856, 140 Mich. 384, 1905 Mich. LEXIS 578, Counsel Stack Legal Research, https://law.counselstack.com/opinion/detroit-toledo-shore-line-railroad-v-campbell-mich-1905.