Flynn v. Little Falls Electric & Water Co.

77 N.W. 38, 74 Minn. 180, 1898 Minn. LEXIS 893
CourtSupreme Court of Minnesota
DecidedNovember 14, 1898
DocketNos. 10,909—(4)
StatusPublished
Cited by34 cases

This text of 77 N.W. 38 (Flynn v. Little Falls Electric & Water Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Flynn v. Little Falls Electric & Water Co., 77 N.W. 38, 74 Minn. 180, 1898 Minn. LEXIS 893 (Mich. 1898).

Opinion

MITCHELL, J.

The present city of Little Falls was organized first as a village (Sp. Laws 1879, c. 6), with the power to establish such regulations for the prevention and extinguishment of fires as it might deem expedient, and afterwards as a city (Sp. Laws 1889, c. 8), with power to erect waterworks for the supply of water to the city and its inhabitants, or to grant to third parties the right to erect waterworks -for the same purpose, and to lay water pipes and mains in the streets of the city, in accordance with such terms and conditions as might be agreed upon. In January, 1889, the village council passed an ordinance, which, as subsequently amended by the common council of the city, granted to certain persons, their successors or assigns, for 30 years, the privilege of laying water pipes and mains in the streets of the city on the following, among other, terms and conditions:

The grantees or their successors were within two years to have waterworks of a specified extent, capacity and power constructed and ready for use, and to connect a specified number of fire hydrants with the water mains; the common council to have thereafter the right to order an extension of the mains along other streets which could be reached by a continuance of existing mains; the water company to put in fire hydrants at specified distances along such extensions, and to supply water at established rates to the inhabitants along the streets where the pipes were extended. The grantees were to maintain the mains ' and hydrants ready for use for fire protection and operate the waterworks, after their completion, for the full term of 30 years. For the use of these hydrants (which proved to be 55 in number) the city was to pay $80 each per year for the full term of 30 years. The city was to have the right to take from the mains water to supply all buildings occupied by it for public purposes. The water [184]*184company was to furnish the city until March 1, 1914, with 12 other hydrants (in addition to the 55), and in consideration therefor the city was to pay all taxes assessed for city purposes on the waterworks during the 30 years, and give to the company the use of certain water power owned by the city.

The ordinance provided for its acceptance by the grantees within 60 days, upon which it should constitute a contract between the parties, which should not be altered or amended except by mutual consent. The grantees assigned all their rights and privileges under the ordinance to the defendant, the Little Falls Electric & Water Company. The ordinance was accepted by the grantees, and the waterworks were constructed and put in operation, and, presumably, in the absence of any allegation to the contrary, the water company» has complied with all the terms and conditions of the ordinance.

In addition to the foregoing facts, the complaint alleges that the needs of the city do not, never have, and will not for years, require a greater number of hydrants than 35; that $80 per hydrant per year is an unreasonable and exorbitant price, and at least $40 per hydrant per year higher than the reasonable value thereof; that the city and its officers, claiming and pretending that this ordinance is a valid and binding contract, are paying the water company $80 per year for each of the 55 hydrants, and intend to continue to do so unless restrained by court.

The plaintiff’s contention is that the ordinance, at least in so far as it assumes to obligate the city to pay this price for all these hydrants for 30 years, is void, because not within the scope of the power or authority of the village or city. Plaintiff, a resident and taxpayer of the city, brings this action, in behalf of himself and all other taxpayers, to enjoin the city and its officers from continuing to carry out the provisions of the ordinance by paying the water company $80 per year for each of the 55 hydrants. To this complaint the water company interposed a demurrer on the grounds that it did not state a cause of action, and that the plaintiff had not the legal capacity to sue. This appeal is from an order sustaining the demurrer.

[185]*1851. Whatever other relief the plaintiff may ask in his complaint, the main and primary object of this action is to prevent the illegal expenditure of public money by the municipal authorities by carrying out a contract which is illegal and void because wholly without the scope of the authority of the municipality. Of the right of the taxpayer to invoke the interposition of the courts to prevent by injunction such an illegal disposition of public money, which he, in common with other taxpayers, will be compelled to pay in the form of increased taxes, there is at this day no serious doubt. 2 Dillon, Mun. Corp. (4th Ed.) §§ 914-922, and cases cited; Sinclair v. Board of Co. Commrs., 23 Minn. 404; State v. Weld, 39 Minn. 426, 40 N. W. 561; Todd v. Rustad, 43 Minn. 500, 46 N. W. 73. According to the allegations of the complaint the city council are paying out this money, not in the exercise of their discretion as to the best method of supplying the city with water, but on the claim that the city is legally bound to pay it by a valid pre-existing contract. If this contract is wholly void, as alleged, we have no doubt that plaintiff, as a taxpayer, may maintain this action.

2. This brings us to the merits of the case,.viz.: whether it was within the scope of the authority of the village or city council, to enter into a contract in behalf of the municipality obligating it to pay $80 a year for 30 years for each of 55 fire hydrants.

The vice, if any, in this ordinance, viewed as a contract, consists mainly, if not entirely, in the length of time for which it bound the city to pay annually this sum of $4,400 for fire hydrants. The number of hydrants, the price to be paid per hydrant, and the other provisions of the ordinance, are chiefly important in so far as they bear upon the question of the power of the village or city council to bind the city for so long a period of time. We have no doubt as to their power to contract with this or any other water company with reference to furnishing the city and its inhabitants with water. And, inasmuch as it might be impossible to induce any individual or corporation to expend the necessary capital to construct waterworks in a small village or city without assurance of patronage by the municipality itself for some definite amount and time, we have no doubt of the power of the village or city council to make' a time contract with the company for supplying the city with [186]*186water for fire protection, provided the time is reasonable. And as a somewhat liberal contract in this regard might be necessary to induce men to put in waterworks at all, we would not be inclined to give any controlling weight to the mere fact that the number of hydrants contracted for was beyond the present needs of the city, or that the price agreed to be paid was somewhat greater than the value of the use of the hydrants, considered alone and by itself. But the power of municipal authorities to contract in relation to a given matter does not carry with it by implication power to make a contract, even with reference to such matter, which shall cede away, control or embarrass their legislative or governmental powers, or render the municipality unable in the future to control any municipal matter over which it has legislative power.

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Cite This Page — Counsel Stack

Bluebook (online)
77 N.W. 38, 74 Minn. 180, 1898 Minn. LEXIS 893, Counsel Stack Legal Research, https://law.counselstack.com/opinion/flynn-v-little-falls-electric-water-co-minn-1898.