Holbrook v. Toledo (City)

18 Ohio C.C. Dec. 284, 8 Ohio C.C. (n.s.) 31
CourtLucas Circuit Court
DecidedMarch 31, 1906
StatusPublished

This text of 18 Ohio C.C. Dec. 284 (Holbrook v. Toledo (City)) is published on Counsel Stack Legal Research, covering Lucas Circuit Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Holbrook v. Toledo (City), 18 Ohio C.C. Dec. 284, 8 Ohio C.C. (n.s.) 31 (Ohio Super. Ct. 1906).

Opinion

WILDMAN, J.

This is a case calling, perhaps, for the application of some of the principles which have been announced in the case of Yaryan v. Toledo, 28 O. C. C. 259, just decided by this court. The case before us, however, involves the additional and interesting question as to whether the city in calling for bids for a street improvement — in this case a pavement — may advertise for and accept a construction, the materials entering into which or the method and proportions of assembling which, are covered by letters patent.

The petition in this ease, while in no way alleging or suggesting any corrupt intent on the part of either the city officials or the contractor to [285]*285whom the contract has been let — The defendant Streieher — contends that the letting of the bid and the making of the contract are an infraction of the spirit of the law which provides for competitive bidding.

It is urged that to permit a proffer of an improvement the right to make which and dispose of it to the city inheres in some individual or company, deprives all other persons of an opportunity for legitimate competition and deprives the city of the benefit ■of such competition. The case is before us on appeal and was submitted upon a demurrer to this petition, the demurrer alleging that the petition fails to set forth facts stating a cause of action. After the formal aver-ments of the petition, which I need not read, and in which proceedings ■are for the alleged improvement of Spielbusch avenue, in this city, and ■Cherry street market place, for, it is alleged that the bid of one Henry Streieher was accepted and an agreement entered into therefor; that said agreement is void “and involves a misapplication of the funds of said •city and an abuse of its corporate powers” for the reason that the specifications for the construction of said improvement call for Warren’s bitulithic pavement exclusively, and that certain elements entering into said pavement are covered by letters patent issued by the United States government to the Warren Brothers Company, a corporation; “that the machinery and appliances for laying said pavement, and the process •of mixing the material used in said pavement are also covered by letters patent issued by the United States government; that all of these patents are owned exclusively by said Warren Brothers Company, and by reason thereof no-person can make use of any of the machinery, appliances, methods or materials so covered by said letters patent save and except upon the consent of said Warren Brothers Company to such use upon such terms as the said Warren Brothers Company may see fit to exact, by reason whereof there could not be- and was not such competitive bidding for the improvement of said avenue and market place as is contemplated by the laws of the state of Ohio; that the city of Toledo had not, before said bids were received or before said agreement was executed, acquired the right to secure, at a reasonable cost, the right of said patents or any of them, with respect to said improvement, for any successful bidder for the work, and the bidders were not placed by said city, in that respect, on substantially equal terms; that while the said notice to contractors called for bids on various kinds of pavement, the said board of public service expressly reserved the right to reject any and all bids for such kinds of pavement as were open to equal and fair competition and accept the bid of said Henry Streieher for the only [286]*286kind of pavement which was controlled exclusively, by said Warren Brothers Company and permitted no competition.”

Again it is alleged “that said specifications called for the use of a. patented and monopolized material and process, owned and controlled exclusively by Warren Brothers Company, which tended to stifle competition among bidders on said improvement and to prevent the letting-of said contract to the lowest and best bidder as required by the laws of this state.”

Upon the basis of these and some other alleged facts incidental thereto, the plaintiff prays for an injunction to restrain the defendants and each of them (the defendants named other than the said eity and said Streicher being members of the board of public service of the city of Toledo) “from taking any steps or performing any act under the terms of the agreement hereinabove set forth, and enjoining the said ■Henry P. Streicher from commencing or doing any work whatever upon said Spielbusch avenue and Cherry street market place, under said agreement” and further praying “that upon final hearing the. said agreement for said improvement may be declared to be null and void and the defendants and each of them perpetually enjoined from,performing or attempting to perform the same, and for. such other relief as may be proper and equitable in the premises. ”

The. question primarily involved is almost a novel one in Ohio. It has not been expressly passed upon in any adjudication which has been called to our attention, or which by considerable research we have been able to find. It has been made a matter of dictum in,three cases at least in the state, but in no one of these eases does the question seem to have been discussed or is it expressly decided. The case of Hastings v. Columbus, 42 Ohio St. 585, does not decide it. There the city, prior to the advertising for bids, had acquired the right to the use of a patent, and the Supreme Court was not called upon to determine what would have been the effect of an attempt to construct such a pavement after the advertising for bids and the letting of a contract without having previously acquired such right, and the point decided by the court -which bears even incidentally upon the question at bar, is made the subject of but brief mention and without any special, discussion of the principle. The language on the subject is found in a paragraph on page 595. I will not read it. '

In Polhamus v. Board of Ed. 11 Circ. Dec. 366 (21 R. 257), Judge Laubie furnishes us with a dictum indicating his opinion that a city would not have a right to accept a contract for a patented improvement. But in so .expressing his individual opinion he uses phraseology almost [287]*287conveying the 'impression that had the question been one involved in the case, the decision would have been adverse to the opinion expressed by him, by reason of lack of accord with his views entertained by the other members of 'the court. This fact is not so clearly indicated by him, however, that it is well to place much emphasis upon it.

In a case decided by our own court, State v. Toledo Bd. of Ed. 7 Circ. Dec. 338 (14 R. 15), we have a somewhat emphatic expression by Judge King of his judgment that our law does not prohibit the advertising for the use of a patented invention for the heating and ventilating of public structures. While, as in these other cases, the question here was not directly involved, I may delay for a moment to invite attention to some of his language) merely because it is the language of a, former judge of our own court. The proceeding was one for mandamus,, brought by the Bryce Furnace Cb. to compel the letting of a contract to that company. The city had accepted a bid made by the Smead Furnace & Foundry Co., and was about to award a contract to that' company, but the Bryce Furnace Company claimed that it was the lowest and best bidder and was insisting that the contract should be let to it. On page 341, Judge King says:

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Bluebook (online)
18 Ohio C.C. Dec. 284, 8 Ohio C.C. (n.s.) 31, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holbrook-v-toledo-city-ohcirctlucas-1906.