Milhau v. Sharp

17 Barb. 435, 1854 N.Y. App. Div. LEXIS 7
CourtNew York Supreme Court
DecidedJanuary 3, 1854
StatusPublished
Cited by17 cases

This text of 17 Barb. 435 (Milhau v. Sharp) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Milhau v. Sharp, 17 Barb. 435, 1854 N.Y. App. Div. LEXIS 7 (N.Y. Super. Ct. 1854).

Opinion

Harris, J.

Whether the corporation of New-York has an estate in fee, either absolute or qualified, in the streets of that city, or a mere right of way, held for the public use, is quite immaterial, for the purposes of this action. In either case, it must be conceded the corporation has the right of control over the streets. By the Dongan charter, it was invested with “full power, license and authority to establish, appoint, order and direct the establishing; making, laying out, ordering, amending and repairing of all streets, lanes, alleys, highways, &c. in and throughout the city, necessary, needful and convenient for the [438]*438inhabitants of said city, and for all travelers and passengerá there.” This power has never been withdrawn, or essentially changed. The corporation yet has the exclusive right to control and regulate the use of the streets in the city. „ In this respect, it is endowed with legislative sovereignty. The exercise of that sovereignty has no limit, so long as it is within the objects and trusts for which the power is conferred. An ordinance regulating a street is a legislative act, entirely beyond the control of the judicial power of the state. But the resolution in question is not such an act. Though it relates to a street, and véry ma^ terially affects the mode in which that street is to be used, yet) in its essential features, it is a contract. Privileges exclusive in their nature, and designed to be perpetual in their duration, are conferred. Instead of regulating the use of the street, the use itself, tó the extent specified in the resolution, is granted to the associates of the Broadway railroad. For what has been deemed an adequate consideration, the corporation has assumed to surrender a portion of their municipal authority, and has, in legal effect, agreed with the defendants that, so far as they may have occasion to u'se Broadway, for the purpose of constructing and operating their railroad, the right to regulate and control the use of that street shall not be exercised.

That the powers of the corporation may be surrendered, I do not deny ; but I "think it can only be done by authority of the legislature. Thus, it was provided by the charter of the Hudson River Railroad Company, that its railroad might be located on certain streets of the city of Hew-York, provided the assent of the corporation of the city be first obtained:” (Sess. Laws 1846, p. 274, § 4.) Authority to give such assent is implied in the act itself; and the corporation having, in pursuance of such authority, given its assent to the location of the railroad, and the railroad Company having located their road accordingly, the assent became irrevocable. The company acquired a right to the use of the streets for the purposes of its road, and, to a corresponding extent, the corporation was deprived of its power to regulate and control the use of the street. So in the case of the Harlem railroad, (Sess, Laws 1831, p. 327, § 11;) that corporation waá [439]*439authorized by the legislature to construct their road across or upon any street in the city of Hew-York, with the consent and approbation of the mayor, &c. of the city. The same provision is found in the general railroad act. (Sess. Laws 1850, p. 244, § 28, sub. 5.) It is thus that the city corporation may, to the extent contemplated by the legislature, restrict its own power to control and regulate streets. (See Drake v. The Hudson River Railroad Company, 7 Barb. 508.) But for the authority- derived from the legislature, I am unable to see how a municipal corporation can grant permission to construct a railroad upon one of its streets, which, operating as a contract, and vesting rights in the grantee which cannot be recalled, must limit the power of such corporation to manage and control the use of the streets. I think it cannot be done. It cannot be that powers vested in the corporation as an important public trust can thus be frittered away, or parceled out to individuals, or. joint stock associations, and secured to them beyond control. It was asserted by the defendants’ counsel upon the trial, that the. authority to construct a railroad, conferred upon the defendants by this resolution, may at any time be recalled. If this were so—if the resolution could be regarded as a mere revocable license-—it would relieve the case from a fatal difficulty ; for I am not prepared to say that, in the exercise of the discretionary power with which the corporation is endowed, in the management and regulation of streets, it may not authorize an individual or association to lay down a railroad track even in Broadway. But this resolution goes farther; it authorizes the associates to construct the road, and reserves no right to rescind the grant. It licenses their cars to run upon the road for ten years from the time it shall be opened, at a stipulated fee for each car; and provides that if the parties fail to agree upon the amount to be paid for licenses, at the expiration of that period the railroad, with all the equipments thereto belonging, shall be surrendered to the corporation at a fair and just valuation. Can it be that a contract containing such provisions may be rescinded at the pleasure of the corporation ?- The very contingency, upon the happening of which alone the parties seem to have contemplated [440]*440a termination of the contract, furnishes the strongest evidence that the grant was intended to be perpetual.

I agree with Mr. Justice Bosworth, that it would be an anomaly if, after the grant had been made and accepted, and the road built in every respect in conformity with the terms of such a grant as is contained in the resolution in question, the common council may rescind the grant and divest the rights acquired under it, precisely as they may order a street to be widened or extended, or repeal any police ordinance or regulation.” The same view is expressed by Mr. Justice Strong in the opinion delivered by him upon the motion for an injunction in this cause. After referring to the prominent features of the resolution, that learned judge says: Surely all these provisions indicate something more than a mere revocable license. They convey a valuable right, which, upon the performance of the primary acts required from the defendants, would vest in them, and of which they could not be deprived by a repeal of the resolution.”

Mr. Justice Duer, too, in a very able opinion recently delivered by him upon the decision of a kindred action, says: “I am yet to learn that a contract, valid when made, can be rescinded by either of the parties, unless the power of rescinding it is expressly reserved, or was given by some constitutional or statutory provision in force when the contract was made. The licenses contemplated by the resolution must, therefore, be regarded as perpetual and irrevocable. If it takes effect at all, the right of way, now vested in the corporation, so far as it is necessary for the purposes of the defendants, will become vested in them. The exercise of the legislative powers of the corporation, in respect to that street, must be in subordination to the vested rights of the defendants. We have already seen that a corporation cannot, without the consent of the legislature, thus divest itself of its own powers. The resolution itself is, therefore, unauthorized and void.”

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Bluebook (online)
17 Barb. 435, 1854 N.Y. App. Div. LEXIS 7, Counsel Stack Legal Research, https://law.counselstack.com/opinion/milhau-v-sharp-nysupct-1854.