Monaghan v. City of Indianapolis

76 N.E. 424, 37 Ind. App. 280, 1905 Ind. App. LEXIS 264
CourtIndiana Court of Appeals
DecidedDecember 8, 1905
DocketNo. 5,761
StatusPublished
Cited by12 cases

This text of 76 N.E. 424 (Monaghan v. City of Indianapolis) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Monaghan v. City of Indianapolis, 76 N.E. 424, 37 Ind. App. 280, 1905 Ind. App. LEXIS 264 (Ind. Ct. App. 1905).

Opinions

Robinson, J.

Suit by appellant, an abutting property owner, to enjoin the letting of a contract for a street improvement.

The complaint avers that tbe city’s board of public works adopted a resolution for the improvement of the street by paving with brick; that afterward, upon tbe petition of a majority of tbe resident freeholders on the street sought to be improved, tbe resolution, plans and specifications were modified so as to provide Warren’s patent bitulitbie pavement. Tbe resolution,, modification and detailed specifications are set out in tbe complaint. It is also' averred that all tbe steps preliminary to tbe letting of tbe contract have been duly taken; that tbe board advertised for bids, and threatens to and will, unless enjoined, let tbe contract and have tbe work done, to tbe irreparable injury of appellant. It is further averred that tbe pavement specified is a patented pavement covered by letters patent of tbe United States; that there can be no competition in such work, and that an unlawful monopoly is necessarily created by making such improvement with a patented pavement; that there was no necessity for its selection by tbe board, for tbe reason that there are many other as good and durable modern first-class accepted pavements not covered by patent, and not controlled by any monopoly; that tbe cost of tbe improvement will be greatly increased by tbe use of such patented pavement, and appellant’s property assessed for more than it will be if competition is bad.

Appellees answered, alleging that tbe resolution was modified upon tbe petition of a majority of tbe property owners; that tbe pavement in question is one of tbe accepted modern city pavements, and has been laid in many cities of this and other states; that its cost is approximately the same [283]*283as other bituminous or asphalt pavements, and practically no more; that the specifications call the attention of bidders to the fact that the city engineer will furnish, upon request, to any bidder, a copy of a proposal from the company owning the patent, stating at what price it will furnish the same. A copy of this proposal or agreement is made a part of the answer, and, among other things, provides that the company agrees “to furnish to any contractor to whom a contract is awarded to pave a street or streets in the city of Indianapolis with Warren’s bitulithic pavement, during the year 1905, and who shall enter into such contract with such sureties as may be provided by law and by said city, who is equipped or shall equip himself with the necessary appliances purchasable in the open market for preparing and laying such pavement, all the necessary compounds, to prepare and lay such pavement, according to standard specifications for such work, for the sum of ninety cents per square yard for such pavement; said pavement to have a-inch foundation and a two-inch top, and said compounds to bo as follows: [Specifying the different compounds]. In addition to the above we hereby propose and agree to allow the contractor to use our patented processes for laying our pavement, and to furnish an expert who will advise in the laying of the pavement without extra charge.” It is further alleged that competition in bidding is thus provided; that appellees are informed and believe and allege that competitive bids will be submitted for the improvement; that they have the right to have the street improved with a patented pavement, even though there could be no competition. A demurrer to this answer was overruled, and, upon appellant’s refusal to plead further, judgment was rendered in appellees’ favor.

Section ninety-five of the act of March 6, 1905 (Acts 1905, pp. 219, 281, §3519 Burns 1905), provides: “Such board shall * * * let such contract to the lowest and best bidder.” Section 107 of said act (Acts 1905, pp. 219, [284]*284286, §3531 Burns 1905) provides: “If * * * there shall have been filed * * * a petition * * * in writing, of a majority in number of resident freeholders upon such street * * * sought to be improved, requesting that said street * * * be paved with any certain kind of the accepted kinds of modern city pavement, then the board * * * shall not have the power or authority to pave said street * * * with another kind of material, unless the same is specifically ordered by an ordinance passed by a two-thirds vote of the council of such city. If such original resolution be confirmed or modified, it shall be final and conclusive on all persons, unless, within ten days thereafter’, a majority of the resident freeholders •upon such street * * * remonstrate against such improvement.”

(1) The question presented by the complaint may be briefly stated thus: Does an improvement which is covered by letters patent permit the competition provided for by section ninety-five, supra? If this question is answered in the affirmative, it is unnecessary to consider any question raised by the answer, for the reason that if there may be competitive bidding for a pavement covered by letters jDatent, the complaint is bad.

1. The complaint alleges that the bitulithic pavement in question is a patented pavement covered by letters patent of the United States. From the nature of letters patent the presumption prevails, until the contrary is shown, that the patentee has the exclusive right to make and use, and sell to others to be used, the thing patented during the term for which the exclusive right is granted. “Letters patent,” said the court in Seymour v. Osborne (1870), 11 Wall. 516, 20 L. Ed. 33, “are not to be regarded as monopolies, created by the executive authority at the expense and to the prejudice of all the community except the persons therein named as patentees, but as public franchises granted to the inventors of new and useful [285]*285improvements for the purpose of securing to them, as such inventors, for the limited term therein mentioned, the exclusive right and liberty to make and use and vend to others to be used their own inventions, as tending to promote the progress of science and the useful arts, and as matter of compensation to the inventors for their labor, toil, and expense in making the inventions, and reducing the same to practice for the public benefit, as contemplated by the Constitution and sanctioned by the laws of congress.”

2. If it is proposed to put down a patented pavement, and the patentee has “the exclusive right and liberty to make and use and vend to others to be used” this patented pavement — and under the above definition of a patent this is the case made by the complaint — -we fail to see any reasoning upon which to base the statement that there could be competitive bidding as required by the statute. If the patentee controls and retains absolutely the right to use and to sell to others the patented article, so long ag he retains this right there could be no competitive bidding for a contract to use the patented article.

3. In all the legislation in this State since 1852 touching-street improvements, provision has always been made for competitive bidding. From 1852 to 1891 the contract was to be let to the “best bidder,” and from 1891 to 1905 to “the lowest and best bidder.” The one important fact has been kept in view through all this legislation — that competition is safe and is in the interest of the property owner.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Bigley v. MSD of Wayne Township Schools
823 N.E.2d 278 (Indiana Court of Appeals, 2005)
Pacella v. Metropolitan District Commission
159 N.E.2d 75 (Massachusetts Supreme Judicial Court, 1959)
Brutsche v. Coon Rapids
272 N.W. 624 (Supreme Court of Iowa, 1937)
Eckerle v. Ferris
1935 OK 1038 (Supreme Court of Oklahoma, 1935)
Hoffman v. City of Muscatine
232 N.W. 430 (Supreme Court of Iowa, 1930)
State Ex Rel. City of Stamford v. Board of Purchase & Supplies
149 A. 410 (Supreme Court of Connecticut, 1930)
Wilson v. Board of Commissioners
137 N.E. 783 (Indiana Court of Appeals, 1923)
McEwen v. City of Coeur D'Alene
132 P. 308 (Idaho Supreme Court, 1913)
Tousey v. City of Indianapolis
94 N.E. 225 (Indiana Supreme Court, 1911)
Seibert v. City of Indianapolis
81 N.E. 99 (Indiana Court of Appeals, 1907)
Saunders v. City of Iowa City
111 N.W. 529 (Supreme Court of Iowa, 1907)

Cite This Page — Counsel Stack

Bluebook (online)
76 N.E. 424, 37 Ind. App. 280, 1905 Ind. App. LEXIS 264, Counsel Stack Legal Research, https://law.counselstack.com/opinion/monaghan-v-city-of-indianapolis-indctapp-1905.