New York Central & Hudson River Railroad v. Board of Chosen Freeholders

74 A. 954, 80 N.J.L. 305, 1909 N.J. LEXIS 268
Supreme Court of New Jersey·Decided June 14, 1909·Published

Opinion

Gummere, Chief Justice

(dissenting). The controversy in this case respects the power of the hoard of freeholders of Hudson county to fix the rates of ferriage to be charged by the various companies operating ferries across the Hudson river, from points on the Hudson county shore to the city of Yew York. Legislative authority to fix such rates has been conferred upon the board, and the validity of such legislation has been affirmed by this court in the case of Freeholders of Hudson v. State, 1 Zab. 718. The fundamental question which the case presents for decision, as is stated in the majority opinion, is, “Whether the Federal Supreme Court has definitely decided that ihe doctrine laid down in State v. Freeholders of Hudson is erroneous;” for, if that doctrine has not been so declared, then the maxim of stare decisis should control, and we should follow our earlier decision.

[306]*306The doctrine laid down in the 4 Zab. ease and upon which the decision of that case was rested, is thus expressed by Mr. Justice Elmer, who delivered the opinion. After reciting that it was insisted that the ferry in question was a part of the means of carrying on commerce between two states of the union, and that a regulation of the rates of fare for the carrying of passengers and goods was, in effect, a regulation of commerce, which, it was argued, belongs exclusive^ to congress, he proceeded as follows: “Whether the power of regulating commerce between the states is to be considered as vested exclusively in congress, so that the legislatures of the several states cannot constitutionally pass any law on the subject, although it may not conflict with any existing treaty or law of the United States, has not yet been authoritatively settled by the Supreme Court of the United States. But conceding it to be so, the regulation of the tolls of bridges and turnpike roads, and the fares of railroads and ferries, is in no just sense a regulation of commerce, and has never been so regarded. It is a part of that general power of police essential to every state, and which could not be with safety, and has not been surrendered to the general government. That the state may regulate the tolls and fares of turnpikes and railroads and ferries fully within its jurisdiction, counsel have not gone so far as to deny. But such regulations will in many cases affect the commerce among the several states as much as the regulation of tolls at a ferry directly between two states. If the states, separately or jointly, cannot regulate a ferry between two of them, neither can they authorize the building of a bridge or prescribe the tolls for passing it. These and the like powers have been exercised by most of the states of the union without doubt or hesitation from the adoption of the constitution to the present day, and are, in my opinion, in nowise repugnant to the provisions of that instrument.”

At the time of the promulgation of this decision (March term, 1853), and later,- the comprehensive scope of the commerce clause of the federal constitution was unappreciated by federal as well as state tribunals. In 1861 the Federal [307]*307Supreme Court, in the case of Conway v. Taylor, 1 Black 603, expressly affirmed the doctrine of our decision in 4 Zab., saying: “There has been now nearly three-quarters of a century of practical interpretation cf the constitution. During all that time, as before the constitution had its birth, the states have exercised the power to establish and regulate ferries; congress never. We have sought in vain for any act of congress -which involves the exercise of this power. That the authority lies within the scope of That immense mass of un~ delegated powers’ which ‘are reserved to the states respectively,’ we think too clear to admit of doubt.” As late as the October term, 1881, of that court the same view was expressed in the case of Wiggins Ferry Co. v. Fast St. Louis, 107 U. S. 365. About this time, however, the far-reaching importance of national control over interstate as well as over foreign ■commerce began to be generally understood; and nowhere more completely than in the federal tribunals. Just two years after the decision in the Wiggins Ferry Company case the Federal Supreme Court had before it the case of Gloucester Ferry Co. v. Pennsylvania, 114 Id. 196, which involved the right of the Stale of Pennsylvania to impose a tax upon the capital stock of a New Jersey ferry company operating an interstate ferry across the Delaware river betiveen the city of Camden in the State of New Jersey, and the city of Philadelphia in the State of Pennsylvania. The conclusion reached by the court was that Pennsylvania had no such power. The ground of its decision is shown by the following extract from the syllabus of the opinion: “When the subjects of commerce are national in their character and reqiure uniformity of regulation, affecting alike all of the states, the power of congress is exclusive. The commerce between the states which consists in the transportation of persons and property between them, is a subject of national character and requires uniformity of regulation. Congress alone can deal with such transportation, and its non-action is a declaration that it shall remain free from burdens imposed by state legislation. A ferry is a means—and a necessary means—of commercial intercourse between states bordering on dividing waters, and [308]*308it must therefore be conducted without the imposition by the states of taxes or other burdens upon the commerce between them.”

Whatever may have been said in this case which is obiter, it certainly lays down at least twc principles which are fundamental to its decision—first, that an interstate ferry is a means of commercial intercourse between the states—a means for transportation of persons and property between them; second, that the regulation thereof is a subject of national character.

It is considered in the majority opinion that the declaration of the federal court in this case “did not antagonize any fundamental position upon which the decision in the case of State v. Freeholders of Hudson was grounded;” that “the conclusions reached bj' Judge Elmer were not reached by denying that the business of ferrying was interstate commerce, but by denying that the regulation of the tolls to be charged by a keeper of a ferry residing in this state was inimical to the power of congress to regulate commerce.” This assertion can only be justified upon the theory that the regulation of Lolls to be charged for the transportation of persons and property, between the states is not a regulation of such transportation; a theory which has been entirely exploded bjr the decision of the United States Supreme Court in the Covington Bridge ease, to which I shall presently refer more fully. A comparison of what is said in the two opinions makes this apparent. Judge Elmer declares that “the regulation of tolls on ferries which are used for communication and commerce between the states is a part of the general power of police essential to every state, and which could not be with safety, and has not been, surrendered to the general government.” If this means anything, it means that such regulation is not a regulation of commerce between the states.

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New York Central & Hudson River Railroad v. Board of Chosen Freeholders, 74 A. 954, 80 N.J.L. 305, 1909 N.J. LEXIS 268 (N.J. 1909).

74 A. 954 (New York Central & Hudson River Railroad v. Board of Chosen Freeholders) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Conway v. Taylor's
66 U.S. 603 (Supreme Court, 1862)
Wiggins Ferry Co. v. East St. Louis
107 U.S. 365 (Supreme Court, 1883)
Covington & Cincinnati Bridge Co. v. Kentucky
154 U.S. 204 (Supreme Court, 1894)