Portland-Oregon City Ry. Co. v. Penney

158 P. 404, 81 Or. 81, 1916 Ore. LEXIS 237
CourtOregon Supreme Court
DecidedJune 27, 1916
StatusPublished
Cited by9 cases

This text of 158 P. 404 (Portland-Oregon City Ry. Co. v. Penney) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Portland-Oregon City Ry. Co. v. Penney, 158 P. 404, 81 Or. 81, 1916 Ore. LEXIS 237 (Or. 1916).

Opinion

Mr. Justice McBride

delivered the opinion of the court.

1, 2. Section 6839, L. O. L., provides, among other matters:

“No. appropriation of private property shall be made until compensation be made therefor to the owner thereof, irrespective of any increased value thereof, by reason of the proposed improvement.”

[85]*85With the justice or injustice of this rule we have nothing to do, as the state has plenary power to prescribe the conditions upon which it will confer upon corporations the privilege of exercising the right of eminent domain. The language above quoted is plain, and clearly means that in computing the damages to a tract of land by reason of the construction of the road across it the owner cannot be heard to say that any increased value which may accrue to the land by reason of the facilities offered by the proposed improvement shall be added to his damages, nor can the corporation be heard to say that such increased value shall be treated as a part of his compensation and subtracted from the sum which would be compensation if the land were purchased for any other purpose than a railroad.

3. The measure of damages is the actual cash market value of the strip taken and the depreciation in market value of that portion of the tract not actually included in the right of way, which damages are sometimes termed incidental damages; and it is in respect to the measurement of these that courts have experienced the greatest difficulty. To the ordinary mind, unhampered by precedent and unrestrained by statute, it would appear that, if the owner were paid the full market value of the strip taken, the value of his property being greatly increased by the improvement and by the facilities afforded for marketing the produce grown upon the ground not included in the strip, he would not be entitled to a single cent by way of damages because his land had been cut into two parcels instead of being left intact. This would appear to be the common-sense view of the matter, even if the lands of his neighbors should be equally enhanced in value; but the statute in this state and statutes and judicial [86]*86decisions in other states have said that increase in the value of the property by reason of the construction of the road shall not be considered in estimating damages, and, in effect, require the jury to estimate all the inconveniences caused by the construction of the road and to eliminate the incidental benefits which are shared in common by the other members of the community. This seems to be the law in Oregon, and, while the writer follows it with unwilling feet, the courts are bound to recognize it until it is amended. In this view the court was entirely justified in withdrawing the first three counterclaims from the jury. As intimated in Portland & O. C. Ry. Co. v. Ladd Estate, 79 Or. 517 (155 Pac. 1192), the benefits pleaded are shared in a greater or less degree by all of the community along the line of the proposed road; the difference being merely one of degree rather than of class. The last offset was not fully pleaded, in that it merely stated that defendants would be “greatly benefited” without stating any amount or sum in which defendant would be so benefited.

4. Exception was taken to the ruling of the court respecting certain testimony introduced by defendants for the purpose of showing the market value of the tract. The bill of exceptions is very meager, and appears to have been made up' and signed without service upon the defendants ’ attorneys and without any notice to them. In many respects it fails to show the relation of the testimony to which objection was made to that which preceded or followed it, and is far from being sufficient to bring before us the exact situation as it existed at the trial. J. E. Penney, being a witness in his own behalf, was asked the following question:

“Mr. Penney, I will ask you if you had any bona fide offers to purchase it [referring to the land in question] last year ?”

[87]*87The witness, oyer the objection of plaintiff, answered :

“Before the railroad went through there Mr. Greene offered me $2,300. That was before the railroad ever came there. I said he could have it for $2,500, and it would have to be a cash proposition at that. ’ ’

The admission of this testimony was a technical error: Lewis on Eminent Domain (2 ed.), § 446, and cases there cited; 13 Ency. Ev. 451, and cases there cited.

Mr. Samuel Penney, being called ás a witness for defendants, gave the following testimony:

“Q. Are you acquainted with the value of the land?
“A. I know what I paid for what I have got.
“Q. Do you know what the Webber tract sold for just south?
“Mr. Cross: The Webster tract?
“A. Yes, sir.
“Mr. Cross: That does not make a competent, qualified witness as to the value.
“Court: Whether he knows the value of the land taken from sales taken place in recent times.
“Q. Do you know the market value of the lands sold in that vicinity from sales that have been made in recent years?
“A. I have paid no attention; I have heard of sales made, but I do not know of any positive sales that have been made.
“Q. You have heard of sales about there? Well, you know from just what you have heard? You were not present, you mean, when the money passed?
“A. I could not say about any tract the sale was made on, what price was paid on it. I could not come out here and say, because I don’t know.
“Q. Do you know what the people asked for their land?
“A. I know what I asked for mine.
“Q. Do you know what Mr. Greene asked for his?
“A. I have heard him say.
[88]*88‘ ‘ Q. He has two five-acre tracts 1
“A. Yes, sir; one on the north, and one on the west.
“Q. Do yon know what people generally hold their land for?
“A. I have heard them say.
“Mr. Cross: I object to that as being incompetent.
“Q. You know what you ask for it and what you paid for it, and from what you heard after the sales of other land, and what you know of the sales that were made in the last year or two. From all that information what would you say was a reasonable market value of your brother’s property?
“Mr. Cross: I object to that. He has not shown himself qualified and the testimony is incompetent.
“Court: I think it is competent to go to the jury for what it is worth. I think the court has held a man who owns land himself in the immediate vicinity can fix what he takes the value of his land. The objection will be overruled, and the exception allowed.
“A.

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Bluebook (online)
158 P. 404, 81 Or. 81, 1916 Ore. LEXIS 237, Counsel Stack Legal Research, https://law.counselstack.com/opinion/portland-oregon-city-ry-co-v-penney-or-1916.