Smith v. City of La Moure

44 N.W.2d 789, 77 N.D. 658, 1950 N.D. LEXIS 161
CourtNorth Dakota Supreme Court
DecidedNovember 27, 1950
DocketFile 7226
StatusPublished
Cited by5 cases

This text of 44 N.W.2d 789 (Smith v. City of La Moure) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Smith v. City of La Moure, 44 N.W.2d 789, 77 N.D. 658, 1950 N.D. LEXIS 161 (N.D. 1950).

Opinion

*661 Christianson, J.

The plaintiff brought this mandamus proceeding in the District Court of LaMoure County to compel the city council of the City of LaMoure to grant his application for a license for on and off sale of- beer and hard liquor within said city. After full hearing the trial court denied the application for a writ of mandamus and ordered dismissal, of the proceedings. Judgment was entered accordingly and the plaintiff has appealed to this court from the judgment so entered.

*662 The laws of this State provide that any person engaging in the retail sale of liquor first must’procure a license from the governing body of the city or village wherein the said business is conducted and'that the fee for such license shall not be less than $200 or more than $2000 to be determined by the governing-body of such city or village. 1949 Supplement NDHC 1943, 5-0303. Such laws further provide that the governing body of any city, village or county may revoke any such license for cause and may regulate the retail sale of liquor within its jurisdiction subject to review by the courts of the State. NDRC 1943, 5-0320. -

In his petition the plaintiff alleges that he is a citizen of the' United States and a resident of'the State of North Dakota and for many years last past has been duly licensed by the Federal Government as well as by the State of North Dakota and the City of LaMoure to engage in the retail sale of intoxicating liquors; that he has invested some $40,000 in his established business. He also alleges that the defendants are respectively the qualified and acting mayor, the members of the city council, and the city auditor of the City of LaMoure and that he presented. to such officers and- filed with the City Auditor an application for the renewal of his license for on and off sale of beer and hard liquors, and that with such application he presented the amount of the annual license fee; that the city council on December 5, 1949, adopted a resolution that the plaintiff’s application for license be. accepted only to March 1, 1950, and that the application of the LaMoure Improvement Association for an on and off sale license for the retail sale of liquors was accepted, to be effective on March 1, 1950, and for the remainder of the year 1950; that one Elmer Witt heretofore maintained a retail liquor store in said City of LaMoure duly licensed and that upon his decease during the year 1949 Hildegaard Witt, the executrix of his estate, continued to conduct such liquor business upon an approved transfer of license; that Hildegaard Witt as executrix as aforesaid made similar application for the renewal of her liquor license and with such application presented the required fee; that the said city council approved the application of said-Hildegaard Witt as such executrix to March 1, 1950; *663 that the action of the city council in approving the plaintiff’s application to March 1,1950, instead of for the entire year 1950, was illegal and without authority of law; that the action of the city council in determining that the licenses of the plaintiff and Hildegaard Witt, Executrix as aforesaid, issue for only a portion of the year, and the license after March 1, 1950, issue to the LaMoure Improvement Association, was without authority of law and was the result of a corrupt agreement between the members of the city council and the said LaMoure Improvement Association whereby the right to a liquor license within the said city was, in effect, placed upon the auction block and whereby the LaMoure Improvement Association agreed with the city council that in addition to paying the license fees required by ordinance it would furnish the city large sums of money; that said city council refused the plaintiff and Hildegaard Witt, Executrix, a license for the whole year of 1950 not because of any lack of qualifications but solely for the purpose of carrying out a corrupt agreement with the LaMoure Improvement Association ; that such corrupt agreement is not in writing and is wholly unenforcible, and that the City of LaMoure may lose money by reason of issuing one liquor license rather than two; that the refusal of the officers of the City of LaMoure to issue to the plaintiff a liquor license for the year 1950 caused the plaintiff irreparable damage, will deprive him of his business which he has built up over a-period of-years, and constitutes the taking of private property without compensation and without due process of law and therefore violates the Constitution of the United States and the State of North Dakota; that the action of the city council in refusing to issue the plaintiff a liquor license was entirely arbitrary.

The defendants moved to quash the alternative writ upon the grounds that under the law the plaintiff had a right to review the action of the city council by action in court, and that the application for a liquor license invoked the discretion of the council and that the council exercised discretionary powers in determining whether the license should or should not be refused and that this determination is not subject to control by manda *664 mus. The trial court reserved decision on the motion to quash. The defendants then interposed a general demurrer to the petition. The trial court took this under advisement and deferred a ruling.

The trial court proceeded to try the issues framed by the petition and the return thereto upon the merits while reserving rulings upon the motion to quash and upon the demurrer, and thus had before him the entire controversy and all the aspects thereof. Witnesses were sworn and evidence was introduced.

The City of LaMoure is a municipal corporation with a population of about 1200 people. The city has adopted a comprehensive ordinance pertaining to the retail sale of liquors. The evidence shows that at a meeting of the city council duly held on December 13, 1949, an ordinance amending the ordinance of the city pertaining to the sale of intoxicating liquors was given its first reading. The ordinance introduced and given its first reading on December 13,1949, provided:

“Licenses for the sale of intoxicating liquor at retail as provided in this ordinance shall be issued in one license, which shall include both on-sale and off-sale privileges and shall be so stated in said license. The license fee for such license to include both on-sale and off-sale privileges shall be in the sum of $2000 per year, payable in advance and at the time of making the application for the license as hereinafter set forth. Unless otherwise stated, the period for which a license is issued shall be for a year, commencing on January 1, but the Council shall have' authority to issue a license for any portion of a year. In the event that a license is granted for only a portion of a year the license fee charged shall be pro-rated accordingly.”

On December 22, 1949, such ordinance was given its second reading and duly passed.

For several years the city council of the City of LaMoure had issued two liquor licenses, one to Elmer Witt and one to the plaintiff. In the fall of 1949 the citizens of the City of LaMoure requested the city council to take a poll by means of an informal election in the city for the purpose of obtaining an expression of opinion of the people of the City of LaMoure upon the propo *665

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Cite This Page — Counsel Stack

Bluebook (online)
44 N.W.2d 789, 77 N.D. 658, 1950 N.D. LEXIS 161, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-city-of-la-moure-nd-1950.