State ex rel. City of Springfield ex rel. Board of Public Utilities v. Conley

760 S.W.2d 948, 1988 Mo. App. LEXIS 1684, 1988 WL 128749
Missouri Court of Appeals·Decided December 6, 1988·No. No. WD 40919·Published·Cited by 7 cases

Opinion

CLARK, Presiding Judge.

This is an action in prohibition seeking to restrain the circuit judge in Boone County from proceeding to try a counterclaim which relator asserts is duplicative of an action previously filed and now pending in Greene County between relator and Sho-Me Power Corporation. The issue presented calls for a decision as to whether, under the facts of the case as hereafter set out, the rule of abatement precludes dual litigation of a controversy in different courts as an affirmative cause in the one and as a counterclaim in the other. We hold that it does and therefore make the preliminary order in prohibition absolute.

Relator, the City of Springfield, owns and operates electric generating and transmission facilities through its Board of Public Utilities and sells electricity to retail customers. The source of relator’s authority to operate an electric light and power plant is §§ 91.010-040, RSMo 1986.1 The area of relator’s operations is Greene County. Sho-Me Power Corporation is a general business corporation organized under Chapter 351. Sho-Me is engaged in the business of transmitting and selling electric power at wholesale to its “member-owners,” Webster Electric Cooperative, Southwest Electric Cooperative and Ozark Electric Cooperative. Webster, Southwest and Ozark are rural electric cooperatives [949] organized under Chapter 394 to supply electric energy in rural areas. They sell electric power to retail customers in rural areas, including Greene County.

A dispute arose concerning the authority of relator to construct distribution and service lines for the purpose of supplying electric power to retail customers in rural Greene County. Neither relator nor the electric cooperatives are subject to territorial regulation by the Missouri Public Service Commission, see § 394.160 and Missouri Public Service Co. v. City of Trenton, 509 S.W.2d 770, 775 (Mo.App.1974), and therefore neither has a certificated service area.

On September 28, 1987, Sho-Me and its affiliated cooperatives filed suit in the circuit court of Greene County seeking, inter alia, a declaratory judgment enjoining relator from erecting, owning or maintaining electric distribution and service lines in the rural areas of Greene County outside the corporate boundaries of relator. The record of the Greene County case furnished in connection with the present action does not include any responsive pleadings filed by relator. It is therefore assumed that relator has sought no affirmative relief against Sho-Me in that forum.

On November 16, 1987, relator instituted an action in Boone county styled State of Missouri, ex. inf. William L. Webster, Attorney General, ex rel. City of Springfield, Missouri, through the Board of Public Utilities v. Boone Electric Cooperative, a Rural Electric Cooperative. The action was in quo warranto and alleged that Boone had exceeded the powers granted it as a rural electric cooperative under § 394.080 by undertaking to form a general business corporation, Boone Electric Service Co., in which it was the sole shareholder. The petition further alleged that the intended purpose of the Boone Electric Service Co. was to secure a certificate of convenience and necessity from the Missouri Public Service Commission enabling the Boone cooperative to sell electric power to retail customers in cities, towns and villages with populations in excess of 1500 inhabitants. The relief sought was the dissolution of Boone Electric Service Co.

Sho-Me sought and was granted leave to intervene in the Boone County case. It answered and filed a two count counterclaim. In Count I, Sho-Me sought a declaration by the court that a rural electric cooperative may acquire and own stock in a Chapter 351 general business corporation and may, through the sale of electric energy to such general business corporation, serve retail customers with electric power whether such customers be situated in rural areas or in cities, towns and villages. The jurisdiction of the Boone County circuit court to adjudicate Sho-Me’s Count I counterclaim is not a subject of contest here.

In Count II of its counterclaim, Sho-Me sought an injunction against relator. The basis for such injunction consisted of allegations first contained in Sho-Me’s Greene County suit describing the activities of relator in Greene County constructing electric distribution and service lines in rural areas and selling electricity from its generating facilities to retail customers outside the municipal limits of the city. Sho-Me prayed the court to order that relator cease making extensions of its electric distribution system outside its corporate limits and dismantle all such facilities previously installed. The allegations and the prayer in the counterclaim were identical to those in Sho-Me’s petition filed in Greene County. It is this Count II of the counterclaim which is the subject of the present action.

Relator moved the trial court to dismiss Count II of Sho-Me’s counterclaim on the ground that it was duplicative of the previously filed action in Greene County between the same parties. The court denied the motion. Relator contends the failure of the trial court to sustain its motion was error, that the circuit court of Boone County lacks jurisdiction to try the issues in the counterclaim over which the Greene County circuit court had prior jurisdiction and that prohibition is appropriate because appeal would not relieve relator from the [950] expense and vexation of trying the same cause in two different circuits. There appears to be no dispute by Sho-Me that prohibition is the proper remedy, but Sho-Me contends it is entitled to maintain its counterclaim because it did not commence the Boone County suit. It argues that the counterclaim is merely a response to the action relator instigated.

The legal concept involved in this case is variously known as the principle of abatement or the pending action doctrine. Where two actions involving the same subject matter between the same parties are brought in courts of concurrent jurisdiction, the court in which service of process is first obtained acquires exclusive jurisdiction and may dispose of the entire controversy without interference from the other. State ex rel. General Dynamics Corp. v. Luten, 566 S.W.2d 452, 458 (Mo. banc 1978). Although the doctrine is intended to relieve a party from defending the same cause of action twice, it also .operates to forestall the possibility of inconsistent judgments on the same claim.

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

State ex rel. City of Springfield ex rel. Board of Public Utilities v. Conley, 760 S.W.2d 948, 1988 Mo. App. LEXIS 1684, 1988 WL 128749 (Mo. Ct. App. 1988).

760 S.W.2d 948 (State ex rel. City of Springfield ex rel. Board of Public Utilities v. Conley) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related