Turner v. Hicks

180 S.E. 543, 164 Va. 612, 1935 Va. LEXIS 233
CourtSupreme Court of Virginia
DecidedJune 13, 1935
StatusPublished
Cited by17 cases

This text of 180 S.E. 543 (Turner v. Hicks) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Turner v. Hicks, 180 S.E. 543, 164 Va. 612, 1935 Va. LEXIS 233 (Va. 1935).

Opinion

Hudgins, J.,

delivered the opinion of the court.

W. L. Turner, trading as the Danville-Lynchburg Motor Express, obtained from the Corporation Commission a franchise to operate a motor vehicle freight line over State highway No. 14 between Danville, Lynchburg and intermediate points. W. R. Hicks obtained from the Motor Vehicle Commissioner a for-hire tag, giving him the right, with certain statutory restrictions, to operate his motor vehicle on the streets and highways within the Commonwealth. W. L. Turner, trading as aforesaid, filed a bill in the Circuit Court of Pittsylvania county alleging that W. R. Hicks was operating on a regular schedule and soliciting and receiving patronage along the route between Lynch-burg and Danville, in competition with him, without having obtained a certificate so to do from the State Corporation Commission. The answer admitted that Hicks had not received such a franchise from the Commission, but denied the other material allegations and challenged the jurisdiction of a court of equity to hear and determine the matter. A temporary injunction was awarded, which on a final hearing was dissolved. From a decree dismissing the case, complainant sought and obtained this appeal.

Appellee moved to dismiss the appeal as improvidently awarded on the ground that:

“The gist of the appellant’s contention for an injunction is that the appellee has violated a law which, in itself, provides for a penalty for its violation. See page 7 of the record in this case:

[615]*615“ ‘W. R. Hicks has not only violated the spirit of the law but has violated the letter of the same.’

“That is the only complaint registered by the appellant and furnishes the sole ground for relief advocated.”

The bill alleged that appellee had been tried and convicted for violating section 33 (c) of chapter 342, Acts of 1932; that notwithstanding this fact, he had continued to regularly transport property for hire over the same route between Danville, Lynchburg and intermediate points, in direct competition with complainant, thereby unlawfully making daily encroachments upon complainant’s franchise rights, and if not enjoined, complainant would suffer irreparable loss and damage.

“It is true that courts of equity will not restrain an act merely because it is a violation of a criminal statute or of a penal ordinance of a city; yet, where such violation results, as in the instant case, in special damages to property rights, which it would be difficult or impossible to ascertain, equity, in order to prevent a multiplicity of prosecutions, the legal remedy being inadequate, will grant complete relief by injunction.” Long’s Baggage Transfer Co. v. Burford, 144 Va. 339, 132 S. E. 355, 359.

The case of Drummond v. Rowe, 155 Va. 725, 156 S. E. 442, the only authority cited by appellee in support of his contention, is in full accord with the principles stated in the above quotation. It is conceded that until the Corporation Commission shall decide otherwise, appellant has an exclusive franchise right to transport property for hire by motor vehicle, on a regular schedule, over State highway No. 14, between the points named, and that appellee is regularly operating over that route, between the same points but not on a fixed schedule.

The question presented is, whether such competition is permitted by statute. Under the facts stated, equity has jurisdiction to determine the respective rights of the parties, even though the act complained of may be a violation of the criminal law.

In the oral argument, it was stated that the Corporation [616]*616Commission had exclusive jurisdiction to settle controversies of this nature, and for that reason the appeal should be dismissed. In reply to a question from the bench, counsel for appellee said that he relied upon section 10 of chapter 359 of the. 1932 Acts to support his contention. This section reads thus: “The commission upon due hearing shall have power to determine whether any vehicle used for the transportation of persons or property for compensation over the highways of this State is a motor vehicle carrier within the meaning of this act.”

This chapter and chapter 360 of the same acts define the term “motor vehicle carrier,” and as defined place such carriers exclusively under the regulation and supervision of the Corporation Commission. There is a marked distinction between the rules and regulations governing the motor vehicle carriers, as defined, and carriers who obtain from the Motor Vehicle Commission for-hire tags. The amount and method of taxation are altogether different, as later pointed out in this opinion. One of the evident reasons for enacting section 10 was to give the Corporation Commission power to decide the question as between the Commonwealth and the citizen. Other sections in the chapter give the Commission wide discretionary power to grant or deny a certificate of public necessity or convenience; for cause, it may suspend or revoke the certificate after it is granted, and in certain cases it may impose a fine not exceeding $500, to be collected by civil process issued by the Commission. Section 11 provides that any person violating any provision of the act, or any rule or regulation authorized and duly adopted by the Commission shall be guilty of a misdemeanor. Surely no one would contend that the Commission is authorized by the provision quoted to try a person charged with an offense punishable by fine and imprisonment.

The language of section 10 does not purport to give the Commission exclusive jurisdiction to determine whether or not a person is using the highway as a common carrier within the terms of the act. This controversy is between two citizens, both of whom have been given the right to [617]*617operate their vehicles within the Commonwealth. Appellant, at the time the suit was instituted, had obtained from the Commission a franchise, or privilege, to operate his vehicle over a definite route, between definite points. Appellee, by virtue of his for-hire tag, was not restricted in the operation of his vehicle to any particular destination, but he was restricted by the statute from unduly competing with appellant between the points designated in the franchise granted him. Appellant contends that appellee, in violation of the statute, is regularly and continually operating his motor vehicle as a common carrier over the route between the points designated, in direct competition with him, and if allowed so to do his valuable franchise right will become worthless.

It is a general rule that equity extends its protection not only to actual but to threatened invasion of rights conferred by franchise. “An injunction is proper whether the invasion complained of is by another corporation or person, or by the public, and whether the invasion seeks to destroy the franchise or merely to participate in its exclusive privileges.” 32 C. J. page 232.

There is nothing in the act limiting the jurisdiction of the courts to hear and determine the issues raised by the bill and answer. The motion to dismiss the appeal is overruled.

The statute law provides for two types, or classes, of motor vehicle carriers of freight for compensation, to operate upon the highways within the Commonwealth. Those who desire to operate under a regular schedule on a definite route, are required to make application to the Corporation Commission for a certificate of public convenience and necessity.

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Bluebook (online)
180 S.E. 543, 164 Va. 612, 1935 Va. LEXIS 233, Counsel Stack Legal Research, https://law.counselstack.com/opinion/turner-v-hicks-va-1935.