Williams v. East Tenn., Va. & Ga. Ry. Co.

90 Ga. 519
CourtSupreme Court of Georgia
DecidedOctober 24, 1892
StatusPublished
Cited by17 cases

This text of 90 Ga. 519 (Williams v. East Tenn., Va. & Ga. Ry. Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williams v. East Tenn., Va. & Ga. Ry. Co., 90 Ga. 519 (Ga. 1892).

Opinion

Simmons, Justice.

The cause of action was personal injuries from the running of the defendant’s trains in the county of Paulding in this State; the action was brought in the county of Fulton and in the city court of Atlanta. The plea to the jurisdiction was to the effect that the defendant was a foreign corporation, and in this State could be sued only in the county in which the cause of action originated, jurisdiction in that county being admitted to exist under the statute which declares that “ all railroad companies shall be liable to be sued in any. county in which the cause of action originated, by any one whose person [520]*520or property has been injured by such railroad company, their officers, agents or employees, for the purpose of recovering damages for such injury,” etc. (Code, §3406.)

It is clear that this statute is not exclusive, but is merely permissive and cumulative. Its language is not restrictive, for it says such companies “ shall be liable to be sued,” etc., and not that they shall or must be. Besides, as to resident corporations it could not be restrictive consistently with the constitutional requirement that actions of this kind “ shall be tried in the county where the defendant resides.” (Art. 6, sec. 16, par. 6, Code, §5172.) Unless otherwise provided by statute, all corporations are to be regarded as residing where their principal office or place of business is located, and as subject to be sued there, though their residence may extend to other places where business is conducted under their corporate franchises. It was contended, however, that as the principal office of this corporation was in the State of its creation, express legislation was necessary to subject it to suit at any other place, and that the statute permitting suit in the county of the injury is the only legislation wffiich could subject it in cases of this kind.

In our opinion no such legislation was necessary for this purpose. Our code declares that “ a citizen of another State passing through this State may be sued in any county thereof in which he may happen to be at the time when sued.” (§3416.) A corporation is for some purposes a citizen, and if present is no less subject to the jurisdiction than any other citizen of another State. Besides, a corporation, though a citizen of but one State, may be a resident also of other States. This court, in City Fire Insurance Co. v. Carrugi, 41 Ga. 660, held that “ a foreign corporation doing business in this State is subject to the jurisdiction of the courts of this State, if it can be served with process ”; and our laws provide for [521]*521the service of process upon foreign as well as domestic corporations. (Code, §3369 et seq.) The test of jurisdiction in personam is whether the corporation is so far present as that service can be effected, and it is to this extent present where its officers or agents are present and have an office and are engaged in the conduct of its business. When thus engaged in the exercise of its franchises in a State other than that of its creation, it cannot be said that the corporate entity is confined to its principal office in the latter. In fact, for the purpose of being sued, it may be treated as a resident of each State in which it does business under State laws. Reno, Non-Residents (1892), §120, and cases cited. It is said that “ when a foreign corporation, by its officers, comes within the jurisdiction of anothpr State and there engages in business, it becomes subject to the laws of the latter State, and to the process of the courts ; and where such corporation, by its officers, is guilty of a wrong or commits a trespass within the State, it cannot escape the consequences of its illegal acts by setting up that it holds its existence under a foreign government.” Boone, Corp. §74. The decisions of the Supreme Court of the United States touching this question are discussed by Mr. Justice Harlan of that court, and the following conclusions stated, in a recent case in which he presided as Circuit Justice (United States v. Southern Pacific R. Co., 49 Fed. Rep. 302, Feb., 1892): “Those cases undoubtedly hold that a corporation cannot throw off its allegiance or responsibility _ to the State which gave it existence, and that its primary, legal domicile or habitation, — that is, its citizenship, — is in such State; consequently, for the purposes of suing and being sued in the courts of the United States, it is to be deemed a citizen of the State by whose laws it was made an artificial person. But neither those cases, nor any case in the Supreme Court of the United States, directly decides that [522]*522a Corporation may not, in addition to its primary legal liabitátion or home in the State of its creation, acquire a habitation in, or become an inhabitant of another State, for the purposes of business, and of jurisdiction in personam." “ If it be said that inhabitancy in a State, in its strict legal sense, implies a permanent, fixed residence in that State, the answer is that a corporation of one State, operating, by agents, a railroad . . in another State, with its consent, or under its license, may be regarded as permanently identified with the business and people of the latter State, and, for the purposes of its business there, to have a fixed residence within its limits. . . It does there just what it would do if it had received its charter from that State.” It is to be “ deemed an inhabitant of the latter State for all purposes of jurisdiction in personam by the courts held there; although a corporation is, and while its corporate existence lasts must remain, a citizen only of the State which gave it life.” See also Rorer, Interstate Law (ed. 1891), 292, and cases cited; Pierce, Railroads, 15; Railroad Co. v. Harris, 12 Wall. 83, 84; Ex parte Schellenberger, 96 U. S. 376; Railroad Co. v. Koontz, 104 U. S. 10, 11. In the latter case it was said, “ the question of suability and jurisdiction is not so much one of citizenship as of finding. If a citizen of one State is found, for the purposes of the lawful service of judicial process, in another, he may ordinarily be sued there.” “ It is well settled that a corporation of one State doing business in another is suable where its business is done, if the laws make provision to that effect.” See also Zambrino v. Galveston Ry., 38 Fed. Rep. 449.

Especially is this true as to a corporation operating a railroad in the exercise of powers and privileges granted to a corporation of this State, and upon a right of way acquired under the State’s power of eminent domain.

In the present case it appears from the declaration [523]*523that the defendant, though claiming to be a corporation of Tennessee, is “a purchaser of the railroad track, property rights and franchises of the East Tennessee, Virginia & Georgia Railroad Company, which . . were the successors by purchase of the railroad tracks, property rights and franchises of the Cincinnati & Georgia Railroad Company, which latter company was incorporated under the laws of Georgia and was a Georgia corporation”; that the injuries were caused on the line of what was originally the railroad of said Cincinnati & Georgia Railroad Company, and what is now a part of the Atlanta division of the defendant’s' railroad, and that the defendant is operating said railroad in the county of Pulton and has its principal office and place of business for the State of Georgia at Atlanta in that county.

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

Related

Tecumseh Products Co. v. Sears, Roebuck & Co.
213 S.E.2d 522 (Court of Appeals of Georgia, 1975)
Borden v. IBC CORPORATION
141 S.E.2d 449 (Supreme Court of Georgia, 1965)
Swift & Company v. Lawson
97 S.E.2d 168 (Court of Appeals of Georgia, 1957)
George Washington Life Insurance v. Peacock
82 S.E.2d 875 (Court of Appeals of Georgia, 1954)
Trust Co. of Ga. v. Mortgage-Bond Co. of N. Y.
46 S.E.2d 883 (Supreme Court of Georgia, 1948)
Hirsch v. Shepherd Lumber Corp.
20 S.E.2d 575 (Supreme Court of Georgia, 1942)
Southern Railway Co. v. Parker
21 S.E.2d 94 (Supreme Court of Georgia, 1942)
Louisville & Nashville Railroad v. Meredith
18 S.E.2d 51 (Court of Appeals of Georgia, 1941)
DeLoach v. Southeastern Greyhound Lines
176 S.E. 518 (Court of Appeals of Georgia, 1934)
Virginia Lumber Corp. v. Atlantic Coast Line Railroad
168 S.E. 323 (Court of Appeals of Georgia, 1933)
Gray v. Georgia Loan & Trust Co.
143 S.E. 501 (Supreme Court of Georgia, 1928)
Export Insurance v. Womack
142 S.E. 851 (Supreme Court of Georgia, 1928)
Reeves v. Southern Railway Co.
49 S.E. 674 (Supreme Court of Georgia, 1905)
Pyron & Son v. Ruohs
48 S.E. 434 (Supreme Court of Georgia, 1904)
Equity Life Ass'n v. Gammon
46 S.E. 100 (Supreme Court of Georgia, 1903)
Mitchell v. Southern Railway Co.
45 S.E. 703 (Supreme Court of Georgia, 1903)
South Carolina & Georgia Railroad v. Dietzen
29 S.E. 292 (Supreme Court of Georgia, 1897)

Cite This Page — Counsel Stack

Bluebook (online)
90 Ga. 519, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williams-v-east-tenn-va-ga-ry-co-ga-1892.