Wisconsin Telephone Co. v. Railroad Commission

156 N.W. 614, 162 Wis. 383, 1916 Wisc. LEXIS 157
CourtWisconsin Supreme Court
DecidedFebruary 22, 1916
StatusPublished
Cited by21 cases

This text of 156 N.W. 614 (Wisconsin Telephone Co. v. Railroad Commission) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wisconsin Telephone Co. v. Railroad Commission, 156 N.W. 614, 162 Wis. 383, 1916 Wisc. LEXIS 157 (Wis. 1916).

Opinions

Barhes, J.

Sub. 1 and 2 of sec. 1797m — 4, Stats., as amended by sec. 1, ch. 546, Laws 1911, read as follows:

“1. Every public utility, and every person, association or corporation having conduits, subways, poles or other equipment on, over or under any street or highway, shall for a reasonable compensation, permit the use of the same by any public utility, whenever public convenience and necessity require such use, and such use will not result in irreparable injury to the owner or other users of such equipment, nor in any substantial detriment to the service to be rendered by such owners or other users, and every utility for the conveyance of telephone messages shall permit a physical connection or connections to be made, and telephone service to be furnished, between any telephone system operated by it, and the telephone toll line operated by another such public utility, or between its toll line and the telephone system of another such public utility, or between its toll line and the toll line of another such public utility, or between its telephone system and the telephone system of another such public utility, whenever public convenience and necessity require such physical connection or connections, and such physical connection or connections will not result in irreparable injury to the owners or other users of the facilities of such public utilities, nor in any substantial detriment to the service to be rendered by such public utilities. The term ‘physical connection,’ as used in. this section, shall mean such number of trunk lines or complete wire circuits and connections as may be required to furnish reasonably adequate telephone service between such public utilities.
“2. In case of failure to agree upon such use or the conditions or compensation for such use, or in case of failure to agree upon such physical connection or connections, or the terms and conditions upon which the same shall be made, any public utility or any person, association or corporation interested may apply to the commission, and if after investigation [393]*393the commission shall ascertain that public convenience and necessity require such use or such physical connection or connections, and that such use or such physical connection or connections would not result in irreparable injury to the owner or other users of such equipment or of the facilities of such public utilities, nor in any substantial detriment to the service to be rendered by such owner or such public utilities or other users of such equipment or facilities, it shall by order direct that such use be permitted and prescribe reasonable conditions and compensation for such joint use, and that such physical connection or connections be made, and determine how and within what time such connection or connections shall be made, and by whom the expense of making and maintaining such connection or connections shall be paid.”

The statute involved covers two distinct subjects. The first provision relates to the use by a stranger of conduits, subways, poles, and other equipment located in streets and highways and owned by some other person, firm, or corporation. Under the statute such use must be permitted where public convenience and necessity require it and where it will not result in irreparable injury to the owner or other users of the equipment, subject to the condition 'that a reasonable compensation must be paid for such use.

The second provision relates to the matter of physical connection between telephone exchanges, and differs from the first in one important particular at least, in that it provides for no compensation for the taking or the use of the facilities of one telephone company by another, if any such thing is •contemplated. Three conditions must co-exist before a physical connection is required: Public necessity and convenience must demand the connection; such connection must not result in irreparable injury to the owners or users of the facilities of the companies that would be affected; and the connection must not result in substantial detriment to the service.

As we read the decision of the BaMroad Commission, it •construed the law as not permitting physical connection where [394]*394it would result in substantial loss to either of the companies involved. This is not said in so many words, but it is a fairly deducible conclusion from the language used. So construed and applied there is at the present day little room for asserting that the legislation is not a legitimate exercise of the police power vested in the legislature. As facts the Commission found: (1) that public convenience and necessity required that the connection be made; (2) that such connection would not result in any substantial detriment to the service of either company; and (3) that such connection could he so made as not to result in irreparable injury, or in fact in any injury, to either of the utilities involved. The court sustained the order of the Commission, but appears to have reached the conclusion that the order was right on a different ground, or at least an additional one, from that on which the Commission based its decision. The opinion of the court would indicate that it entertained the view that although a part of plaintiff’s property was taken without compensation and although the application of the statute might result in greatly depreciating the value of its local exchange at La Orosse, still it was a valid exercise of the police power.

The plaintiff argues (1) that public necessity and convenience did not require a physical connection in this instance, and that the finding to the contrary has no sufficient support in the evidence and is against the testimony offered; (2) that the order will result in irreparable injury to it in at least four particulars: (a) it will practically destroy its local exchange at La Crosse; (b) it will divert toll business to La Crosse which plaintiff now receives over independent lines with which it is connected, to the local company; (c) it will enable the local company to divert unprofitable outgoing toll business from it's own lines to those of the plaintiff; (d) it will enable the local company to ascertain what toll lines of the plaintiff in the vicinity of La Crosse are profitable, and result in duplication; (3) that the order and [395]*395statute violate plaintiff’s constitutional riglxts, in that they take its property without due process of law and without compensation and deny to it the equal protection of the laws.

If the contention is correct that the finding of convenience and necessity should not be permitted to stand, it is decisive of the case and no other question need be considered. The question raised is one of fact, and the plaintiff has against it the conclusion reached by the Commission, which has also received the sanction of the trial court. The burden rested on the plaintiff in the lower court to show by clear and satisfactory evidence that the determination of the Railroad Commission was unreasonable or unlawful. Sec. Vl^m — 70, Stats. At the time of the hearing before the Commission there were 1,186 subscribers to the local exchange of the plaintiff at La Orosse, and 3,082 subscribers to the exchange of the local company. Included in these figures are 561 users who were subscribers to both exchanges.

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Bluebook (online)
156 N.W. 614, 162 Wis. 383, 1916 Wisc. LEXIS 157, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wisconsin-telephone-co-v-railroad-commission-wis-1916.