A resolution of a municipal council directing a street railway
company to remove and replace tracks and wire, and, in case of
failure to comply, instructing the City Solicitor to take such
action as he deems advisable to enforce the resolution, amounts
only to direction to bring a suit, and, even if contract rights
should be violated if the resolution were enforced, the resolution
does not of itself amount to an ordinance or law impairing the
obligation of contract, and the circuit court has no jurisdiction
of a suit to enjoin its enforcement.
The facts are stated in the opinion.
Page 214 U. S. 183
MR. JUSTICE HOLMES delivered the opinion of the Court.
This is a bill brought in the circuit court by an Iowa
corporation against a city of Iowa. The ground of jurisdiction is
that a resolution of the city council of that city is a law
impairing the obligation of contracts within the meaning of the
Constitution of the United States, and, if carried out, will take
the property of the corporation without due process of law,
contrary to the Fourteenth Amendment. The circuit court granted an
injunction against the enforcement of the resolution, and the
defendant appealed to this Court.
The plaintiff, the appellee, sets up, under a certain ordinance,
a right, unlimited as to time, to construct, maintain, and operate
an electric street railway in and over the streets, alleys, and
bridges of Des Moines. The resolution alleged to impair these
rights is as follows:
"Whereas questions have been raised as to the rights of the Des
Moines City Railway Company and the Interurban Railway Company to
maintain their tracks and operate their lines upon and along and
over the streets and bridges and public places of the City of Des
Moines, and"
"Whereas it is essential to the preservation of the rights of
the City of Des Moines that such questions be determined as
speedily as possible, "
Page 214 U. S. 184
"Be it resolved by the City Council of the City of Des Moines
that said companies be, and they are hereby, ordered to remove all
of their tracks, poles, and wires from the streets, bridges, and
public places of the City of Des Moines, and to restore and repair
the surface and pavement, where paved, of all of the streets along
which they they are now operating their lines, and said companies
are hereby ordered to commence said removal within twenty-five days
after the passage of this resolution."
"Be it further resolved that, should the said railway companies
fail to commence such removal within the time above specified, the
City Solicitor be, and he is hereby, instructed to take such action
as he shall deem advisable and necessary to secure the enforcement
of the above resolution."
"Be it further resolved that the City Clerk be, and he is
hereby, instructed to serve a certified copy of this resolution
upon the Des Moines City Railway Company and the Interurban Railway
Company forthwith."
We are of opinion that this is not a law impairing the rights
alleged by the appellee, and therefore that the jurisdiction of the
circuit court cannot be maintained. Leaving on one side all
questions as to what can be done by resolution, as distinguished
from ordinance, under Iowa laws, we read this resolution as simply
a denial of the appellee's claim, and a direction to the City
Solicitor to resort to the courts if the appellee shall not accept
the city's views. The resolution begins with a recital that
questions as to the railway company's rights have been raised, and
ends with a direction to the City Solicitor to take action to
enforce the city's position. The only action to be expected from a
City Solicitor is a suit in court. We cannot take it to have been
within the meaning of the direction to him that he should take a
posse and begin to pull up the tracks. The order addressed to the
companies to remove their tracks was simply to put them in the
position of disobedience, as ground for a suit, if the city was
right.
Decree reversed, with direction to dismiss the
bill.