Case involving contentions, issues of fact and of law, and
character of evidence introduced, largely similar to those in
City of Hammond v. Schappi Bus Line, ante,
p. 275 U. S. 164
remanded to district court upon considerations explained in that
Decree of circuit court of appeals modified.
Certiorari, 273 U.S. 675, to a decree of the circuit court of
appeals which reversed a decision of the district court dismissing
the bill in a suit to enjoin the enforcement of a city ordinance
restricting the use of streets by motor busses.
MR. JUSTICE BRANDEIS delivered the opinion of the Court.
This suit was commenced in the federal court for Indiana in
June, 1925, and is here on certiorari to the circuit court of
appeals. 273 U.S. 675. As in City of Hammond v. Schappi Bus
Line, Inc., ante,
p. 275 U. S. 164
plaintiff, Farina Bus Line & Transportation Company, is an
Illinois corporation; the defendant is the City of Hammond; the
relief sought is an injunction to prevent the enforcement of
Ordinance No.1945, adopted May 23, 1925, and the relief was denied
by the district court, without finding any facts and without
opinion. The circuit court of appeals reversed the decree and
remanded the case, with directions "to enter a decree granting the
injunction." The decision was rendered on the same day
Page 275 U. S. 174
on which that court rendered its decision in the
case. It also made no finding of facts. It filed
no opinion, and gave no reasons for its action save the statement
that "the discussion there applies equally to this case."
The Farina Company operates a route from several small cities in
Illinois through the Town of Munster, Indiana. to its terminal in
the business district of Hammond. There, its busses connect with an
allied street railway, which extends from Hammond into the City of
Gary, Indiana, and through passengers from the Illinois cities to
Gary pass over this route. A small percentage of the business is
inter-city traffic between Munster and Hammond, and hence
intrastate. The Farina Company holds a certificate of public
convenience and necessity issued by the Public Service Commission
of Indiana under the Acts of 1925 for all its routes. The Farina
Company alleges that the ordinance, if enforced, will necessitate
abandonment not only of the existing routes, but of its business.
The evidence, consisting mainly of affidavits, is conflicting.
The contentions, the issues of fact and of law, and the
character of the evidence introduced, are largely similar to those
in the Schappi
case. But there are differences which may
be important. The Calumet Company does not serve Munster or the
small Illinois cities, so that it is not a direct competitor of the
plaintiff. None of the busses carry local passengers within the
City of Hammond. There is also a difference in the stage of the
proceedings at which this case came before the circuit court of
appeals. It was heard on appeal from the final decree. An
application for an interlocutory injunction had been made, but the
cause was later submitted to the district court by agreement of the
parties, as upon final hearing, and the bill was dismissed.
The considerations which led this Court to remand the
case to the district court for further
Page 275 U. S. 175
on final hearing are applicable in the main also to this case.
We think that it should be heard by the district court anew upon
final hearing upon evidence to be adduced. To this end, the decree
entered in the circuit court of appeals is affirmed insofar as it
reversed the decree dismissing the bill. Insofar as it directs that
an injunction issue, it is modified to the extent of directing an
injunction pending the suit, instead of a permanent injunction the
propriety of the latter being reserved until the final hearing. The
cause is remanded to the district court for further proceedings on
final hearing, that court to have liberty, among other things, to
allow amendment of the pleadings. Costs in this Court are not
allowed to either party.
Decree modified and cause remanded to the district court for