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CONFLICT OF LAWS.

Where an action was brought in Pennsylvania on a judgment recovered in New York State, an affidavit of defense, in which it was averred that it did not appear that an order granting leave to bring this action had been made by the Court in New York in accordance with Section 1913 of the Code of Civil Procedure of that State requiring such an order, was held insufficient to prevent judgment. The provision in the New York Code had no application outside that State and was not binding on Pennsylvania courts, as it was purely a matter of remedy or procedure. The Act of April 6, 1911, P. L. 51, was passed in order to prevent fraud and deception in the manufacture of sausage, while the Act of Congress of March 4, 1907, 8 U. S. Comp. Stats., Sec. 8681, providing for the inspection of meat, only prohibits the use of unwholesome ingredients. These statutes do not cover the same field and are not in conflict, and a conviction under the State law for selling in Pennsylvania, sausage made in Chicago, under Federal inspection, was sustained

The Practice Act of 1912 (P. L. 1912, p. 397) of New Jersey, which enacts that "when a new trial is ordered because the damages are excessive or inadequate, and for no other reason, the verdict shall be set aside only in respect of damages, and shall stand good in all other respects," is not binding upon the Federal Courts; impairs the right of trial by jury and offends the Constitution of the United States When a Pennsylvania concern orders goods from a firm in New York, to be delivered in the former state, the sale is made in New York, and is not such a conducting or carrying on of business in Pennsylvania as to bring the New York firm within the purview of the "Fictitious Name" Act of July 28, 1917, P. L. 645

CONSTITUTIONAL LAW.

The words "concurrent power" in the Amendment the Eighteenth to United States Constitution prohibiting traffic or use of intoxicating liquors are intended to authorize either the State or the Federal Government to carry the amendment into effect, and if the State imposes severer restrictions than those imposed by Congress the State laws may, within the confines of the State be enforced

To vest in the Public Service Commission authority to fix water rates for the city is to deprive the latter of one of its charter rights on the faith of which it has incurred debts and levied taxes-a right granted generally and specifically and never withdrawn. Whether the vesting of this right in the commission offends against Section 20, Article III, of the Constitution, which prohibits

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delegating to any special commission the power to perform any municipal function we deem it unnecessary that we express an opinion... 122 The effect of the XVIII Amendment to the Federal Constitution and the National Prohibition Act of October 28, 1919, is to render inoperative the whole license system of the Brooks Law of May 13, 1887, P. L. 108, with penalties for its enforcement, and the Courts of Quarter Sessions are, therefore, without jurisdiction to grant licenses

The Act of July 8, 1919, P. L. 786, relating to municipal improvements by townships is retroactive and the title is sufficient

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An Act of Assembly authorizing suit to be brought against the Commonwealth, by an individual named in the Act, to recover the value of materials furnished and work and labor done in the improvement of a State road under the direction and supervision of the Highway Department, is unconstitutional; being in violation of Section 7 of Article 3 of the Constitution of the Commonwealth 218 It would be impossible for Congress to fix any definite standard, any fixed rate, as the measure for determining an unjust or unreasonable rate or charge for commodities. This because profits must always depend upon a number of varying elements, including time, place and circumstance. A fixed standard in practical operation would necessarily prove unjust and unreasonable in the extreme. The words used in the Act of Congress of August 10, 1917, known as the Lever Act, were of common use and of well-known meaning. If for profiteering and greater gain, the merchant takes the risk of violating the statute, he cannot complain if the jury denounces his act as lawful

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The Act of Congress of October 22, 1919, known as the Lever Act, in so far as it declares it to be "unlawful for any person wilfully to make any unjust or unreasonable rate or charge in handling or dealing in or with any necessaries," is vague, indefinite and uncertain, and because it fixes no immutable standard of guilt, but leaves such standard to the variant views of the different courts and juries which may be called on to enforce it, and because it does not inform defendant of the nature and cause of the accusation against him, is constitutionally invalid, and demurrer by the defendant sustained

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The granting of a new trial in an action of trespass the sole ground that the damages awarded were inadequate and directing that at the retrial the jury should only pass upon the amount of damages suffered by plaintiff was in conflict with the seventh amendment to the Constitution of the United States, which provides that "the right of trial by jury shall be preserved"... 401 The Acts of Assembly creating the Juvenile Court of Allegheny County, Pennsylvania, are not unconstitutional in that they take away the right of the people to be secure in their persons, houses, etc. The Juvenile Court has jurisdiction of children under the age of sixteen years, and, having lawfully acquired jurisdiction, the minor is not entitled to a trial by jury on reaching the age of sixteen, he at that

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revenue

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time being in the custody of the Court as a delinquent.. The Pennsylvania Public Service Commission entered an order fixing the entire annual of a water company. The company appealed to the Superior Court of Pennsylvania, alleging that the Commission's order was confiscatory, and, therefore, in violation of the Fourteenth Amendment to the Constitution of the United States. The Superior Court reversed the order on the ground that it was confiscatory. The Commission and the other appellees in the Superior Court then apof pealed to the Supreme Court that Pennsylvania and Court reversed the judgment of the Superior Court and reinstated the order of the Commission on the ground that under the Pennsylvania Public Service Company Law the courts could not decide such a case upon their own views as to the weight of the evidence, but must uphold the Commission's findings of fact, if those findings are supported by substantial evidence, and that in the case at bar the Commission's findings were supported by substantial evidence. Upon a writ of error allowed by the Supreme Court of the United States, on the application of the Water Company, Held:

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(1.) That the order of the Commission was legislative in character art that the water company was entitled to a judicial review of that order;

(2.) That where an order of a Public Service Commission prescribes a complete schedule of maximum future rates and is alleged to be confiscatory, the State must provide a fair opportunity for submitting the issue of confiscation to a judicial tribunal for determining upon its own independent judgment as to both law and facts; otherwise the order is void because in conflict with the due process clause of the Fourteenth Amendment to the Constitution of the United States;

(3) That the Supreme Court of Pennsylvania interpreted the Pennsylvania Public Service Company Law as withholding from the courts power to determine the question of confiscation according to their own independent judgment and that, therefore, the plaintiff in error has not succeeded in obtaining the review for which the Fourteenth Amendment requires the State to provide;

(4.) That, unless an opportunity for such a judicial review is now available and can be definitely indicated by the Pennsylvania Supreme Court, the order of the Public Service Commission is invalid:

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(5) That the judgment of the Supreme Court of Pennsylvania must DC reversed and the cause remanded there for further action not inconsistent with the opinion of the Supreme Court of the United States 417

municipal ordinance prohibiting street parades, public meetings and other public assemblages without a permit to be issued by the mayor, who shall first be satisfied "that the same shall not be detrimental to the public interests." is not void, illegal, unfair, discriminatory, oppressive or unreasonable, and is not in violation of the constitutional rights of the people to free speech and free assemblage, as guaranteed under the Constitution of the United States

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and the Constitution of the Commonwealth of Pennsylvania.. The adoption of the XIX Amendment to the Constitution of the United States strikes out of Pennsylvania's Constitution and laws the word "male" SO that every citizen 21 years of age, possessing the qualifications required by law as to residence, assessment, registration and payment of taxes, shall be entitled to vote at all elections and abolishes all distinctions on account of sex as to the right to vote without further state legislation Ordinances of the City of Pittsburgh, dated May 22, 1920, establishing a bureau to control the sale of corporate stocks, bonds or evidences of indebtedness within the city and to determine whether such securities were bona fide as well as the ordinance of February 18, 1920, requiring all sellers of corporate securities to take out a city license, were held to be void on a bill filed by a taxpayer in that the city had no authority under its charter to pass ordinances except on matters purely municipal, and the sale of stocks and bonds is not a municipal matter

A trust company cannot legally invest trust funds in bonds issued by a private corporation, the security for which is a mortgage covering the real estate of the corporation. This is not a legal investment in Pennsylvania and is prohibited by Article III, Section 22, of the Constitution of Pennsylvania Plaintiffs were employed by a railroad and recovered a verdict on a contract for materials furnished the railroad company contrary to Section 1 of the Act of May 15, 1874, P. L. 178, and of Section 6 of Article XVII of the Constitution of Pennsylvania. Where plaintiff failed to prove that it was a Pennsylvania corporation or did business in the state, the Court could not take judicial notice of these facts..

A man's home cannot be entered lawfully to make search for and the seizure of liquor therein without a search warrant properly obtained on due cause shown. Otherwise the IV Amendment to the Federal Constitution is violated

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Contracts made in direct violation of the prohibitory terms of a statute are unlawful, and, therefore, unenforceable, even though the statute regulating them does not specifically declare them to be void

An agreement between two partners, when they dissolved the partnership, that defendant would refrain from soliciting insurance for a specified time within the same city, was enforceable and defendant was enjoined from soliciting further business. The payment by plaintiff of the partnership liabilities on specified terms agreeable to both parties was a valid consideration for such an agreement

A husband living separate from his wife by agreement under which he paid a stipulated sum and was released from all claims, liabilities and interests by reason of the marriage, is not liable for the funeral expenses of his wife not incurred by his order

A written contract was entered into between a rich man and his housekeeper and nurse, by the terms of which it was agreed that if the latter should continue in the service continue to of her employer and

render him service as theretofore as long as he should live, which she agreed to do, she should be paid by her employer's executors or administrators

immediately after his death the sum of $500,000. The employe died thirty-four days prior to the death of her employer, having continued in his service up to that time. In an action by the employe's administrator against the employer's executor to recover on the contract, on the ground of substantial performance thereof, $325,000 was paid Later, in settlement of the action. ten per cent. of the amount realized en the contract was claimed by attorneys, who alleged that they had prepared for the employe the written contract executed by the parties, under an oral agreement with her that for all services rendered her in the preparation of the written contract and in the subse

quent litigation growing out of it they were to receive from her ten per cent. of the amount realized on the written contract, which oral agreement was entered into between the attorneys and an agent of the employe. The court found as a fact there was such an oral agreement between the parties. Held: In the audit of the estate, that the claim of the attorneys must be paid... The Workmen's Compensation Act of June 2, 1915, P. L. 736, applies solely If to persons lawfully employed. not by express words, by strong implication it excludes minors whose employment is prohibited by law.

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prohibitive provision as to minors in the Act of May 13, 1915 -bars any contractural or other legal relations between minors and employers. It is plain that contracts of employment within the scope of the Workmen's Compensation Act must be such as recognized by and not in violation of law so that a minor under 18 may recover an action at law for personal injuries and not by proceedings under the Workmen's Compensation Act Binding instructions in favor of the defendant were given in an action of assumpsit where the contracts were made during the period when the defendant, by a decree of a

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court of competent jurisdiction, was not only a lunatic without lucid intervals, but also while his estate was in the hands of a committee duly appointed. That decree fixed the status of the lunatic and that status continued until he was by proper proceedings restored to sanity. This was a final judgment of the Court, and the effect of it was that defendant was conclusively presumed to be incompetent to enter into any such contracts as those involved whereby his estate might be charged Where plaintiff contracted in writing to buy an automobile from defendant and then entered into a verbal agreement pending the arrival of the car, it was held, in an action to recover the amount paid, to be competent to prove the terms of the collateral agreement in that this evidence did not vary or contradict the terms of the writing. Equity will restrain the County Commissioners from awarding a contract for public work where the bid was incomplete and inadequate, not in conformity with the advertised proposals, nor in compliance with the instructions regulating bids requiring unit prices

In the ordinary acceptation the word "premium" as used in connection with county fairs implies a reward depending upon competition. It does not mean sums paid pursuant to contracts

Where plaintiff sued to recover commissions on sales of goods for the defendant company, the defendant could not escape liability by setting up a provision in the contract that commissions were to be paid on orders "subject to the acceptance" of such orders and "for goods actually shipped." Such a construction would open the doors to fraud which could be used to the detriment of others. Whether orders accepted but not shipped were refused arbitrarily was a question for the jury and new trial refused after verdict for plaintiff

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A contract for the sale of real estate encumbered by a mortgage would be merged in the deed only to the extent of the land sold and that covered by the deed. There would be no merger where the land conveyed was not included in the deed and assumpsit would lie to recover on 267 the mortgage Individuals conducting business as a partnership under an assumed name cannot maintain an action in assumpsit for goods sold and delivered in the partnership name, without first having compiled with the Act of June 28, 1917, P. L. 645. such a contract is unenforceable.. 318 Judgment was entered for defendant in an action to recover on a contract for drilling an oil or gas well. plaintiff having "refused to proceed further with said work until defendant made a payment on account," where there was an entire contract, and under its terms payment was contemplated only after the well had been completed. 329 The Commissioner of Forestry is not. constitutional officer, and his powers are exclusively derived from the legislature. No statute has conferred upon the commissioner the authority to sell timber forest lands so that such contracts are absolutely void

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In an action to recover the balance due on a written contract for the

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transfer of a coal mine and its equipment, where defendant, after an inital payment, was placed in possession, it was not error to refuse to sustain objections to defendant's offer to prove the circumstances which led to the making of the agreement, defendant being familiar with the mine and not having alleged fraud, accident or mistake Plaintiff's statement of claim based upon a verbal contract and which did not allege an express or implied contract on the part of defendant to pay a definite sum for services rendered will not support a judgment in default of an affidavit of defense, said judgment being fixed at a definite amount as damages and rule to open judgment absolute

A contract entered into by one who does business under an assumed or fictitious name, without first having registered under the Act of June 28, 1917, P. L. 615, is unenforceable and judgment entered for defendant

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In assumpsit to recover the balance due on a lease of a coal mine, it was a question of fact for the jury to determine what credits were to be allowed where plaintiff and defendant differed on the several amounts under the terms of the contract and new trial refused.... 429 A letter from the shipper to the initial carrier to the effect that the shipment had not yet reached its destination, with request that it be traced, does not constitute a claim within the meaning of a contract limiting liability A bank which maintained a steamship department and accepted money for the transportation of certain persons from Poland to the United States upon a contract which provided: "It is agreed between purchaser and this bank that in case passengers are unable to come, refund will be made, at the prevailing rate of exchange less advances made to passengers and expenses incurred. Passengers to be located and passage to be advised by railograph. No refund will be made if passengers are returned from New York by the United States Immigration Authorities,' and then forwarded the money to an ocean steamship company but failed to transport the passengers, was held liable in assumpsit for the return of the money and it was no defense that a state of war and the taking over of the property of the steamship company by the custodian of alien property had made more difficult the performance of the contract. The contract is in the alternative and could be performed at any time by defendant returning the money

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A contract providing for free gas as a condition for granting a franchise within the city, which relieves the City from the rules adopted by the defendant regulating services and obligates the defendant to furnish natural gas upon terms different from that which the defendant requires from other customers, is discriminatory in character. To permit the defendant to furnish gas without expense to the City would make a distinction between a municipality and an individual, which is not justified by the Act of July 26, 1913, P. L. 1374

Legatees or their representatives may by agreement, to be approved by the court, elect to take either in

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cash or in specie, but such a stipulation must be in proper form.... 497 The president of a corporation could not, without the approval of the board of directors, make a valid contract with the superintendent, who was also a director, to pay a bonus of 5 per cent., provided he did certain things in regard to a contract where, under the by-laws, the directors were empowered "to appoint, and at its discretion, remove or suspend such officers, managers, subordinates, assistants, or otherwise, and clerks, agents and servants, permanently or temporarily, as the board may think fit, and to determine their duties and fix from time to time, change their salaries, and to require security in such instances and in such amounts as it may deem proper".. 518 A mechanic's lien may be filed for an incompleted part of the contract to finish the building, where claimant's failure was due largely to defendant's not having made payments "from time to time" as provided in the agreement

Failure of plaintiff to buy all his coal
from defendant defeated his right
to recover from defendant for fail-
ure to deliver coal under a contract
which provided: "Entire require-
ments from date to April 1st, 1917,"*
14 inch lump coal at the rate of
$1.70 per ton of 2,000 pounds f. o.
b. the mine, and shipments were
to be advised by the buyer in "ap-
proximately equal monthly quanti-
ties."
Where the defense was partial failure
of consideration in the purchase of
a coal mine in that there was less
coal than represented by plaintiff,
it was error for the court to strike
out testimony relating to alleged
representation on the ground that
it varied the terms of a written
agreement. This evidence was
necessary to prove the actual
amount of coal and the loss. It did
not alter or vary the written terms
but showed failure of considera-
tion

It is very doubtful if a court would
sustain an illegal contract because
the defendant had not alleged the
facts constituting that contract il-
legal in his affidavit. of defense.
The general rule is, that if it
appear in the trial of the case that
the contract is illegal, then the
courts will not enforce that con-
tract

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A joint contract gives a right of joint action, not a separate action by each of the parties jointly interested; but there seems to be no principle of law which forbids a number of parties jointly concerned in a contract to permit one of them to represent all and act for all in suing for their joint rights, so long as the record protects the defendant against a multiplicity of suits..... 784 A verdict of $2,400 for plaintiff was sustained where the contract for electrical work was oral except that that plaintiff in a letter stated the work "can be done for approximately $1,200" and then proceeds to state that "ninety per cent. (90%) of their work was done on the cost, plus basis, i. e., twenty per cent. plus actual cost of labor and material and that they have no doubt that will be the cheapest way." Defendant had no cause to complain when the court submitted this question to the jury on this basis, and appeal refused.. Under the second paragraph of the Act of July 10, 1919. P. L. 910. only teachers in school districts of

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CONVICTS.

See also Parole.

The clear implication of Section 14 of the Act of June 19, 1911, P. L. 1055, as amended by the Act of June 3. 1915, P. L. 788, relating to the parole of convicts, is that the convict is not required to serve the remainder of his term without computation where after parole, he went to another state was arrested but paroled after conviction of the second offense and returned to the penitentiary in and Pennsylvania was serving out the remainder of his first sentence. He could be released a second time on parole by the Governor on the recommendation of the Board of Inspectors of the penitentiary An inmate of a state penal institution, doing work under direction of the Prison Labor Commission, is an industrial worker within the meaning of the Rehabilitation July 18, 1919, P. L. 1045, and is entitled to the benefits of a physically handicapped person in consequence of an injury sustained while thus employed

CORPORATIONS.

Act of

A corporation formed by the merger of two corporations incorporated for the purpose of storage and transportation of water and water power for commercial and manufacturing purposes and authorized by the Act of July 2, 1895, P. L. 425, to convert its water power into electric power and to distribute electric current to the public, is not an electric light company, within the Act of June 1, 1889, P. L. 420, so as to be subject to a tax on its gross receipts

A water and water power company is not taxable on its gross receipts derived from the transaction of electric lighting business..

In the incorporation of a society to be composed of members of a foreign nationality, whose purpose, inter alia, is "to promote the interests of its members by instructing them in the principles of American citizenship and good government, and by proper educational means, to oppose any radical agitation or propaganda among its members." the court will require the members to take oath to be loyal and faithful to the Government of the United States, to observe its constitution and laws and the constitution and laws of the State of Pennsylvania, and to defend the United States against all enemies, foreign and domestic, in addition to the proposed oath to be true and faithful to the society.

The Act of June 4, 1915, P. L. 828, imposes a tax on the transfer of shares

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of the capital stock of a corporation even though it may invest the holder with merely the legal title. When rendering the same character of service as public service companies, municipalities for many purposes must be considered and treated like private corporations, but, for purposes of supervision over their internal management it can readily be seen they may justifiably be put on a different basis from ordinary public service companies; for, though engaged in rendering the same kind of service as the latter, they are entitled to derive therefrom a just gain..... An offer of $225,000 for the assets of a corporation was found to be a good price where the testimony placed the value between that figure and $400,000, but that this was the only offer that had been made after long continued efforts. It would be reasonable to suppose that if the property was worth more a better price would have been obtained after such strenuous efforts 225 The court found that the corporation's assets and business were imperiled and that it was impossible for the corporation to carry on its business and discharge its functions with advantage to all of its stockholders. Held, that equity and good conscience and the preservation of the property and business of the corporation made it im

perative that a receiver be appointed to take charge of its property, assets, business and affairs, who should, under the supervision of the court, control and carry on the business to the best interests of all the stockholders until such time as, in the opinion of the court, the relations of the stockholders to each other would properly permit the restoration of the control of the business to the directors of the company, and until the court thereupon should decree further... 465 A beneficial society which is to have subordinate lodges must be granted a charter under the Act of April 6, 1893, P. L. 10, not under the Corporation Act of 1874..

By the Act of 1913, the Legislature provided an entire and complete system for the supervision and regulation of public utilities in this State. It provides that such companies shall render and furnish services at prices, rates or compensation that shall be just and reasonable; file with the Commission a schedule showing the prices or rates, and shall not "make or give any undue or unreasonable preference or advantage in favor of or to any person, or corporation or any locality"

The president of a corporation could not, without the approval of the board of directors, make a valid contract with the superintendent, who was also a director, to pay a bonus of 5 per cent., provided he did certain things in regard to a contract where, under the by-laws, the directors were empowered "to appoint, and at its discretion, remove or suspend such officers, managers, subordinates, assistants, or otherwise, and clerks, agents and servants, permanently or temporarily, as the board may think fit, and determine their duties and fix from time to time, change their salaries, and to require security in such instances and in such amounts as it may deem proper."

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