Foltz v. Public Service Commission

Citations

• 73 Pa. Super. 24
• 1919 Pa. Super. LEXIS 167

Syllabus

<p>Constitutional law — Public service corporations — Street railways —Contracts with municipalities — Bates.</p> <p>The enactment of the Public Service Company Law (Act of July 26, 1913, P. L. 1374), is a proper exercise of the police power of the Commonwealth delegating to the Public Service Commission absolute and exclusive authority to declare the policy of the State, in matters of public concern relating to public service companies, and this power includes the right to declare that any element of a contract, especially a continuing obligation, such as the agreement not to charge more than a given rate of fare, entered into in consideration of the consent of the municipality to the use of its streets by a street railway company, can be declared void, either temporarily or for all time, if, in the opinion of the commission, it would operate to the detriment of the public in interfering with the efficiency of the service of such public service company, or if it amounts to a confiscatory rate. This power to declare what is public policy, under any given state of facts, is .an exclusive delegation to the Public Service Commission.</p> <p>Constitutional law — Constitution of Pennsylvania — Police power —Constitution of the United States — Impairment of contracts.</p> <p>Section 9 of Article XVII of the Constitution of Pennsylvania which provides that “No street passenger railway shall be constructed within the limits of any city, borough or township without the consent of the local authorities” construed in connection with Section 3 of Article XVI of the same Constitution providing that “The exercise of the police power of the State shall never be abridged,” etc., does not deprive the State of authority to regulate the rates of public service corporations for the general welfare of its inhabitants. This delegation of the police power is proper, in so far as the right to declare conditions in such contracts relating to rates contrary to public policy, when entered int