Owensboro Waterworks Co. v. Owensboro

Citations

• 200 U.S. 38
• 26 S. Ct. 249
• 50 L. Ed. 361
• 1906 U.S. LEXIS 1453

Syllabus

<p>Maladministration of its local affairs by a city’s constituted authorities cannot rightfully concern the National Government, unless it involves the infringement. of some Federal right.</p> <p>When a Federal court acquires, jurisdiction of a controversy by reason of the diverse citizenship, it may dispose of all the issues in the case, determining the rights of parties under the same rules or principles that control when the case is in the state court. But, as between citizens of the same State, the Federal court may not interfere to compel municipal corporations or other like state instrumentalities to keep within the limits of the power conferred upon them by the State, unless such interference is necessary for the protection of a Federal right.</p> <p>The acts of a municipal corporation are not wanting in the due process of law ordained by the Fourteenth Amendment, if such acts when done or ratified by the State would not be inconsistent with that Amendment. Many acts done by an agency of a State may be illegal in their character, when tested by the laws of the State, and may, on that ground, be assailed, and yet they cannot, for that reason alone, be impeached as being inconsistent with the due process of law enjoined upon the States.</p> <p>The Fourteenth Amendment was not intended to bring within Federal control everything done by the States or by its instrumentalities that is simply illegal under the state laws, but only such acts by the States or their in-strumentalities as are i iolative of rights secured by the Constitution of the United States.</p> <p>The Circuit Court cannot take cognizance of a suit to prevent a municipality from improperly issuing bonds under the circumstances of this case as it does not involve a controversy under the Constitution and laws of the United States and diverse citizenship does not exist.</p>