State ex rel. Atty. Gen. v. Hocking Valley Ry.

Citations

• 21 Ohio C.C. Dec. 175

Syllabus

<p>EVIDENCE — MONOPOLIES—QUO WARRANTO —RAILROADS.</p> <p>1. Railway Company Unlawfully Owns Controlling Interest in Coal Minin#, Company;</p> <p>A railway company, incorporated under the laws of Ohio has no authority to acquire and hold shares of the capital stock of a company incorporated to mine and deal in coal, and especially is this so when the shares of stock so held constitute a majority or controlling interest in such coal mining company.</p> <p>2. Railroad Company Controlling Coal Mining Company Held Monopolistic.</p> <p>The control and management of a coal mining company hy a railway company, upon whose road the coal company is a shipper, through stock ownership tends to monopoly and restriction of trade and competition and is therefore unwarranted and illegal.</p> <p>3. Coal Mine Outlet Railroad'not Suci-i a Company as Another Railroad-Company may Hold Stock.</p> <p>An incidental purpose in the charter -of a coal mining company to construct a railway from its mines to a railway or other outlet does not, constitute such coal mining company a railway or kindred company so as to make applicable Sec. 3300 or 3256 Rev. Stat., authorizing a, railway company to subscribe for and hold stock in another railway or kindred company.</p> <p>4. Endorsement of Mining Company Bonds by Naturally Competing Railroads Ultra Vires.</p> <p>The endorsement and guarantee of the bonds of a coal mining company hy a railway company is ultra vires, and so also is an agreement between railroad companies operating parallel and naturally competing railroads to endorse and guarantee the bonds of a coal mining company in consideration of an equal division between the railway companies of all freight to and from the mines of the coal company.</p> <p>5. One Railway Owning Majority of Stock in Naturally Competing Line: Invalid.</p> <p>The ownership of a majority or controlling stock by one railway company of another railway company owning and operating a line of railway, a substantial part