Press enter after choosing selection

Attys. Lawrence And Sawyer Differ About The Decision

Attys. Lawrence And Sawyer Differ About The Decision image
Parent Issue
Day
7
Month
March
Year
1902
Copyright
Public Domain
OCR Text

ATTYS. LAWRENCE AND SAWYER DIFFER ABOUT THE DECISION

The City of Ann Arbor and the Ann Arbor Water company have a contract which is embodied in an ordinance.

Monday the United States supreme court rendered a decision in the Detroit 3-cent fare case.

This highest tribunal holds that the City of Detroit and the railway company are bound by their contract until it expires or is abrogated by both parties. It was held that the ordinance enacted by the city government of Detroit arbitrarily reducing street car fares to three cents was irregular and without binding effect.

The decision was based upon the fact that previous ordinances had been passed fixing the street car fares at five cents. These original ordinances were construed by the court to be in the nature of contracts.

LAWRENCE'S VIEWS.

Attorney John F. Lawrence, of the Water company, was seen regarding the decision. Said he:

"The decision should finally settle the waterworks question in Ann Arbor. It means that our contract with the city is binding and that we have the right to charge rates that will yield a fair profit upon our investment. The city cannot go back on its contract with the company by arbitrarily reducing rates that would be ruinous."

SAWYER'S VIEWS.

City Attorney Sawyer was seen and holds a directly opposite view from Mr. Lawrence.

He said: "That decision does not affect the present case. We have a contract with the Water company, but that contract states that for domestic purposes the Water company can charge only reasonable rates, or rates charged by cities similarly situated. Now, by thunder, I have been working to get at reasonable rates and, by thunder, I think I have got them."