Liverpool, New York & Philadelphia Steamship Co. v. Commissioners of Emigration

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Liverpool, New York & Philadelphia S. S. Co. v. Commissioners of Emigration
Seal of the United States Supreme Court.svg
Argued March 24–25, 1884
Decided January 5, 1885
Full case nameLiverpool, New York & Philadelphia S. S. Co. v. Commissioners of Emigration
Citations 113 U.S. 33 ( more )
5 S. Ct. 352; 28 L. Ed. 899; 1885 U.S. LEXIS 1648
Court membership
Chief Justice
Morrison Waite
Associate Justices
Samuel F. Miller  · Stephen J. Field
Joseph P. Bradley  · John M. Harlan
William B. Woods  · T. Stanley Matthews
Horace Gray  · Samuel Blatchford
Case opinions
Majority Matthews, joined by unanimous

Liverpool, New York & Philadelphia S. S. Co. v. Commissioners of Emigration, 113 U.S. 33 (1885), was a case decided by the United States Supreme Court, in which the court held that the plaintiff was in error, being a corporation under the laws of Great Britain, and an alien, had brought this action in the circuit court of the United States for the Southern district of New York, the defendant being a corporation of that state. [1]

Supreme Court of the United States Highest court in the United States

The Supreme Court of the United States (SCOTUS) is the highest court in the federal judiciary of the United States. Established pursuant to Article III of the U.S. Constitution in 1789, it has original jurisdiction over a narrow range of cases, including suits between two or more states and those involving ambassadors. It also has ultimate appellate jurisdiction over all federal court and state court cases that involve a point of federal constitutional or statutory law. The Court has the power of judicial review, the ability to invalidate a statute for violating a provision of the Constitution or an executive act for being unlawful. However, it may act only within the context of a case in an area of law over which it has jurisdiction. The court may decide cases having political overtones, but it has ruled that it does not have power to decide nonjusticiable political questions. Each year it agrees to hear about one hundred to one hundred fifty of the more than seven thousand cases that it is asked to review.

Contents

Background

The defendant, Liverpool, Philadelphia and New York Steamship Company, was indebted to the plaintiff for the sum of at least one million and ninety-three thousand dollars, regarding passengers in vessels arriving in the state of New York, and for the regulation of marine hospitals. the defendant was paid under the inducement of certain representations of the defendant, the plaintiff being an alien and not knowing the laws of the state of New York, and under protest.

Treating it as a complaint according to the procedure under the New York Code, the defendant filed an answer setting up several different defenses, which included the following: "That by an act of congress, entitled 'A bill to legalize the collection of head- moneys already paid,' approved June 19, 1878, the acts of every state and municipal officer or corporation in the several states of the United States in collection of head-moneys for every passenger brought to the United States prior to the first day of January 1877, under then existing laws of the several states, were declared valid, and the [113 U.S. 33, 35]."

The case was cited in the per curiam decision Petite vs. United States . [2]

In law, a per curiam decision is a ruling issued by an appellate court of multiple judges in which the decision rendered is made by the court acting collectively. In contrast to regular opinions, a per curiam does not list the individual judge responsible for authoring the decision, but minority dissenting and concurring decisions are signed.

See also

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A claim in tort against a corporation formed under that act, as amended, is not a debt of the company for which the trustees may become liable jointly and severally under the provisions of the Act. In a proceeding to enforce a liability created by a state statute, the courts of the United States give to a judgment of a state court the same effect, either as evidence or as cause of action, which is given to it in like proceedings in the courts of the state whose laws are invoked in the enforcement.

The complaint in this action, after alleging that the plaintiff in error was a citizen of Pennsylvania, and the defendants citizens of New York, proceeded as follows:

"Wherefore the plaintiffs demand judgment against the above-named defendants in the sum of $40,828.97, with interest on $40,500.00 from the 30th day of July, 1874, and on $328.97 from the 3d day of October, 1874, besides the costs and disbursements of this action."

To this complaint the defendants severally demurred on the ground that it did not state facts sufficient to constitute a cause of action. The demurrer was sustained and judgment rendered in favor of the defendants dismissing the complaint, to reverse which this writ of error is prosecuted.

The statute on which the action is founded is as follows:

"SECTION 1. The twelfth section of the 'Act to authorize the formation of corporations for manufacturing, mining, mechanical, or chemical purposes,' passed February 17, 1848, as said section was amended by chapter 657 of the Laws of 1871, is hereby further amended, so that section 12 shall read as follows:"

"§ 12. Every such company shall, within twenty days from the first day of January, if a year from the time of the filing of the certificate of incorporation shall then have expired, and if so long a time shall not have expired, then within twenty days from the first day of January in each year after the expiration of a year from the time of filing such certificate, make a report, which shall be published in some newspaper published in the town, city, or village, or, if there be no newspaper published in said town, city, or village, then in some newspaper published nearest the place where the business of the company is carried on, which shall state the amount of capital, and of the proportion actually paid in, and the amount of its existing debts, which report shall be signed by the president and a majority of the trustees, and shall be verified by the oath of the president or secretary of said company, and filed in the office of the clerk of the county where the business of the company shall be carried on, and if any of said companies shall fail so to do, all the trustees of the company shall be jointly and severally liable for all the debts of the company then existing, and for all that shall be contracted before such report shall be made. But whenever under this section a judgment shall be recovered against a trustee severally, all the trustees of the company shall contribute a ratable share of the amount paid by such trustee on such judgment, and such trustee shall have a right of action against his co-trustees, jointly or severally, to recover from them their proportion of the amount so paid on such judgment, provided that nothing in this act contained shall affect any action now pending.

It is finally insisted that a judgment against the corporation, although founded upon a tort, becomes ipso facto a debt by contract, being a contract of record or a specialty in the nature of a contract. But we have already seen that the settled course of decision in the New York Court of Appeals rejects the judgment against the corporation as either evidence or ground of liability against the trustees, and founds the latter upon the obligation of the corporation on which the judgment itself rests. And it was decided by this Court in the case of Louisiana v. New Orleans, 109 U. S. 285, that a liability for a tort, created by statute, although reduced to judgment by a recovery for the damages suffered, did not thereby become a debt by contract in the sense of the Constitution of the United States forbidding state legislation impairing its obligation, for the reason that the term 'contract' is used in the Constitution in its ordinary sense as signifying the agreement of two or more minds, for considerations proceeding from one to the other, to do or not to do certain acts. Mutual assent to its terms is of its very essence."

The same definition applies in the present instance, and excludes the liability of the defendants, as trustees of the corporation, for its torts, although reduced to judgment.

The court found no error in the judgment of the circuit court, and it was accordingly affirmed.

Boyer v. Boyer, 113 U.S. 689 (1885), was a suit in error brought in a state court of Pennsylvania for an injunction restraining the commissioners of Schuylkill County from levying a county tax for the year 1883 upon certain shares in the Pennsylvania National Bank, an association organized under the National Banking Act. The suit proceeds upon the ground that such levy violates the act of Congress prescribing conditions upon state taxation of national bank shares in this, that "other moneyed capital in the hands of individual citizens" of that county is exempted by the laws of Pennsylvania from such taxation. A demurrer to the bill was sustained and the suit was dismissed. Upon appeal to the Supreme Court of Pennsylvania, that judgment was affirmed on the ground that the laws of the state under which the defendants sought to justify the taxation were not repugnant to the act of Congress.

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References

  1. Liverpool, New York & Philadelphia S. S. Co. v. Commissioners of Emigration, 113 U.S. 33 (1885).
  2. Petite vs. United States, 361 U.S. 529 (1960).