Hygeia Water Ice Co. v. New York Hygeia Ice Co.
| Decision Date | 28 November 1893 |
| Citation | 140 N.Y. 94,35 N.E. 417 |
| Parties | HYGEIA WATER ICE CO. v. NEW YORK HYGEIA ICE CO., Limited. |
| Court | New York Court of Appeals Court of Appeals |
OPINION TEXT STARTS HERE
Appeal from supreme court, general term, first department.
Action by the Hygeia Water Ice Company against the New York Hygeia Ice Company, Limited, to restrain defendant from the use of the word ‘Hygeia’ in the corporate name. A judgment for defendant was affirmed, (19 N. Y. Supp. 602,) and plaintiff appeals. Affirmed.
Clarence A. Seward, William D. Guthrie, and Charles Steele, for appellant.
Ashbel P. Fitch, (George E. Mott, of counsel,) for respondent.
The plaintiff sought to restrain the defendant from the use of its corporate name, on the ground that such name so nearly resembled that of the plaintiff as to be calculated to deceive persons dealing with them. The plaintiff was incorporated March 1, 1890, pursuant to chapter 40 of the Laws of 1848, and the acts amendatory thereof, under the name of the ‘Hygeia Water Ice Company.’ The defendant was incorporated April 1, 1890, pursuant to chapter 611 of the Laws of 1875, under the name of the ‘New York Hygeia Ice Company, Limited.’ The corporate name of the defendant was selected by the incorporators in January, 1890, but nuder the act of 1875 it was necessary to procure subscriptions to the capital stock, and comply with the provisions of that act, before the incorporation was perfected. This occurred on the 1st of April following, and the capital, then fixed at $200,000, was all paid in, and subsequently increased to $300,000, all of which was paid. The original capital was used in procuring the necessary plant, machinery, and other property necessary to the conduct of the business, which was commenced almost immediately after the incorporation was finally completed. The incorporators then had no knowledge of the use of the ward ‘Hygeia’ by any other ice company, nor until the commencement of this action, September 25, 1890, when its business was in full operation. The plaintiff company, as we have seen, was actually organized a month before the defendant, the provisions of the act of 1848 not requiring compliance with such formalities as the act of 1875, with three stockholders, and an authorized capital of $5,000, but half of which was ever paid in. It has never actually engaged in the business of manufacturing ice, or any other business, and its sole property consists in its corporate franchise. It is apparent from these facts that there was no fraudulent intent on the part of the defendant to appropriate the plaintiff's name, or any part of it, and that the reasons for the interference of a court of equity are not very strong. In such cases a party has no absolute right to the aid of the equitable powers of the court, but they may be withheld in the exercise of a sound discretion as the facts and...
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