Illinois Bell Tel. Co. v. Commerce Comm'n ex rel. City of Edwardsville

• Decision Date: 21 October 1922
• Docket Number: 14751.,Nos. 14750,s. 14750
• Citation: 136 N.E. 676,304 Ill. 357
• Parties: ILLINOIS BELL TELEPHONE CO. v. COMMERCE COMMISSION ex rel. CITY OF EDWARDSVILLE. SAME v. COMMERCE COMMISSION ex rel. CITY OF ALTON.
• Court: Illinois Supreme Court

304 Ill. 357

136 N.E. 676

ILLINOIS BELL TELEPHONE CO.

v.COMMERCE COMMISSION ex rel. CITY OF EDWARDSVILLE.

SAME

v.COMMERCE COMMISSION ex rel. CITY OF ALTON.

Nos. 14750, 14751.

Supreme Court of Illinois.

Oct. 21, 1922.

Actions by the Illinois Bell Telephone Company against the Commerce Commission, on the relation of the City of Edwardsville, and by the Illinois Bell Telephone Company against the Commerce Commission, on the relation of the City of Alton. From judgments of the circuit court affirming orders of the Commerce Commission permanently suspending an increase in rates in the Cities of Edwardsville and Alton proposed and filed by plaintiff, it appeals.

Case consolidated, and reversed and remanded, with directions.

Appeal from Circuit Court, Madison County; J. F. Gillham, judge.

Cutting, Moore & Sidley and W. D. Bangs, all of Chicago, and Ben B. Boynton, of Springfield, for appellant.

J. F. Eeck, of Edwardsville, for appellees.

STONE, J.

This appeal is to review the decision of the circuit court of Madison county affirming orders of the Commerce Commission permanently suspending a certain increase in rates in the cities of Edwardsville and Alton, in said county, proposed and filed with the Commission by the appellant. Separate schedules of rates were filed and the orders entered thereon were separate orders. The causes, however, have been consolidated in this court for purpose of review.

On September 1, 1920, appellant filed its schedule of rates with the Commission, to become effective thirty days thereafter. The Commission, under the terms of section 36 of the Public Utilities Act (Laws 1913, p. 478), proceeded to a hearing concerning the reasonableness of the proposed rates and postponed the date on which the same should go into effect for a period of six months. On February 1, 1921, the Commission entered a second order suspending the date for the going into effect of the proposed rates for another six months. On July 19, 1921, the Commission entered a third order of suspension for an additional period of six months. On October 31, 1921, the Commission entered an order permanently suspending the schedule of rates filed and annulling and canceling the same. A rehearing was asked and denied. The circuit court affirmed the orders of the Commission. The ground upon which the permanent suspension orders of the Commission were entered was that there had been a marked decline in the price of labor and materials entering into the cost of telephone service; that for that reason the Commission could not then fix rates for the future, and it refused to determine what would be reasonable rates.

Section 36 of the Public Utilities Act provides:

‘Unless the Commission otherwise orders, no change shall be made by any public utility in any rate or other charge or classification, or in any rule, regulation, practice or contract relating to or affecting any rate or other charge, classification or service, or in any privilege or facility, except after thirty days' notice to the Commission and to the public as herein provided. * * * No public utility shall increase any rate or other charge, or so alter any classification, contract, practice, rule or regulation as to result in any increase in any rate or other charge, under any circumstances whatsoever, except upon a showing before the Commission and a finding by the Commission that such increase is justified. Whenever there shall be filed with the Commission any schedule stating an individual or joint rate or other charge, classification, contract, practice, rule or regulation, the Commission shall have power, and it is hereby given authority, either upon complaint or upon its own initiative without complaint, at once, and if it so orders, without answer or other formal pleadings by the interested public utility or utilities, but upon reasonable notice, to enter upon a hearing concerning the propriety of such rate or other charge, classification, contract, practice, rule or regulation,...