On Dec. 2 the Court of Errors and Appeals, by a tie vote, 7 to 7,
practically affirmed the decision of Vice-Chancellor Griffin in denying
an injunction to the Public Service Railway Co. to prevent operation of
jitneys on the public highways. The affirmative votes were by Justices
Black, Kalisch, Parker, Swayze and Trenchard, and Judges White and Van
Buskirk; the negative by Chief Justice Gummere, Justices Bergen,
Katzenbach and Minturn, and Judges Williams, Gardner and Heppenheimer.
Justice Minturn wrote an opinion for the negative view.
The essential points relied upon by counsel for the railway company in
support of the application for an injunction against the jitney owners
were that none of the defendants had applied for and obtained consent
for the use of the streets and highways on which they operated, as
required by the Limited Franchise Act of 1906; that none of the
defendants filed with the chief fiscal officer of the city in which they
operate a policy of insurance, as required by the Kates Jitney Act of
1916; that Barnett, though filing a policy of insurance in Newark, filed
only a copy of the policy in Elizabeth; that Banker filed a policy in
New Brunswick, but none in South Amboy; that the Public Service Railway
in the enjoyment of a legal franchise is entitled to an injunction
against the alleged illegal competition on the part of jitneys, and that
the Public Service is entitled to protection of its franchises and
business by injunction under decisions of the New Jersey court.
Merritt Lane, counsel for the jitney owners, questioned the jurisdiction
of the Court of Chancery to grant the injunction, contending that the
rights of the Public Service are not of such a nature as to justify it
in seeking relief in any Court, and argued that the franchise of the
company was not to transport passengers for hire and reward but to lay
and maintain rails in public streets and to operate cars thereon. Mr.
Lane also submitted that to grant the injunction would create a result
manifestly opposed to public policy and would result to the disadvantage
of the public. He submitted that the Company was not in a position
adequately to handle the traffic and that if the jitney were eliminated
hundreds of thousands of persons would be obliged to walk or stand while
riding.