University of South Carolina Libraries
STATE SUPREME COURT TAKES JURISDICTION. (tf'wiiliiiiicd from pa#e one.) issue ?is prayed for. The dispensary commission in ji>s return ;in?| answer admits (ho statute above recited require of them Die paym.mt of I lie sum therein mentioned io the S(ale Ireasurer, and their custody of funds s-ullicieiit to meet ihe requirement and tin? refusal to make Mi,, payment. As just itienl ion for its refusal to eomiply with the stnt'iile I lie coin mission a'llei>es: thai I iiey are restrained and enjoined )?y orders of I lie tniled Stales circuit ci ni l for this eireuil from paying any funds into the hands of th.i Stale treasurer, in I wo eases, to wit : The ea-e of Ih.> W'.ibon | )islillin? company v*. W. .1. Mnrrav and ol,l:M * r\ -f I heir hill ,,f cimi. ]?! ?"" 'iny hereto al|ache.| an I marked 'hxhihil A.' ahm/r with the rest lMiuia-r order in said ease. and an amend.>d hill :hai has .jn^i been filed. j And furl Iter l.ial lliey ar- restrained b.V "in order in ||?. case of the Kleiseh'"""n company v,. W. ,|. Mmrrav and j others. a copy . f wj.i.-h hill and resi raining order and oral decision as j nniioone.d i-. ;lv.rcio allaehed a:,,! marked ' llvhihil ! ;.' "' I lie eoiisideral-ion of Hie question whether that whieh purports to lie the' jnd'jnieiil of another court is void fori h"-lv of jurisdiction, is always to he entered on with .lefereiice by I he coin | helore which the question imiadc; and the opinion of a court of exulted dignity and a< k mnvleducl ability I,, fav r of i|s own jnrisdic'I'"11, ''1^' lls "I inion subject-. should ha\c a stnui^ persuaisve lnl ' :> in .- in favor of the clu-ion i' reached. There is n , rea.-on f,,j ! air if! \ or a -j ei iiy ..n accoiinl ..f di!'. ' lei eii'-e-; between cinN ..j' |!,(. 1,,;,. ' ed Stale.- a.n| the Slate courts. The-e ' "III 'erenmust sometimes arise un- ! 111 oiii iiii.iI .system ol yuv'eminent, j ,ml readily and finallv set-, "ed I'.v I he supreme court of | |,e" 1'nil- ; ''d s 'He-, will I hardship to Hie parlies interested, and without sacrifice of t heir rights. Willi the vlea|est respect for liiel learned j?,|-e who has made the or- I der ..| in jniicl ion relied on hy I Ire re- j spondenl in this controversy, and after careful consideration of the opin- j ?"n hied in .support of | hese orders, } ",,s "' 'l:,s reached the conclusion \ (mil (he circuit court of |he t'niledj Stales has jurisdiction of a matter in | which the political riyhls and proper- I l.v interests of the Stale ,.f South ?'arolina are vitally involved, wituout the consent of the Slate. \\\ 1 1 hose order- uo| onl\ has t hat court es-ayc.l |lt iaU?- char-e of and admin- | Jstei- the property of the Slate wit!:-! '>"1 Hs consent, hut ii has also under- j laken lo assume control and wind up a disiincl d.paplmcnt of the -o\ern,U('"t of ? sovereign Stale, in disregard o| ||,e plan which I lie Stale i|s,'!f "dopled ami decreed hy Hie solemn enaelineii't of its general asset,i- 1 bl.v. II {-hese conclusions can he sus- 1 faiiu'd hy a consideration of the con-i s' i' "I ion and slalules of the Stale, then il will l.v conceded the proceed-I n*s of the federal court were al-l .em,pl s I,, sue I he Slate of Soiil.i ' i arollna without its eousenl. and the mailer.- which thai tribunal has mideriaken |(1 adjudge were beyond the' jiirtsilicl ion ,,f an\ court ; and there- I lore its orders or injunction must he regarded as nullities affording no letfal ;irotee| ion |o (he respondents. ! I ue pi niciple thai cue of Ihe Slaof Ihe I'nited Slates can mil. without it- consent, he sued in any! court l,y a private citizen was thus! 'expressed and crystnlizcd in (he second amendnvnl of ihe constitution uf Hie IHiied Slates; "Tlio judicial power ol Hie I'nited Slates shall not j he const rued to extend to any suit in law or equity commenced or prose en tod against one of Hie United Slales by citizens ol another Stale, or b\ citizens or subjects of any forei-ii Stale." It is now .uencra-lly held that ! exemption from sin h a suit is an incident of sovereignly not dependen! j upon Ihe constitutional provision. Kawanauakoa vs. INdyblaiik, L'Oo I'J S., .517. :?l L. Md. s:u.' The claims of the alleged creditor-. ! whose rights the federal court undertakes to adjudicate, aiv for all.-^vd dehts contracted in the operalioirol' <Jie Stato dispensary; and the funds out. of which that court is attempting to satsf.v them were derived from the assets ol' the State dispensary. Therefore, in determinino; whether the suits in \lro federal court <a.ro for the adjudication of the State's liabilities and the disposition of the State's property, and so not recognizable by any court, it is essential to ascertain and state the relation the Stale dispensary bore to the State of South {' Carolina. The court then reviews tho history ^of the dispensary law, saying the constitutionality of the dispensary act \ \ \. . ' X \ in so far ms it provided |'or the State I lo own all (lit? liquor brought into tliy Slate lor salt: and to monopolize the sale of 1 i(|ii<?i' wiWiin -the Stale, was finally established by the judgment ol* (bis court in State vs. Aiken, 42 S. il. 222, and subsequently by the judgment of I lie supreme court of the I'nited States in Vandercoek vs. Vance, 170 I J. S. -MJ3. II is nothing lo (.lie purpose to say I lie liipior trade should not have been inadi' an integral part of the State I'.ovi'riimeiil. 'I'iie fact Is it was so mad.'. Whotiher as such part of the State governinent it was a success or a disastrous failure is a question for political discussion quite apart from this controversy as to its legal staI IIS. hi the next place, il is to be observed the statutes nowhere give any ! legal remedy whatever lo thus,, who sold liquor to (lie directors of tin;' Siati' dispensary ami I hereby became! creditors of the Slat.'. Such ctvdi-I 1 tors were lepemlenl entirely upon the j good faith of lh,' Stale to discharge J its obligations. This brings lis to fne tiivolal ques- ' I ion: lias the Stale, in clnsiti^ out j I hi- department ol the government in j, the lorin in which it iVrmei'ly existed, conferred I>statule upon creditor*. the right lo sue lor the establish-' iii'?il ami collection of these debts ' ?l'ii- from tin* Stale, and by sla>tutc|' set apart I lie public, funds derived from the disposition of its dispensary assets to be subject to seizure """I final disposition under judicial ' order I lie sla'lutes ami resolulions passei| by the general assembly, which , immediately preceded the act provid-j : i"g for lii,- appnintnieiit of this com- j it.'--ion. how I lie persistent piirpox-' in' wi'!! defined public policy to| n- to the ul most the -ovcreign pnw-l, er ol t He S| ;i le in I lie invest iuaI ion of I ( i it-M' charges ami in s'ep,irat iug jn-i from fraudulent claims. The pre-' sumption i-; exceedingly sirens' again>t a legislative intention In j i sidilenly abanlou this purpose an 1 j policy ami strip the State of its K sovereign righl to decide for itself! what in ju.Miee ami faith it was call- j ed on to do in respect lo the claims . i-ailist it. I lie statute seems plain in itself, , Imii when viewed in the light of these , conditions, we do not see how a doubt | can remain thai il is lo be construe I as providing a method of safeguarding the rights of the Stale, uncov- , ering" I rands against it and providing lor tne ascertainment, determination a::. 1 payment of the trim debt of the Stale in the premises, by the comiuis- '! -ion who were invested ..it 11 full responsibility ami discretion to the'*' accomplishment of these ends, sub- j ' jeel to no intereference except that j of the generaI assembly itself. Willi I 'his disci el ion lodged with respect to!'! the matter in its charge and a suit I brought against it for any purpose I j< was. in ell'ecl, a suit against the Stale. j \\ 'e are not eairel nl to inquire (| whether the discretion as lodged in j I he coitrtnission is a discretion of a p judicial or executive ollieer, for the supreme court of the I'niled States " rests its conclusions 1 h ;t no court , can disturb the discretion with which the Stale lias invested its ollieers or agents upon any such distinction. Hut, if the ui tinction be essential, it has " been held in numerous cases in this " Sl.ate that the county board of cominissioi:-.'rs, a 'hoard whose statutory duly is to investigate and appi..\" claims n.-aiusf tl.e county, in perloriiiiu^ lliis duly, exercises a judicial function. This dispensary ciui.inis.-ioii, though having only a tempotary existence, is charged with precisely the same duty with respect lo claims against the Stale on account of the dispensary; and by I'.iiily of reason: tig their discretion is a judicial discretion and their action with respect to the validity of the claims, judicial action; and so we. hold. What State Rights Are. 1 lie State has a rijslit lo lay down any condition, 'however hard or arbitrary. it may choose w ith which its I creditors must comply as a condition ol payment of their demands. Xo court has the righl to abate one jot or tittle of such conditions. There i^ no ground lo say that the condition that th?' creditor s>hall abide the Iinding of any person designated by the State lo act for it in ascertaining the validity of his claim is an exception of this principle. Xot only was discretion imposed on t he cominssion in ascertaining tiiie tradulent and bona fide claims against the State but the State itself has a very large interest in the $800,000 in its hand. The doctrine recognized and applied by the supreme court ol Iae I nited States and nil courts is thus staled by Justice Lamar: '' fho court will look boh Mid and through the nominal parlies to tho record to ascertain who are tho real parlies to tlie suil." Pennoyer vs. Me Community. The ease <>L' Nov Hampshire vs. Louisiana, IDS, U. S 7(5, is also referred to. In I his cas< however it is not necessary to lool behind the record for Mie record it the federal court and in this couri shows beyond dispute the State's in terest to be vitally involved in tin suits brought in the federal courts That interest is not only its obliga lion as a government lo protect it self against, fraudulent claims-but t:lu surplus over just debts is lo be paiti by the commission into the treasury for lho State for the use of Hie Stale That the Stale is a necessary part\ 10 any suil at" fee ling the funds iself evident, for surely it is enlitlcil to be hoard in Uie adjudication ol what are fraudulent claims atvainsi 11 an.l how much surplus is to remaii: for ils use. 11 is no answer lo say the Stab will not be bound by the proceeding iinil judgment in'lhe federal court; for the court is undertaking to con Irol and dispose of the public fund? in the bauds ol the Stale ollieers and '>1 I lie l unds are disposed of mulct the order of the court, there will Ik nothing lo which any riuht of the Stale can at Inch. Lastly, let it !>, assumed for th?> moment contrary to our conclusion that the tSate by the statute of the 2-1 111 of Kebruarv, 1007. creating the i-oiii,mission, did consent thai tho.se kv'ho held claims against it on account i?f the dispensary could have tli^ii laims adjudicated by the courts and he Static dispensary assets adminis.ered by the courts and applied Jo laiins so adjudicated. This would ml alter the result for it is obvious f any such consent was ever given, t was withdrawn by the amendment I" 12-1111 February, 1008. This amiMidn.K-.nl in the clearest enns provides an exclusive condition 0 the recognition and payment of daitus again>l the State on account f the operation of the Slate dispensary , namely, that such claims shall e judicially examined and adjudicat d by the commissin. Consent of a Male that it may be sued is not a 'oniracl and can he repealed or tnodiied at any lime at the discretion of iie State, even after suit has been oinmenced, and when lb'- consent to he adjustment of claims against it >v suit is withdrawn by the State, lie jurisdiction of the court in vhirh the case is pending is at an nd. and the suil falls lo the ground. 1 leers vs. Arkansas; ex parte Ay'rs; Hand vs. Louisiana.) It follows, iierefore. if the federal court has urisdiction under the original staule il came lo an end upon the enicltnen! of the statute of 21 Februirv. 1008. We hold that the State !i:is n<.t 'unsettled that any court should adudicale the debts set up against, it or liquor sold to ii, nor has it consented I hat $800,000 of tics public itnds held by ils fiscal officers shall ?e administered by any court, and ence the federal court, had no jurisliction to pass I he order restraining he respondents from paying out such nuds. The order of injunction of WANT You to subscribe o scription to the 1 Uncle Remus' Ma Red Book., Harpet's Bazaar ... Argosy Judge Library Judge Quarter y.?. Popular Magazine. People's Magazin< Ladies' Home Jo Harper's Weekly American Magazir Munsey's Magazir All-Story Railroad Man's M Sis Hopkins Smith's Magazine.. Ainslee's Magazine Saturday Evening Judge Weekly We will also take other magazines or tioned in this list. HERALD & N * - (ilt.' federal court therefore affords no legal protection to tiro defend an is . and I heir return is adjudged insufi flcient. c The judgment of .this court is that 1 llie petitioners are entitled to a writ t of mandamus from this court requiring the respondents constituting the ; Slate dispensary commission to pay from the funds in their hands lo the State treasury tin sum of $15,000 for Hie use of the attorney general as I provided for by the statute of the j Stale approved 2-1 February, 1!)0S. It j is a well-recognized principle, Iiow ever, that the United Stales supreme | court i I self follows the decision of ' the State supreme court in the construction of the State constitution; and statutes, and, of course, this rule is binding upon the circuit court of 1 ,1 lie United States, This court will not, therefore, asi 7 * | sume that the construction which it 1 has .placed upon the State constitu11ion and the statutes in question will ' j be disregarded by the federal court. ( I ''he issuing of this peremptory writ of mandamus is therefore left in I abeyance until the further order of j this court. ____ , j OFFICER UNDER FIRE. , Magistrate in Saluda Grants Ba.il to Negro who Killed Another i One. Saluda. March l.'{.?<Tiie i'oliowinvf from the Saluda Standard, of yesterday. is causing "no little comment among the people of the county: " TtjJin (Sary, a negro, was killed on Mr. John It. Webb's place by Will i Madison, another negro, ast Thursday night. and Magistrate Allen, who held the inquest, allowed bail to Madison in the sum of $.">00. The coroner's .jury, whose duly it is to liud out how the deceased cam*} to his death went farther and found a verdict of '.justifiable homicide.' Magistrate .Allen then went them one better and allowed bail." It is said the Madison negro was in Saluda yesterday ostensibly for the purpose of surrendering to the sheriff, hut he was seen leaving town in the afternoon, going in the direction of his home. lie did not surrender to the sheriff nor is he now in the custody of that ollicer. II is likewise said that the coroner several days ago issued a warrant for Mjadison. If so it has not been served. While it may be possible that the homicide was .justifiable yet the people of (his county are severely criticising the magistrate for assuming Ih?- functions of a circuit judge, and allowing bail in a ifiomieide case clearly eonfrarv to law. They arc like wise outspoken in Hicir criticism of whoever is responsible for Madison still being af. largo and not. in .jail, where lie should1 'be until delivered by due process of law. If the water be too pure, fish cannot live in it; if people be too exacting, fellow-beings cannot stand beside them.?Japanese Proverb. 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