Joseph McKenna

“ The court, therefore, denied the motion of the Ortega Company for a temporary injunction and dismissed the bill.
There are certain admissions of appellant that are pertinent to our consideration: (1) In the absence of constitutional restrictions, a state has the power to raise or lower rates of public utility corporations, and may exercise it through railroad commissions. (2) The power is not lessened or limited by the existence of private contracts. The power is considered as part of the contract. ”

“ At the time of making the contract with the Electric Company, the Ortega Company was engaged in the development of a large tract of land lying in Duval county at the terminus of the Ortega line, and the company sold the railroad for approximately $26,000 less than its reasonable value upon the express covenant of the Electric Company to operate the line upon a 5-cent basis. ”

“ On October 30, 1919, appellee Triay was appointed receiver of the Traction Company and ever since has been, and still is, acting as receiver, managing and operating the railways and properties of the Traction Company, including the Ortega line. ”

“ And such we think, as the District Court decided, is the effect given section 30 and the legislation of the state by the Supreme Court of the state, although we cannot say that in any case there is a precise contrast between the power to increase as distinguished from the power to decrease rates, which is now the point in controversy. We think, however, the power to increase as well as to decrease rates is an inevitable deduction from the reasoning of the cases.
In State ex rel. Railroad Commissioners v. A. C. L. R. Co., 60 Fla. ”