Section 112. Judicial enforcement of rate-fixing orders of the commission  


Latest version.
  • 1. When a suit is brought in the federal district court praying  for  an
      interlocutory  injunction to restrain the enforcement of an order of the
      public service commission  or  transit  commission  fixing  the  maximum
      rates,  fares, prices, charges or rentals to be charged and collected by
      a person or corporation subject, under this chapter, to the jurisdiction
      of the commission, the commission may bring an action in  the  appellate
      division  of the supreme court for an injunction restraining such person
      or corporation from charging or collecting greater rates than  those  so
      fixed  by  its  said order, provided that the bringing of such action is
      accompanied by a stay of proceedings, as  herein  provided,  under  such
      order of the commission pending the determination of the action.  Before
      service  of  the  summons, the commission shall exhibit to the court the
      complaint and at the same time apply, without  notice,  for  such  stay.
      If,  in  the  judgment  of the court, the complaint is sufficient on its
      face to entitle the plaintiff to the relief prayed for, such  stay  must
      be  ordered by the court; and in case of a judgment or order thereafter,
      on a motion on the pleadings, holding  the  complaint  insufficient  but
      permitting amendment thereof, such stay shall continue during the period
      allowed  for  such  amendment. The complaint and the order for such stay
      shall be filed and entered forthwith. The action  is  pending  from  the
      time  such  order is granted; but not after the expiration of sixty days
      therefrom unless,  within  that  time  the  court  shall  have  acquired
      jurisdiction  of  the  defendant,  by  service  of  summons or voluntary
      appearance. Notice by the plaintiff's attorney of the granting  of  such
      stay shall be served on the defendant when the summons is served, and in
      the  same  manner.    Forthwith upon the service of the summons and such
      notice, proof of service thereof, in the manner prescribed  by  law  and
      rules  for proof of service of a summons, shall be filed. Thereupon, the
      clerk of the appellate division forthwith shall issue, and  the  counsel
      to  the  commission  shall  transmit to such federal district court, the
      certificate of such clerk setting forth, with respect to such action  in
      the  appellate  division,  the title of the action, a copy of the prayer
      for relief, as set forth in the complaint, a copy of the stay order, and
      a statement that the papers filed in his office include proofs, made  in
      accordance  with  the  laws of this state and court rules, of service of
      the summons and of the notice required by  this  section  to  be  served
      therewith. An action under this section by the public service commission
      shall  be  brought in the third department and by the transit commission
      in the first department.
        2. Original jurisdiction of such an action is  hereby  conferred  upon
      such  appellate  division  of  the  supreme  court. It may hear, try and
      determine it and render judgment according to law, except that no  order
      for  a  temporary  injunction  against  the  defendant shall be granted.
      Provisions of law relating to reference of issues or any  of  them,  for
      decision  or  report  of  findings  of specific questions of fact, in an
      action  triable  without  a  jury,  shall  apply.  The  action  must  be
      prosecuted   by  the  commission  with  diligence  and  good  faith.  If
      application is made to the court to vacate such stay and notice  of  the
      application,   pursuant   to   federal   law,   is   served   upon   the
      attorney-general, he shall give immediate notice  of  such  application,
      and  of  his  receipt  of  the  notice  therefor,  to  counsel  for  the
      commission, but the attorney-general shall be  entitled  to  participate
      with such counsel in opposing the application, if he deems it advisable.
      An  appeal  may  be taken by the aggrieved party to the court of appeals
      from the judgment of the appellate division in the manner and subject to
      the limitations provided in the civil practice act.