The owner of a building in New York City demised it to tenants
who, in breach of their covenant, failed to pay the city's water
charge based on the measured amount of water they consumed.
Held that the imposing of a lien for the charge thus
incurred by the tenant, under charter provision operative when the
lease was made, did not deprive the owner of property without due
process of law. P.
251 U. S.
517.
Constitutional right cannot be based on error in prior court
decision. P.
251 U. S.
518.
177 App.Div. 647 affirmed.
The case is stated in the opinion.
MR. JUSTICE McKENNA delivered the opinion of the Court.
Plaintiff in error, to whom we shall refer as plaintiff, is the
owner of certain real property and a building thereon
Page 251 U. S. 517
in the City of New York which she leased to William Hills and
William Hills, Jr., copartners doing business under the the style
of William Hills, Jr. The lessee covenanted to pay the charges for
water which should be assessed against or imposed upon the building
during the lease, and, if not so paid, it should be added to the
rent then due or to become due.
The copartnership was subsequently adjudged bankrupt, and at the
time of the petition was indebted to the city in the sum of $379.89
for water supplied as measured by two meters which had been
installed in the property.
The city proved no claim in bankruptcy, and a motion by
plaintiff for an order directing the trustee to pay the water
charges as a tax entitled to preference under the Bankruptcy Act
was denied on the ground that they were not a tax.
The plaintiff then brought this action to cancel the charge as a
lien upon the property, and prayed an injunction against its
enforcement.
The contention against the charge of the city and the lien it
asserts is that they are in violation of § 1 of the Fourteenth
Amendment of the Constitution of the United States and because they
deprive plaintiff of property without due process of law.
Plaintiff's argument is somewhat difficult to state briefly. It
commences by declaring that the question presented was left open in
Provident Institution v. Jersey City, 113 U.
S. 506, which sustained the postponement of mortgages to
the lien of water rents because it was said in that case that the
complainant in the case knew what the law was when the mortgages
were taken, and therefore "its own voluntary act, its own consent,"
was "an element in the transaction."
Counsel assumes that the case presented an instance of an
express consent. In that, counsel is mistaken. The consent was
implied from the fact that the law imposing
Page 251 U. S. 518
the water rents preceded the mortgages. And so, in the water
charge in controversy, it was imposed and made a lien on
plaintiff's property by the charter of the city, and therefore the
supreme court, at the first instance, and afterwards in appellate
division, and we may assume by the court of appeals, decided that
the consent of plaintiff could be implied, and any other conclusion
would have been impossible. A city without water would be a
desolate place, and if plaintiff's property was in such situation,
it would partake of the desolation. And, as a supply of water is
necessary, it is only an ordinary and legal exertion of government
to provide means for its compulsory compensation.
It is of no consequence, therefore, at whose request the meters
were installed in the property. The meters, as observed by the
Appellate Division, were "not the instrumentalities for furnishing
the water;" they only registered its consumption. And, besides, the
lease made by plaintiff contemplated the use of water by the
lessees, and provided, as far as the lessor (plaintiff) could, for
the payment of the charges for it. That her tenants defaulted in
their obligation by reason of their bankruptcy was her misfortune,
but it did not relieve the property, which we may say, would be
unfit for human habitance if it could not get water.
Counsel appear to rely on prior decisions of the court for
relief of plaintiff -- one in the supreme court, in which, it is
said, a doubt was intimated whether a statute making a lessor
liable for the personal debt of a lessee for water would be
constitutional, and one in the court of appeals, which, to quote
counsel,
"having decided in 1910, three years prior to the inception of
the charges for which the lien is claimed, that the statute meant
what the earlier case had suggested, the lien became
unconstitutional,' and plaintiff cannot be charged with an
'implication of assent"
to it. Without attempting an estimate of the
Page 251 U. S. 519
contention, it is enough to say that the decision in this case
and other cases are opposed to the contention, and that, besides,
no constitutional rights can be based on the error of prior
decisions.