Supreme Court of Canada
Ontario & Quebec Rwy. Co. v.
Philbrick (1886) 12 SCR 288
Date: 1886-04-09
The Ontario and Quebec Railway Company
Appellants
And
C. J. Philbrick
Respondent.
1885: Nov. 17, 18; 1886: April 9.
Present—Sir W. J. Ritchie C. J., and Fournier,
Henry, Taschereau and Gwynne JJ.
ON APPEAL FROM THE COURT OF APPEAL FOR
ONTARIO.
Railway company—Lands taken for railway
purposes—Arbitration—Award—Matters considered by arbitrators—Costs.
A railway company, having taken certain lands
for the purposes of their railway, made an offer to the owner in payment of the
same, which offer was not accepted and the matter was referred to arbitration
under the Consolidated Railway Act, 1879. On the day that the arbitrators met
the company executed an agreement for a crossing over the said land, in
addition to the money payment, and it appeared that the arbitrators took the
matter of the crossing into consideration in making their award. The amount of
the award was less than the sum offered by the company, and both parties
claimed to be entitled to the costs of the arbitration, the company because the
award was less than their offer, and the owner because the value of the
crossing was included in the sum awarded which would make it greater than the
offer.
Held,
affirming the judgment of the Court of Appeal, Gwynne J. dissenting, that under
the circumstances neither party was entitled to costs.
Appeal from a decision of the Court of Appeal
for Ontario, affirming the judgment of Galt J. in the Divisional Court, refusing a mandamus to
compel the County Court Judge to tax appellants' costs.
The respondent's land having been taken for
purposes
[Page 289]
of appellants'
railway, notice was given with offer of payment as follows:—
NOTICE.
To C. J. Philbrick, M.D., of Toronto.
Take notice that the lands required by and to
be taken by the said The Ontario and Quebec Railway Company from you for the
purposes of their railway, may be
described as follows: All and singular that certain parcel or tract of land and
premises being composed of parts of lots Nos 47, 49 and 51, as shown, on lot 17, concession 2, from the bay,
township and county of York, and being a strip of land 66 feet wide, lying 33
feet on each side of, and measured at right angles to the centre line located
for The Ontario and Quebec Railway Company, which said centre line may be more
particularly known and described as follows, that is to say: Commencing at a
point on the west limit of lot 47 aforesaid, distant 35 feet 10 inches,
measured northerly along said limit, from the south-west angle of the said lot;
thence north-easterly along a curve to the left of 2,865 feet radius, 1,021
feet to the intersection of the east limit of lot 51 aforesaid, as shown on the
sketch attached hereto, and containing 1 54/100 acres to the same, more or
less, and is set out on the plan hereto annexed.
That the powers intended to be exercised by
the said The Ontario and Quebec Railway Company with regard to the lands above
described are the acquiring of the said lands for the purpose of constructing
and thereafter of operating their railway thereon.
That the said The Ontario and Quebec Railway
Company are ready and willing and hereby offer to pay the sum of thirty-six
hundred and thirty-five dollars as a compensation for the lands above
described, and as a compensation for such damages as you may sustain by reason
or in consequence of the exercise of the powers above mentioned; and that in
event of your not accepting
[Page 290]
this offer, His Honor
Judge Kingsmill is to be appointed as and will be the arbitrator of the said
The Ontario and Quebec Railway Company.
H.
Lockhart Gordon,
Solicitor for The Ontario and Quebec Railway
Company.
Dated at Toronto, this 23rd day of November,
1883.
The offer of payment contained in the above
notice was not accepted, and an arbitration was had, which resulted in a money
award $119 less than the sum offered by the company. The respondent, however
claimed that he was entitled to a crossing which the company had agreed to
make, and that the arbitrators had considered the value of the crossing in
making up the award Shortly before the arbitrators met an agreement was drawn
up by the company for construction of the crossing, but was not executed; it
was claimed, however, that it formed a feature of the evidence before the
arbitrators, and was drawn up for that purpose. Under these circumstances the
railway company claimed costs which the county court judge refused to allow,
and he finally, some time after these proceedings commenced, taxed costs against
them. The statute under which the claim for costs is made is sec. 9, sub-sec.
19 of the Consolidated Railway Act. It provides as follows: "If, in any
case, when three arbitrators have been "appointed, the sum awarded is not
greater than that "offered, the costs of the arbitration shall be borne by
"the opposite party, and be deducted from the compensation; "but if
otherwise they shall be borne by "the company, and, in either case, they
may, if not "agreed upon, be taxed by the judge."
Application was made to Mr. Justice Galt for
a mandamus to compel the judge to tax the company costs, and also for a
writ of prohibition to restrain him from taxing costs against them.
The learned judge held that the agreement or
offer
[Page 291]
for the crossing was
made by the company before the arbitration, and was included in the sum awarded
for damages, and he refused both applications.
The Court of Appeal sustained this judgment,
holding, as to the mandamus, that as the notice by the company contained
no mention of a crossing, and the award did, the latter was not made upon the
basis of the matter contained in the notice; and as to the writ of prohibition,
that if the costs against the company were taxed the writ was useless, and if
the judge had no power to tax the taxation would be futile.
G T. Blackstock for the appellants.
There is only one case in which the land
owner is entitled to costs, namely, where the award exceeds the amount offered.
The judge had no authority to decide on crossing, nor to send matter back to
arbitrators. The company put in agreement with reference to crossing.
Respondent went on himself, claiming that the amount offered was not enough.
They may have taken crossing into consideration. He was entitled to crossing
without any agreement. Act 1884, ch. 11, sec. 9, provides for a crossing in cases of this kind. Brown
v. Nipissing
decides that the word "at" should be read "and" and the
railway companies were compellable to provide crossings. The meaning of the
legislature there is clearly shown by the statute of 1884, sec. 9. If the land
owner did not wish to have the subject taken into consideration he should have
objected before the arbitrators. It is not competent for the county court judge
to do anything but compare the sum given with the sum agreed and tax or not tax
accordingly And if you find that the arbitrators did take the crossing into
consideration, then I submit that the respondent was entitled to that any way,
and it is no part of this case. To say that the company are not entitled to
costs, is a decision that the
[Page 292]
crossing is worth $119.
The court say this was not an arbitration under the statute at all. But the
award purports to be an award under the Railway Act of 1879. We claim under the
express provisions of the statute of 1883, ch. 24 sec. 8. The judges of the Court of Appeal proceed upon sec. 9,
act of 1884.
In order to make out a title to costs at all,
land owner must show the court that the amount awarded is greater than the sum
offered. Here there is no pretence that it is greater. But the court says that
this, in effect; is not an award under the statute at all. I say the county
court judge had nothing to give him jurisdiction except the statute. There was
no consent to arbitration outside of the statute. Cites Wheeldon v. Burrows; Pinnington
v. Galland;
Gale on Easements;
Davies v. Sear.
All the judges have decided that the land
owner was not entitled to his costs but the county court judge taxed them all
the same. We showed in Court of Appeal that he did carry out his threat and tax
costs against us, and we wish to prevent him paying money to the party.
Dr. McMichael
Q.C. and Shepley for the
respondent.
First as to the right of the land owner to
the crossing. He never had any such right. When the statute empowers a company
to take land which they never would have had otherwise, unless specifically
provided in the statute, no one has the right to cross that land. The case was
discussed in many Great Western cases, and never was any such right set up. By
the original statute the company had to make crossings, but this has been
amended by substituting the word "at" for "and." Brown
v. Nipissing
decides that they had to make the crossings before they could make the gates.
The former statute compelled them to make crossings. The alteration
[Page 293]
is only that if they
are bound to furnish crossings they shall make them. The agreement is one by
which they agree to make crossing. We never accepted it. The court has held
that having made it they are bound.
The question here is not so much on the
statute as on the reference to arbitration. They have express powers which they
intend to exercise. If the effect of that is that they propose to take the land
and effect a complete severance of those lands, the damage that would result to
respondent would be very great.
When a company indicate to a man that they
will take his land from him it is primâ facie that they will take it
without putting him to any cost. That is the rule in England unless the party
is deprived of costs by express provision of a statute. In this case we should
not be visited with costs unless we have violated the law. The statute provides
a penalty; that is when the award is not greater than the offer. My learned
friend puts great stress upon the word "sum" as if it only meant sum
of money, but other matters may come in to make up a sum.
Instead of saying we will take the land and
simply assume the value of the land and damages, they have said "we will
make a crossing."
That was in consequence of the case Baby
v. Great Western Ry. Co..
They only offered a sum of money, and thinking over the circumstances
afterwards they gave evidence to show how much the damages were diminished by
giving the crossing.
What I contend is, that the state of facts
contemplated by the statute in which the land owner should be compelled to pay
costs has not arisen.
Cites Fitzharding v. Gloucester and
Berkeley Canal Co.;
Pearson v. Great Northern Ry. Co.;
Gray v.
[Page 294]
North Eastern Ry.
Co..
If they had included the crossing in their
notice we would have been able to consider whether or not we would accept that
offer.
Queen v. Brown.
The question we had to consider was whether
the sum offered was sufficient to compensate for what they contemplated doing
under their notice.
Cites Morse, petitioner, &c.; High on Extraordinary
Legal Remedies.
G. T. Blackstock was heard in reply.
Sir W. J. RITCHIE C.J.—I think there was no
proper arbitration under the statute, the arbitrators not having adjudicated
upon the offer made by the company, the only basis upon which they had a right
to proceed, but on that offer coupled with a crossing, not contemplated in the
offer but matter in addition to it, which, obviously, materially affected the
estimate of damages the property would sustain, and consequently the amount to
be awarded for compensation, it being abundantly clear that such amount without
an open crossing would be much greater than would be awarded for a severance
with an open crossing.
Under such
circumstances I agree with the court below that the company are not entitled to
costs. On the other hand, it is quite clear that the land owner is not entitled
to costs, inasmuch as he has not brought himself within the terms of the
statute entitling him to costs. If the costs have been taxed to him, as
alleged, I can only say, in the language of the court below, that it is a
perfectly futile proceeding; he can only recover them by action, and it is
clear that if he is not entitled to them the mere taxation cannot establish a
liability on the company to pay them.
[Page 295]
FOURNIER J.:—Dans
cette cause il s'agit d'une demande de la part de
l'Appelante, d'un bref de mandamus
pour faire ordonner au juge de
comté de taxer les frais faits sur un arbitrage pour expropriation en vertu de
la section 9, ss. 19 de l'Acte des Chemins de fer, 1879; en même temps que d'une demande d'un bref de
prohibition pour faire ordonner au même juge de s'abstenir de taxer les frais
faits par l'Intimé sur le même arbitrage.
Une offre de la somme
de $3,635.00 comme compensation pour le terrain requis par
l'Appelante, ainsi que pour les dommages résultant de l'expropriation et de la
mise en opération du chemin de fer fut régulièrement faite à l'Intimé.
Cette offre ayant été
refusée, des arbitres furent nommés. Au jour fixé pour leur réunion, le 27 décembre 1883, mais avant de commencer la preuve, le conseil
de l'Appelante produisit un acte de déclaration (deed poll) par lequel la compagnie
s'engageait à donner à l'Intimé un passage sur le chemin de fer dont la
construction allait séparer son terrain en deux parties et le laisser sans
moyen de communication entre les deux. Le passage ainsi offert n'était pas
indiqué dans le plan qui accompagnait les offres. Après une longue enquête, les
arbitres en vinrent à la conclusion, que la somme de $3,516 serait
une compensation suffisante pour le terrain et les dommages. Ainsi une somme
moindre que celle offerte fut accordée. Sans l'offre postérieure d'un passage,
la compagnie aurait eu indubitablement droit à ses frais. La règle à ce sujet
est établie comme suit par la ss. 19, sec. 9 de l'acte ci-dessus cité:
If in any case when the arbitrators have been
appointed, the sum awarded is not greater than that offered, the cost of the
arbitration shall be borne by the opposite party, and be deducted from the
compensation, but if otherwise they shall be borne by the company, and in
either case they may, if not agreed upon, be taxed by the judge.
Mais le fait d'avoir
ajouté à ses offres en argent, l'offre d'un passage a changé la position des
parties;
[Page 296]
elles ne se trouvent
plus dans les conditions d'un arbitrage d'après le statut qui exige que l'on ne
puisse procéder qu'après un avis de dix jours contenant, à part de la
description du terrain requis, la description des pouvoirs que la compagnie
entend exercer sur le terrain
La ss. 15 de sec. 19 décrète que si dans les dix jours après le
service de tel avis, le propriétaire n'a pas fait connaître le nom de son
arbitre, alors le juge pourra nommer un arpenteur provincial comme seul arbitre
pour faire l'évaluation de la compensation; et la ss.
16 dit que si dans le même délai de dix jours, le
propriétaire fait connaître le nom de son arbitre, alors les deux arbitres
nommés en choisiront un troisième. Dans les deux cas le propriétaire a droit à
un délai de dix jours pour considérer s'il acceptera ou refusera l'offre qui
lui a été faite. Dans ce cas la compagnie n'ayant point donné avis à l'Intimé
de son intention de lui accorder un passage et ne lui ayant fait cette offre
qu'au moment du procès, il a été ainsi privé de l'avantage du
délai que lui accordait la loi pour considérer s'il devait accepter ou refuser
cette nouvelle offre. En introduisant la question du passage offert,
l'arbitrage a donc été fait sur une offre différente de celle que les arbitres
étaient appelés à décider. L'offre d'un passage paraît, d'après les termes de
la sentence arbitrale, avoir été pris en considération par les arbitres qui
déclarent que "even with
the open crossing," la
propriété a été dépréciée d'un tiers
par la construction du chemin et
l'obstacle qu'il met à son accès. Bien qu'ils n'aient pas déterminé la valeur
de ce passage, on ne peut pas dire qu'ils accordent moins que les offres
puisque, par leur sentence, ils accordent à l'intimé un passage qui ne lui
avait pas été offert suivant la loi. Les procédés des arbitres n'étant pas en
conformité du statut, il s'ensuit que la règle qu'il établit pour la taxe des
frais ne peut être appliquée au cas actuel, et qu'il n'y a pas lieu à
[Page 297]
l'émission d'un bref de
mandamus pour faire procéder à la taxe des frais.
La demande d'un bref de
prohibition est maintenant sans objet, car il paraît par un document au
dossier, que le juge, en présence des deux parties intéressées, a procédé à la
taxe des frais. Quoi qu'il en soit, cette taxe n'affectant en aucune manière le
droit que peuvent avoir les parties de demander ou refuser le paiement des
frais de l'arbitrage en question, elles auront à se pourvoir autrement.
En conséquence je suis
d'avis que l'appel doit être renvoyé avec dépens.
HENRY J.—I
am of the same opinion. The party here applies to have his costs taxed. When
these lands were taken for the purposes of the railway company an offer was
made of the amount fixed by the party who valued it, which the owner thought
insufficient. After that had been done the company gratuitously made a
conveyance of a crossing at a particular place over the railway to the part of
the respondent's land which had been cut off. The respondent having rejected
the offer made to him, in the first place the matter went to arbitration, as I
take it, on the submission which preceded the conveyance of the company. The
arbitrators, no doubt considering that the respondent was to have the benefit
of the crossing mentioned in the conveyance, reduced the amount to be given for
damages, and in consequence the amount awarded by the arbitrators was less, by
a small sum, than that tendered. Now the question here is as to costs. Where
the amount tendered is found to be insufficient, the railway company is liable
to pay the costs of the arbitration, otherwise the costs are to be paid by the
owner of the land. The latter has not shown this, but from the evidence it
would have been otherwise if the conveyance of the
[Page 298]
crossing had not
been considered by the arbitrators and the amount of the damages consequently
reduced. The award, for that reason, I think, was not a good one, embracing the
subject of the crossing conveyed subsequent to the submission.
Under these
circumstances, I take it that the award, being contrary to the submission; is
invalid. Where parties disagree the law provides a mode of settling the
disagreement, but it must be on the terms of the statutory requirements.
Under these
circumstances then, the company is not entitled to the costs in question. I do not think it necessary to decide anything in regard to the costs of
the other party. I should think, however, that neither party is entitled to
costs. In my opinion, therefore, the appeal should be dismissed.
TASCHEREAU J. concurred.
GWYNNE J.—I am of opinion that, upon the facts appearing in
this case, the appellants were entitled to their costs under the peremptory
provision of the statute in that behalf, and that the rule nisi for a mandamus
to the county judge of the county of York, commanding him to tax those costs,
should have been made absolute, and that therefore this appeal should be
allowed with costs and a rule absolute for the mandamus be ordered to be
issued from the court below.
The appellants,
having been unable to agree with the respondent upon the amount of compensation
to be paid to him for certain land of the respondent required for the road-bed
of the appellants' railway, served upon the respondent a notice, as required by
the Consolidated Railway Act, in the following terms:—[See p. 289.]
This notice was
accompanied with the certificate of a sworn surveyor for the Province of
Ontario to the effect that the lands mentioned in the notice, as intended to
[Page 299]
be taken by the
railway company, were required for the Ontario and Quebec railway; that he
knows the said lands so required and the amount of damage likely to arise from
the exercise by the railway company of the powers mentioned in the notice; and
that the sum of thirty-six hundred and thirty-five dollars offered by the said
the Ontario and Quebec Railway Company in the notice mentioned was, in his
opinion, a fair compensation for the lands in the notice described and for the
damages that may be sustained by reason, or in consequence, of the exercise of
the powers in the notice mentioned. A sketch of the manner in which the railway
was intended to pass through the land, along the whole front thereof, but not
showing where the appellants contemplated that the respondents should have a
crossing, was annexed to the notice. This notice and certificate conformed with
the requirements of the statute in that behalf, and accordingly the respondent
appointed his arbitrator who, with the company's arbitrator, appointed a third
arbitrator to act with them under the provisions of the statute for the purpose
of ascertaining and determining, by the award of any two of them, the amount of
said compensation to be paid to the respondent by the said railway company, and
evidence was duly entered into for that purpose. It is unnecessary to refer to
the fact that Judge McDougall, junior judge of the county court of the County
of York, was subsequently appointed and substituted as third arbitrator in the
place of the person first appointed to that position, for such substitution
took place by agreement between the parties for that purpose made. Two of the
three arbitrators made their award in writing signed by them and annexed the
same to the notice of arbitration, above set out, served upon the respondent,
and they did, by such their award, adjudge and award that the said Ontario and
Quebec
[Page 300]
Railway Company do
pay the sum of three thousand five hundred and sixteen dollars as compensation
for the lands thereinafter described; and after giving a description of the
land precisely as it is decribed in the notice of arbitration annexed to the
award, the award declared that the arbitrators so making the award, awarded:
The said above mentioned sum as compensation
for such damages as the said C. J. Philbrick may sustain by reason or in
consequence of the exercise of the powers of the said railway company with
regard to said lands as set forth in their notice herein.
And they thereby
further certified, in accordance with a provision to this effect in the
statute, that in deciding on such compensation they had taken into
consideration the increased value that would be given to the lands or grounds
of the said C. J. Philbrick, through or over which the said railway will pass,
by reason of the passage of said railway through or over the same, or by reason
of the construction of the said railway, and that they had set off the
increased value that would attach to the said lands or grounds against the
inconvenience, loss or damage that might be suffered or sustained by reason of
the said company taking possession of, or using, the said lands; and by a
memorandum at the foot of their award they declare that the above amount of
$3,516.00 was made up as follows, namely:
|
For area of land taken 1 54/100 acres
|
$
924 00
|
|
For depreciation of balance of property by reason of construction
of road through property, interfering with access, &c., even with open
crossing
|
2,592
00
|
|
|
—————
|
|
In all
|
$3,516
00
|
The amount so
awarded is less than the sum which had been tendered by the company to the
respondent by the sum of $119.00.
Now by the
Consolidated Railway Act it is enacted that:
[Page 301]
If by any award of arbitrators made under
this act the sum awarded exceeds the sum offered by the company, the costs of
the arbitration shall be borne by the company, but if otherwise they shall be
borne by the opposite party, and be deducted from the compensation, and in
either case the amount of such costs if not agreed upon may be taxed by the
judge.
The amount awarded
having been less than the sum offered by the company they claimed to be peremptorily
entitled to their costs under this clause, and the judge of the county court
having refused to tax them, alleging as his reason that, in his opinion, the
respondent, and not the appellants, was entitled to the costs of the
arbitration, the appellants applied to the Divisional Court of Common Pleas for
a rule nisi for a mandamus addressed to the judge of the county
court of the county of York, commanding him to tax to the appellants
their costs, and for a prohibition forbidding him to tax any costs to the
respondent. Upon argument this rule nisi was discharged with costs, and
the rule discharging such rule nisi has been upheld by the Court of
Appeal for Ontario. These judgments proceeded upon the assumption that what the
company, by the terms of their notice served on the respondent, offered him
$3,635 for was the right of constructing their railway upon the slip of 1
54/100 acres along the whole front of the respondent's land, consisting of 15
acres, in such a manner as to cut off all possible access for the respondent to
his land, consisting of 12 acres, lying to the north of the railway which
separated such part from the only highway by which the respondent could have
any access thereto, without giving to the respondent, or allowing him to have,
any means of access whatever across the railway, and so in effect to render
wholly valueless all the respondent's land not taken by the company for the
road-bed of their railway; and upon the further assumption that the law enabled
the company thus, at their arbitrary will and pleasure,
[Page 302]
so to injure the
defendant's property not taken, and that upon an arbitration had under the
statute upon a notice framed in the terms of the notice in this case the
arbitrators would have been bound to estimate the amount of compensation to be
paid to the respondent upon the basis that by the terms of their notice and
offer of compensation the appellants claimed to have, and had, the right of
utterly excluding the respondent from all access from the highway in front of
his land across the railway to the 12 acres lying to the north thereof; and
that the appellants having, immediately before the opening of the arbitration,
left with the arbitrators, for the benefit of the respondent, an obligation
duly executed under their seal whereby they bound themselves, their successors
and assigns, to make and maintain, at their own costs and charges, an ordinary
roadway crossing, with cattle guards on each side thereof, over the railway
upon the division between lot 45 and said lot No. 47, which said roadway
crossing should be of the width of 66 feet; 33 feet of such roadway being upon
lot 45 and 33 feet being on lot 47, this was a wholly new offer from that
contained in the notice and was made too late; and that the effect of the
appellants lodging such obligation with the arbitrators was to make the award
made thereafter to be an award not within the statute so far as the question of
costs was concerned, and that to entitle the appellants to costs the
arbitration must be one proceeding strictly upon the footing of the terms of
the notice, which it was held that the award in this case was not; for that the
arbitrators must have attached some value, although how much did not appear, to
the railway crossing which the appellants had bound themselves to make and
maintain. If this contention be well founded it must rest wholly upon the
ground that (as an incontrovertible proposition of law) the terms in which the
notice is framed require the construction
[Page 303]
which has been put
upon it, for the evidence, I think, establishes beyond all question that the
appellants never entertained the idea of excluding, or thought that by
appropriating for the road bed of their railway a strip of 1 54/100 acres
extending along the whole front of the respondents land, they had any right to
exclude, the respondent from all access across the railway from the highway in
front, to that portion of the respondents land on the other side of the railway
which was not taken or required by the company for the purposes of their
railway. The evidence shows that the invariable practice of the company has
been to make crossings in all cases of severance. The gentleman who valued the
land and damages for the company, with a view to negotiating with the
respondent for the amount of compensation to be paid to him, if possible
without going to arbitration, says that he had several interviews with a Mr.
Wickson, acting as attorney for the respondent, and with a Mr. Turner, engineer
and surveyor, deputed by the respondent to negotiate with him as the company's
valuator for a settlement, and that in all these conversations it was agreed by
the witness, upon behalf of the company, and was perfectly understood that the
respondent was to have a crossing or crossings; that it was known to all
interested that a proper crossing would be provided; and he says that it was
not supposed to be necessary that it should be mentioned in a notice of
arbitration that such was to be provided. Another gentleman, one of the firm of
the appellant's solicitors, says that he endeavored to effect a settlement
without an arbitration with a Mr. Hoskin, acting as the respondent's solicitor,
and that in his negotiations for that purpose he informed Mr. Hoskin that the
company would provide a proper crossing, or proper crossings, and that, in
fact, if the respondent wished it they would provide three crossings for him,
one on each of his lots
[Page 304]
which consisted of
five acres each. That the respondent was aware of these offers would appear
from the fact that he himself gave evidence that before the arbitration he
spoke with this gentleman with reference to crossings, and that he asked him to
put into writing what the company would do with reference to crossings; and the
gentleman who acted as valuator for the company said that when it was found
that no settlement could be made by agreement with the respondent he advised
the preparation of the obligation which was subsequently executed under the
company's seal to prevent any misunderstanding about the matter, locating the
crossing where it is located by that obligation as the place where it would be
most beneficial to the respondent.
Now does the notice
indicate any intention of the appellants to exclude (assuming them to have the
right to exclude) the respondent from all access between the highway and his
lands north of the railway, which are severed from the highway by the railway?
It certainly does not in express terms, nor can it, in my opinion, be said to
do so by implication. The notice expressly says that the sum of $3,615 is
offered as compensation for the land described therein as taken, being 1 54/100
acres for the road-bed of the railway, and as compensation for such damages as
the respondent might sustain by reason or in consequence of the appellants
constructing, and thereafter operating, their railway thereon. If, then, the
notice served by the appellants for arbitration with the respondent is
susceptible of the construction which has been put upon it, it must be because
the law imperatively requires such a construction, notwithstanding that the
appellants never intended to exclude, and never supposed they had a right to
exclude, the respondent from all access from the highway, across the railway to
his land not taken by the company, and in my
[Page 305]
judgment the law
does not require, or indeed admit of, any such construction. Doubtless in an
arbitration of this nature it is a matter of great importance that the parties
should before the arbitration, or at least during its continuance, come to an
understanding as to the number and the sites and the nature of the crossings to
be given by the company to a land owner whose lands are severed by the railway,
whether the severance be of one part of his land from other parts or from a
highway; for the compensation to be given to the land owner for the
inconvenience which the severance may occasion to him may be increased or
diminished accordingly as the number and the sites and the nature of the
crossings to be given may afford more or less convenience. Thus in the case
before us it appears upon the evidence of the respondent's own engineer and
surveyor that a crossing at any other place than at the west limit of lot 47
(precisely where the appellants have by their obligation under seal located it),
would be utterly useless, and that having it even at this westerly limit of lot
No. 47, a road which must needs be made on the respondent's land to reach the
table land which rises upwards of 50 feet at a very short distance from the
railway will cost $200 more starting from the crossing on the railway than it
would cost if made from the highway in front of the land before the railway was
located. This was evidence proper to be considered by the arbitrators in
determining whether the offer made by the appellants and mentioned in their
notice of arbitration was sufficient compensation, but it is one thing to say
that in estimating damages sustained by a land owner by reason of severance of
his land it is proper that the arbitrators should be shown where and what
number and what nature of crossings the railway company propose to give,
assuming them to be bound to give all reasonable crossings in the absence of a
[Page 306]
special agreement
with the land owner dispensing therewith, and quite a different thing to say
that this information must be inserted in the notice of arbitratration under
the statute, and in default thereof that the notice must be construed as
indicating the intention of the company that the land owner shall have no
crossings and as an offer of compensation to be paid to him upon the basis that
he shall not have any right whatever to cross the railway to or from his land.
An award made on such a basis could not, in my opinion, be sustained. In a case
like the present a land owner cannot, in my opinion, be deprived of his right
to cross the railway somewhere unless by an express agreement voluntarily
executed by him divesting himself of such right which for the reasons given by
me in Clouse v. The Southern Ry. Co., I conceive to be a right
vested in him by law as of necessity, of which he is not divested by the
Consolidated Railway Act or by any other Act. Now the arbitrators by their
award have declared that the sum of $3,516 by them awarded is given as
compensation for the land taken by the company and for such damages as the said
C. J. Philbrick may sustain by reason, or in consequence of, the exercise of
the powers of the said railway company with regard to the said lands as set
forth in their notice, which is annexed to the award; in other words, as it
appears to me, that for what the company had offered the respondent, $3,635,
the arbitrators award $3,516. The recital in the award of the company's execution
of the obligation as to the crossing makes no difference in this respect, in my
opinion. It is, therefore, in my opinion, quite a mistake to say that the
execution by the company of that obligation after the service of the notice of
arbitration and its deposit with the arbitrators constituted the arbitration
which was had thereafter to be one not
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within the statute,
so as to entitle the appellants to their costs under the provisions of the
statute in that behalf.
Appeal dismissed with costs.
Solicitors for appellants: Wells, Gordon & Sampson.
Solicitors for respondents: McMichael, Hoskin & Ogden.