Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 1

THE UNITED STATES, plaintiff-appellee, vs.

TAN PIACO, VENTURA ESTUYA, PEDRO The true criterion by which to judge of the character of the use is whether the public may enjoy
HOMERES, MAXIMINO GALSA and EMILIO LEOPANDO, defendants. TAN PIACO, it by right or only by permission. For all of the foregoing reasons, the appellant was not
appellant. G.R. No. L-15122 March 10, 1920 operating a public utility, for public use, and was not, therefore, subject to the jurisdiction of the
Public Utility Commission.
Facts:
Piaco rented two automobile trucks and was using them upon the highways of the Province of
Leyte for the purpose of carrying some passengers and freight. He carried passengers and
freight under a special contract in each case. He had not held himself out to carry all
passengers and all freight for all persons who might offer passengers and freight. Said
defendants were charged with a violation of the Public Utility Law (Act No. 2307 as amended
by Acts Nos. 2362 and 2694), in that they were operating a public utility without permission
from the Public Utility Commissioner.

Issue:
Whether the appellant was a public utility under the foregoing definitions, and was therefore
subject to the control and regulation of the Public Utility Commission.

Held:
No. In support of the conclusion of the Attorney-General, he cites the case of Terminal
Taxicab Co. vs. Kutz (241 U. S.. 252). Section 14 of Act No. 2307, as amended by section 9 of
Act No. 2694, provides that: "The Public Utility Commission or Commissioners shall have
general supervision and regulation of, jurisdiction and control over, all public utilities. . . The
term 'public utility' is hereby defined to include every individual, copartnership, association,
corporation or joint stock company, etc., etc., that now or hereafter may own, operate,
managed, or control any common carrier, railroad, street railway, etc., etc., engaged in the
transportation of passengers, cargo, etc.,etc., for public use."

Under the provisions of said section, two things are necessary: (a) The individual,
copartnership, etc., etc., must be a public utility; and (b) the business in which such individual,
copartnership, etc. etc., is engaged must be for public use. So long as the individual or
copartnership, etc., etc., is engaged in a purely private enterprise, without attempting to render
service to all who may apply, he can in no sense be considered a public utility, for public use.

"Public use" means the same as "use by the public." The essential feature of the public use is
that it is not confined to privilege individuals, but is open to the indefinite public. It is this
indefinite or unrestricted quality that gives it its public character. In determining whether a use
is public, we must look not only the character of the business to be done, but also to the
proposed mode of doing it. If the use is merely optional with the owners, or the public benefit is
merely incidental, it is not a public use, authorizing the exercise of the jurisdiction of the public
utility commission. There must be, in general, a right which the law compels the power to give
to the general public.

It is not enough that the general prosperity of the public is promoted. Public use is not
synonymous with public interest.

You might also like