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may detail and describe facts, incidents, conversations and actions coming under his personal observation, and may characterize what he has described as in his judgment rational or irrational. He can go no farther; while the qualified expert may express his opinion, based upon the same facts, whether the person whose capacity is under consideration is mentally sound or unsound.

Experts are persons instructed by experience, men of science, persons professionally acquainted with the science or practice in question. The opinions of medical men are constantly admitted as to the cause of disease or of death, or the consequences of wounds, and as to the sane or insane state of a person's mind, as collected from a number of circumstances, and as to other subjects of professional skill; and such opinions are admitted in evidence, though the witness founds them, not on his own personal observation, but on the case itself as proved by other witnesses on the trial. But where scientific men are called as witnesses, they cannot give their opinions as to the general merits of the cause, but only their opinions upon the facts. The expert cannot usurp the functions of the jury, who are charged with the duty of determining the general merits of the controversy. A medical man cannot testify that a particular act is an act of insanity, but he must confine his opinion to the mental condition of the person under consideration. Expert witnesses are frequently asked hypothetical questions; but the rule seems to be well settled in this State that the hypothesis must be based upon facts admitted or established by the evidence, or which, if controverted, the jury might legitimately find in weighing the evidence. Purely imaginary or abstract questions, assuming facts or theories for which there is no foundation in the evidence, are not admissible as matter of right upon a direct examination. The test of an expert witness is usually upon cross-examination, where abstract or theoretical questions not founded upon the facts of the case on trial may be put for the purpose of testing the knowledge and information of the witness as to the subject upon which he has been examined, and his competency to give the opinion which he may have pronounced upon his direct examination. It becomes important therefore for the physician or surgeon to be well-grounded in the general principles of medical science, and to become especially well prepared, if there be opportunity, upon the matters which are the subject of judicial inquiry in the particular case.

It will be impracticable in this paper to go farther into the details of medical expert evidence. The subject is as varied as the ailments and diseases and accidents which mortals suffer; and I can only make the general suggestion, which after all is only a platitude, that the medical man who goes to the witness' stand the most thoroughly prepared will be the most likely to acquit himself with credit and make himself useful in elucidating the intricate and doubtful medical questions which so often become the subject of judicial investigation. The value of expert testimony is greatly diminished by the contradictions of witnesses. It is notorious that the " doctors disagree," and it seems sometimes to the modest layman that the uncertainties of medical science are as great as the alleged uncertainties of the law. It has been suggested by writers of great weight that there might be a real danger that we may become subject to the tyranny of experts. "Experts who are very deeply versed in their peculiar branch of knowledge are apt to fix their attention on that alone, and to disregard all the rest of the world in which they live, and to which after all they have to apply their skill. They come then to have very uncompromising opinions, a more than papal confidence in their own infallibility, and a thorough contempt for any unfortunate circumstances which may seem to conflict with their judgments. But in judicial

inquiries it is impossible to accept with unreasoning faith any man's judgment, however special may be his knowledge. Judges and juries are bound to take into account other things besides the opinions of any experts, however eminent." These remarks do not apply to the physician or surgeon in general practice, who may occasionally be called into court to give expert testimony, but to those specialists, not only in medicine but other sciences, who sometimes impress the spectator with the belief that they are in court for the purpose principally of either sustaining or destroying a theory. Experts should not be the champions of either side in a legal controversy, but advisers of the court, and not until they shall have been elevated to that rank, will they have attained their true place and influence. A few years ago the Medico-Legal Society of France had, and I suppose how has, a permanent commission of experts in medical jurisprudence, to which questions coming from the courts or other sources were referred; and most difficult questions were submitted to the commission by tribunals, magistrates, advocates and others, with the result that the advice of the commission was usually taken in the judgments and decisions in the cases in which such questions were important features. Probably such a commission is impracticable with us; and as long as the present system continues, every medical practitioner must expect to be called to testify upon matters where at best he can only give an opinion, and the value of his opinion will depend upon his character, his skill, his learning and his experience.

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The third classification of evidence relates to the confidential character of the information acquired by a physician in the course of his professional labors. This information is, as a general rule, privileged. Hippocrates, the great Grecian physician, who has been called the Father of Medicine," and who lived more than four hundred years before the beginning of the Christian era, is said to have exacted from his pu pils an oath not to divulge professional secrets. Whether he and his pupils would have been compelled in judicial proceedings to disclose information received from their patients in a professional capacity, I am unable to discover. Probably they were not privileged. Under the Roman law, an advocate could not give evidence in a cause in which he had been engaged; but I find no rule excluding the testimony of physicians. Under the English common law physicians were required to testify to information confided to them by their patients, although in a strictly professional way. This harsh rule was changed by our Revised Statutes of 1830, and physicians and surgeons were prohibited from disclosing any necessary information acquired from their patients while attending them professionally. This rule has continued in force since that time.

Section 834 of the Code of Civil Procedure provides that "a person duly authorized to practice physic or surgery shall not be allowed to disclose any information which he acquired in attending a patient in a professional capacity, and which was necessary to enable him to act in that capacity." The object of the statute defines its limits; it is operative between persons uamed, and applies to a certain state or condition of facts; it operates between the physician and patient, whenever that relation exists, and its object is to compel secrecy as to any information so acquired by the physician in attending his patient, and which was necessary to him while acting in that capacity. The information must have been acquired by the physician while professionally attending a patient. The physician or surgeon may be compelled to disclose any unnecessary information so acquired. The privilege is that of the patient and not of the witness, and may be waived. The party objecting must make it appear that the evidence offered is within the statutory ex

this State was by Judge Bradley in the recent case of Wells v. World's Dispensary Medical Association (malpractice in removal of uterine tumor), where he says that the physician assumes to have, and for his own protection is required to possess, at least ordinary professional intelligence and skill, and with his best judgment to exercise it in the treatment of his patient. He is not required to insure results or to guarantee that the consequences will be beneficial. While the responsibility of the medical practitioner and surgeon is great, and care proportionally should be observed in the exercise of his professional employment, when his errors are those of judgment only, if he keeps within

their consequences.

Our courts have also decided that a surgeon is responsible for not taking precautions, after setting a joint, to prevent its being displaced by the patient's movements.

clusion. Information means not only communications received from the lips of the patient, but such knowledge as may be acquired from the patient himself, from the statements of others who surround him, or from observation of his appearance and symptoms. It is not necessary that the examination should be private. The object of the statute is plainly this: that persons may feel sure that whatever they disclose to a physician, in his professional capacity, in regard to their bodily condition, whether it be by word or by allowing a physical examination, shall be held sacred. It matters not whether the patient or some one else pays the doctor's bill, or whether it is ever paid at all. And it matters not whether the patient visits the phy-recognized and approved methods he is not liable for sician to relieve his own anxiety or to relieve that of some friend. The information which he thus enables the physician to acquire is protected. Nor does it make any difference that no prescription is made. The restriction also applies to a consultation by and with the attending physician. The rule is also applicable to criminal actions, and the Court of Appeals have recently decided that where, in a prosecution for abortion against a physician, the district attorney sent another physician to attend upon the girl, who called upon her, made an examination of her person, and prescribed for her, such physician could not on the trial on behalf of the prosecution, and under objection, testify that in his opinion an abortion had been performed, founded upon the personal examination so made by him, and what his patient had told him in regard to the matter. By accepting his services the woman became his patient, and the prohibition of the statute immediately attached. This restriction upon evidence applies to probate proceedings, life insurance cases, divorce cases, and other proceedings in which the mental or physical condition of a person is a material question. Another section of the Code provides that the privilege of the statute may be expressly waived by the patient. This may be done in various ways; but after the death of the patient, no one can waive this privilege.

A subject of great importance to the physician or surgeon is his liability for the mistakes which sometimes occur in his practice by which injuries result to his patient; and this general subject includes the degree of knowledge or skill required, as well as the responsibility for errors committed. "Our law requires the physician to have a knowledge of the healing art; and, though medicine be not one of the exact sciences, it is quite clear that skill in the practice of medicine can only be acquired by the study and acquisition of those sciences which stand related to the practice, such as physiology and chemistry, and by close observation and experience in the treatment of diseases. It is equally evident that the skill of a surgeon can only be gained by a perfect union of science with practice." The law assumes the necessity of this union, and implies a contract on the part of the physician or surgeon that he possesses and will exercise reasonable and ordinary skill in his profession; not the highest degree of science and skill, but that reasonable measure of knowledge and skill which will enable him to discharge the duties he assumes with discretion and safety. He does not warrant a cure or the success of an operation; and he is not responsible for a mistake or for an error of judgment in matters of reasonable doubt or uncertainty. Where there is but one recognized and approved mode of treatment, his departure from it will render him liable for the consequences; but where a different treatment is followed by different schools of medicine, he is at liberty to follow the practice of his own school. In this paper I can only state general rules upon this subject. It is impracticable to go into details or to refer to the numerous decisions. Each case has peculiarities of its own, and calls for a special application of the general rule. The latest statement of the rule in

The liability of a physician or surgeon for negligence may be affected by the contributory negligence of the patient; and while a surgeon assumes to exercise the ordinary care and skill of his profession, and is liable for injuries resulting from his failure to do so, yet if the patient neglects to obey the reasonable instructions of the surgeon, and thereby contributes to the injury complained of, he cannot recover for such injury. The information given by a surgeon to his patient, concerning the nature of his malady, is a circumstance to be considered in determining whether the patient, in disobeying the instructions of the surgeon, was guilty of contributory negligence or not. It is the duty of the patient to state fully his symptoms and the nature of his malady as far as he is able to do so. It is the duty of the physician to obtain as complete knowledge of the case as possible with the exercise of reasonable diligence and intelligence. It is his duty to advise carefully and fully as to the nature of the malady and the treatment to be administered, whether medical or surgical. It is his duty to apply that treatment with care and discretion. It is his duty to advise the patient properly as to what he may or may not do while under treatment, and it is the duty of the patient to obey the instructions of the physician fairly and reasonably. When all these things concur, the probability of an action for damages will be reduced to its lowest terms.

I recollect hearing a lawyer once say to the court that if there was any thing dear to the lawyer's heart it was costs. So I suppose the matter of fees or com pensation is not the least interesting in the physician's experience. "The laborer is worthy of his hire" is a maxim declared long ago, and it is applicable to the physician or surgeon as to the day laborer. Who shall pay for the professional services, and how much, are the important questions. Ordinarily the person whose duty it is to employ a physician must pay him. It is the duty of the husband to furnish medical attendance for his wife, the father or other head of the family to the other members of it who are under his control; and this latter rule extends to adult children who continue in the family after their majority in substantially the same relations as before. A master may be liable for medical services rendered to his servant, especially if at his request. Sometimes the employment is special, when the person requesting the service may become liable, although under no moral obligation to furnish medical attendance. This applies to private persons, and also to public officers, as district attorneys, coroners, overseers and superintendents of the poor, sheriffs and others who may order the service. In these cases the officers may be liable personally or officially, or compensation may be recovered of the public bodies which they represent, according to circumstances. The amount of compensation depends upon a great variety of circumstances. In general, it may

be stated that the physician is entitled to a reasonable compensation, taking into consideration the seriousness of the malady treated, and the length of time and the degree of skill required; and in case of a contest over the value of the services, other physicians, competent by learning and experience, may testify to their value. Medical societies have no power to bind their members by a tariff of prices, and a member who accepts less fee for his services than that fixed by the bylaw of the society cannot be expelled therefor. Such action by the Erie County Medical Society fixing prices was held to be void, as being unreasonable, against pub. lic policy and contrary to law. The skill of the professional man is his capital in trade, and he has a right to employ it for a compensation satisfactory to himself, and thus obtain a livelihood. And while physiciaus, as well as other classes of men, may agree among themselves upon a tariff of prices, medical societies organized under the law of this State have no power to compel compliance with such a tariff by using the right of expulsion. In an action to recover compensation for services, it has been held that it is no defense to show that the physician had mistaken the malady, and treated the patient for a disease which he did not have, unless it also appears that the plaintiff did not exercise proper care and skill. If a physician ignorantly and unskillfully administers medicine, and the patient consequently derived no benefit from his attendance, the physician is not entitled to any remuneration for what he has done; but if he has employed the ordinary degree of skill of his profession, and has applied remedies fitted to the complaint, he is entitled to his hire and reward although they may have failed in the particular instance. He would be entitled to pay for his services.

It is also well settled that a judgment for services is a bar to an action for damages against the physician. Such a judgment conclusively establishes the value of the services. On the other hand, a judgment against the physician for damages is a bar to an action for services. Such a judgment conclusively establishes the fact that the services were of no value. The party who gets the first judgment has a very decided advantage.

A question of considerable importance to physicians is that relating to extra compensation as an expert. This can only become important when a professional opinion is desired. Upon questions where the physician speaks to facts within his knowledge, he is like any other witness, and is bound to testify for the same compensation. But where his professional knowledge, learning, skill or experience is drawn upon, and his professional opinion invoked, the question arises, can he insist upon the payment of a professional fee before testifying? I am not aware of any decision in this State directly upon this question, though the practice of paying experts is quite generally recognized; but in England, and in some of the American States, the rule has been established that a witness called upon to give his opinion on a subject with which he is peculiarly conversant from his employment in life, is under no obligation to testify without additional compensation. The physician's skill and knowledge are his stock in trade, and he cannot be compelled to donate any part of his capital to assist litigants in settling their disputes. It would be a great hardship if a physician or surgeon must be subject to be called from his home and business to give a valuable professional opinion without reward at the call of a private litigant, perhaps a stranger, when he knows nothing about the merits of the controversy.

It is customary for the public prosecutor to arrange for expert testimony in important criminal cases, and agree upon the compensation therefor. The defendant may of course make the same preparation for defense, but in case of a defendant who is poor, whose counsel are assigned by the court, and whose witnesses are

subpoenaed by the sheriff, by an order of the court, the question becomes a serious one whether physicians summoned as witnesses in such a case can refuse to testify as experts. So humane is our law that in such a case the whole power of the county is placed at the disposal of the defendant to assist him in preparing his defense. Witnesses must respond to a subpœna, and must testify to what they know concerning the facts without fee; and unless unable to do so, must pay their own expenses. Has the defendant in such a case the right to appropriate to his own use, without compensation, the skill or knowledge or experience of the expert? and will the court compel the expert to surrender his opinions, which are his property, as a gratuity? If it can be done in such a case, it can be done in any case, even where the defendant is able to pay for the evidence. The question, after all, is not one of ability to pay for the evidence, but of the right to demand it; and it seems to me that a party to a litigation, either civil or criminal, has no more right to demand the skill of the expert without reward than he has to demand of any citizen a fixed sum in addition to his taxes because he may happen to need it. In an Indiana case, tried in 1877 (Buchman v. State, 17 Alb. L. J. 242), Dr. Buchman was called as a witness at the trial of one Hamilton for rape. He was asked a question calling for an expert opinion. He refused to auswer unless reasonably compensated before testifying as a medical expert.' He refused to answer another question, saying that this answer would depend upon his professional knowledge of the subject, and he would not give it without being paid. The trial court held that he was required by law to answer the question without compensation other than the ordinary witness' fees; and the witness persisting in his refusal to answer, he was committed as for a contempt. He appealed to the Supreme Court, which reversed the decision of the trial court, reviewing all the authorities and holding that he could not be compelled to give a professional opinion without additional compensation. A similar question arose in Illinois in 1885 (Wright v. People, 33 Alb. L. J. 79; 112 Ill. 540), where in an action for an assault and battery a witness, who was a physician, was called to testify in behalf of the plaintiff on the trial, and stated that he was called to see the plaintiff professionally after the injury, and described the condition in which he found the patient. He was asked a question, based upon his evidence, calling for his professional opinion, which he declined to answer without first being paid his usual fee of $10. On appeal from an order punishing him for a contempt, it was held that, having already, and without objection on his part, stated the condition of the patient he had visited professionally, the witness could not properly refuse to give his opinion as to the cause of the symptoms he discovered to exist, and this without a professional fee being paid or secured therefor. The opinion sought to be elicited was pertinent to the subject upon which he had voluntarily testified. This question still remains in doubt. Since the decision of the Indiana case, the Legislature of that State has passed an act by which experts are compelled to testify without extra compensation. It was said in one case in this State that a physician cannot be compelled to examine a case for the purpose of making himself a witness, nor to attend, hear and consider the testimony given so as to be qualified to give a deliberate opinion upon a question of science arising upon such testimony (13 Abb. Pr. [N. S.] 207; People v. Montgomery), but the question of his right to refuse to answer expert questions without extra compensation was not considered. There is no rule upon the subject in this State, and every expert witness must exercise his own judgment in each case as to the advisability of refusing to answer or of making some previous arrangement for compensation.

It has happened in human experience that physicians have been charged with crimes growing out of their practice, and there have developed in our legal system rules intended to apply to the criminal liability of the medical profession. The Penal Code contains a few sections on this subject, which I quote:

§ 190. The willful killing of an unborn quick child by any injury committed upon the person of the mother of such child is manslaughter in the first degree."

"§ 191. A person who provides, supplies or administers to a woman, whether pregnant or not, or who prescribes for or advises or procures a woman to take any medicine, drug or substance, or who uses or employs, or causes to be used or employed, any instrument or other means with intent thereby to procure the miscarriage of a woman, unless the same is necessary to preserve her life, in case the death of the woman or of any quick child of which she is pregnant is thereby produced, is guilty of manslaughter in the first de. gree."

"§200. A physician or surgeon, or person who practices as such, who, being in a state of intoxication, without a design to effect death, administers a poisonous drug or medicine, or does any other act as a physician or surgeon, to another person, which produces the death of the latter, is guilty of manslaughter in the second degree.";

§ 294. A person who, with intent thereby to procure the miscarriage of a woman, unless the same is necessary to preserve the life of the woman, or of the child of which she is pregnant, either

"1. Prescribes, supplies or administers to a woman whether pregnant or not, or advises or causes a woman to take any medicine, drug or substance; or

2. Uses or causes to be used any instrument or other means,

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§ 357. A physician or surgeon, or person practicing as such, who, being in a state of intoxication, administers any poison, drug or medicine, or does any other act, as a physician and surgeon, to another person, by which the life of the latter is endangered, or his health seriously affected, is guilty of a misdemeanor."

§ 297. A person who manufactures, gives or sells an instrument, a medicine or drug, or any other substance, with intent that the same may be unlawfully used in procuring the miscarriage of a woman, is guilty of a felony."

Section 318 provides that a person who sells, lends or gives away, etc., any instrument or article, or any recipe, drug or medicine for the prevention of conception, or for causing unlawful abortion, or who advertises or gives information orally concerning, or manufactures any such instrument, etc., is guilty of a misdemeanor.

"§ 321. An article or instrument used or applied by physicians lawfully practicing, or by their direction or prescription, for the cure or prevention of disease, is not an article of indecent or immoral nature or use within this chapter. The supplying of such articles to such physicians, or by their direction or prescription, is not an offense under this chapter."

Section 193 also provides, among other things, that the killing of a person, when committed without a design to effect death, by the "culpable negligence of any person, is manslaughter in the second degree. This includes criminal negligence by a physician or surgeon, resulting in the death of his patient. This is

son, whether a medical man or not, profess to deal with the life or health of another, he is bound to use competent skill and sufficient attention; and if he cause the death of the other through the gross want of either, he will be guilty of manslaughter." 1 Bish. Cr. Law, § 314. If the injury falls short of the deprivation of life, he may be punished for a misdemeanor. Id., § 558.

Section 194 of the Penal Code provides that "a woman quick with child who takes or uses, or submits to the use of any drug, medicine or substance or any instrument or other means with intent to produce her own miscarriage, unless the same is necessary to preserve her own life or that of the child whereof she is pregnant, if the death of such child is thereby produced is guilty of manslaughter in the second degree." This makes the crime of the woman one degree lower than that of the person who advises or assists in producing an abortion. It has already been observed that the druggist who furnishes the means to produce an abortion is equally guilty with the physician who advises it.

This paper has already grown to such a length that a further discussion of this subject is impracticable. Every physician will admit that the frequency of intentional abortion in this country is simply frightful. Yet prosecutions for this crime are rare. This is doubtless partly due to a laxity of public opinion upou this subject, and possibly ignorance as to criminality, even among well-educated persons. There is also in these cases great difficulty in obtaining competent evidence, either against the woman or against the physician or druggist. Medical testimony is almost indispensable in such a case, and, as I have already shown, the physician who acquires his information professionally cannot be compelled to testify, and the woman cannot, if particeps criminis, be made a witness against another charged with the crime, for she would thereby criminate herself. In view of this state of things, there rests upon the conscientious physician an extraordinary responsibility in thwarting attempts at child murder, and he has also an extraordinary opportunity to correct the present loose notions upon this subject.

LITTLE VALLEY, N. Y.

CHARLES Z. LINCOLN.

CORPORATIONS-POWERS-GAS TRUST.

ILLINOIS SUPREME COURT, NOV. 26, 1889. PEOPLE, EX REL. PEABODY, V. CHICAGO GAS TRSUT COMPANY.

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A corporation formed for the purpose of manufacturing and selling gas under the General Incorporation Law, which provides (R. S. Ill., chap. 32, § 5) that corporations formed under it " may own so much real and personal estate as shall be necessary for the transaction of their business, * and may have and exercise all the powers necessary and requisite to carry into effect the objects for which they may be formed," has no power to purchase and hold or sell shares of stock in other gas companies, as an incident to the purpose of its formation, even though such power is specified in its articles of incorporation.

Under the Revised Statutes of Illinois, chapter 32, section 1, which provides a method for the formation of corporations "for any lawful purpose," a corporation cannot be formed to purchase and hold or sell the capital stock of any gas or electric company in Chicago or elsewhere in Illinois; "the object of such corporation, as tending to create a monopoly, not being a "lawful purpose."

the rule of the common law, and is stated, generally. APPEAL from Circuit Court, Cook county. Que

that "if a man take upon himself an office or duty requiring skill or care, if, by his ignorance, carelessness or negligence, he cause the death of another, he will be guilty of manslaughter." Specifically, "if a per

warranto on the relation of F. B. Peabody against the Chicago Gas Trust Company. The Circuit Court overruled demurrers to defendant's pleas, and plaintiff appeals.

George Hunt, Attorney-General, and James K. Ed- | capital stock of any gas company or companies," are sall, for appellant.

Goudy, Green & Goudy, for appellee.

MAGRUDER, J. The Chicago Gas Trust Company, appellee herein, was organized uuder the General Incorporation Law of this State. The statement filed by the original incorporation with the secretary of State sets forth that the trust company was formed for two objects, or for one object of a two-fold oharacter. The ob oct named in the first clause of the second specification of the "statement" is, in brief, the erection and operation of works in Chicago, and other places in Illinois, for the manufacture, sale and distribution of gas and electricity. The object named in the second clause of the second specification of the statement is, in brief, "to purchase and hold or sell the capital stock" of any gas or electric company or companies in Chicago, or elsewhere in Illinois.

In this proceeding no attack is made upon the validity of the organization of the gas trust company as a corporation. That it was formed in strict conformity with the requirements of the General Incorporation Law is not denied by the people. Nor does the State here question the right of the appellee company to aoquire and operate works for the manufacture and sale of gas and electricity, in pursuance of the object designated in the first clause above mentioned. Hence the controversy arising upon the demurrer to the pleas in this case is not as to the right of appellee to exist as a corporation, nor as to its right to exercise the first one of the powers sought to be conferred upon it by its charter. The controversy presented by the record relates solely to the authority of the appellee to carry out the object designated in the second clause above mentioned. It is claimed on the part of the people that the charter or articles of association of the gas trust company did not and could not confer upon it the power to purchase and hold * ** the capital stock" of other gas companies. It is averred in the information, and admitted in eight of the eleven pleas that appellee has purchased, and now holds, a majority of the shares of the capital stock of four gas companies, to-wit, the Chicago Gas-Light and Coke Company, the People's Gas-Light and Coke Company, the Equitable Gas-Light and Fuel Company, and the Consumers' Gas Company; and it is admitted in three of the pleas that the appellee has purchased, and now holds, some portion of the capital stock of said four companies. The information charges that, by so purChacing and holding a majority of the shares of the capital stock of each of the four companies, the appellee usurps and exercises "powers, liberties, privileges and franchises not conferred by law." The appelleo pleads, in justification, that the power so to purchase and hold the stock is granted by the terms of its charter.

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Can the Chicago Gas Trust Company lawfully purchase and hold the stock of other gas companies? A distinction is sought to be drawn between "capital stock" and "shares of stock." It is said that capital stock means the entire property owned by the corporation, while a share in the stock is the right to partake, according to the amount put into the fund, of the surplus profit obtained from the use and disposal of the capital stock of the company to those purposes for which the company is constituted. It is therefore insisted by the appellant that, even if the charter of the appellee can be held to confer the power to purchase and hold the general property or funds of other gas companies, it does not for that reason confer the power to purchase and hold shares of stock in such other companies.

The distinction contended for undoubtedly exists under certain circumstances, and for certain purposes; but we think that, in the present case, the words "the

broad enough to include shares of stock. In the General Incorporation Act, under which the appellee and Consumers' Gas Company and the Equitable GasLight and Fuel Company are all organized, the statement is required to set forth "the name of the proposed corporation, the object for which it is to be formed, its capital stock, the number of shares of which such stock shall consist,' etc. The original charter of the Chicago Gas-Light and Coke Company provides that "the capital stock of said company shall not exceed $300,000, to be divided into shares of $25," etc. The charter of the People's Gas-Light and Coke Company, as amended in 1865, also provides that its capital stock may be divided into shares. The terms thus used designate the capital stock of a corporation as that which consists of, or may be divided into, shares. Hence, for the purposes of the present discussion, "the capital stock of any gas company" may be regarded as the aggregate of all the shares of such stock.

The first, third and seventh pleas aver that the defendant uses and exercises "the power, liberty, privilege and franchise of purchasing and holding the capital stock of gas companies in the State of Illinois," and that in such use and exercise thereof" it has purchased and still holds capital stock of four companies," etc., without stating how much capital stock it holds. The demurrer to these pleas might well have been sustained, on the ground that they do not answer the information. The information charges that the defendant has purchased and holds a majority of the shares of stock in each of the four companies, while the pleas answer by saying that defendant holds "capital stock," and do not set forth whether the stock so held is a majority, or less than a majority, of the shares. If it be conceded however that the three pleas are not defective for the reason thus specified, they present the question whether appellee can lawfully purchase aud hold shares of stock in other gas companies, the number of such shares being less than a majority, and therefore too small to give a controlling interest in such other companies.

There are two views which may be taken of the power to purchase and hold the capital stock of other gas companies, as designated in said second clause. Must it be regarded as an original, independent power, intended to exist exclusively and in addition to the power named in the first clause, or may it be considered as merely ancillary to the other power of maintaining and operating works for the manufacture and sale of gas? If the latter view be correct, the main object for which the gas trust company was formed would be that it might itself maintain and operate works for the manufacture and sale of gas, while the purchase of shares of stock in other companies would be merely a subordinate object, incidental only to the main purpose of the corporate formation. An illustration of this idea may be found in the general law of this State in regard to life insurance companies, which makes it lawful for a life insurance company, organized in the State, to "invest its funds or accumulations in the stocks of the United States, * * in such other stocks or securities as may be approved by the auditor." The main object of forming such a company is to engage in the business of life insurance, but the power to invest surplus funds in certain stocks is given as an incident to such business.

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Can the power to purchase and hold the stock of other gas companies be lawfully exercised by the appellee, as incidental to the main purpose of maintaining and operating works for the manufacture and sale of gas? Corporations can only exercise such powers as may be conferred by the legislative body creating them, either in express terms or by necessary implication; and the implied powers are presumed to exist

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