5 327 GRESS) SENATE COMMITTEE PRINT sion THE DECLARATORY JUDGMENT or BRIEF By EDWIN M. BORCHARtfJEP Professor of Law, Yale University SUBMITTED TO THE r>V . ROO/ COMMITTEE ON UNITED STATESOpNATE RELATING TO THE BILL (S. 5304) TO AUTHORIZE THE FEDERAL COURTS OF THE UNITED STATES TO RENDER DECLARATORY JUDGMENTS Printed for the use of the Committee on the Judiciary WASHINGTON GOVERNMENT PRINTING OFFICE 1919 [S. 5304, Sixty-fifth Congress, third session.] A BILL To authorize the Federal courts of the United States to render declaratory judgments. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section twenty-four of chapter two of the Judicial Code, approved March third, nineteen hundred and eleven, be amended by adding thereto the following: "Twenty-sixth. The district courts, the circuit courts of appeals, and the Supreme Court of the United States shall have power in any action or in an independent or interlocutory proceeding, to declare rights and other legal relations on written request for such declara- tion, whether or not further relief is or could be claimed; and such declaration shall have the force of a final judgment." 2 THE DECLARATORY JUDGMENT A NEEDED PROCEDURAL REFORM. By EDWIN M. BORCHARD, Professor of Law, Yale University. [Reprinted from the Yale Law Journal, November and December, 1918.] I. The maintenance of the social equilibrium is accomplished by the State through the administration of justice. 1 This is the modern sub- stitute for the primitive practice of self-help. While the dawn of civilization reveals but crude notions of judicial institutions, one of the first manifestations of organized society was the creation of machinery for voluntary arbitration as an optional substitute for private vengeance and self-help, the acknowledged methods of insur- ing respect for the societal rules. But the decisions of the first judges, who were merely arbitrators, had only a moral force; and if the com- plaining litigant was dissatisfied with the award, he could still resort to self-help. For its own protection against the resulting anarchy and violence, organized society, having acquired the power, took upon itself the monopoly of administering justice through established courts. But though this evolution is one of centuries, the funda- mental theory still prevails that the redress of wrongs is the raison d'etre both of violent self-help and of its more civilized substitute, the courts : and the notion of vengeance, while rejected by modern schools, is still evident in the penalties imposed in the administration of crim- inal justice and in their tempered and better adjusted substitute, damages, awarded in the administration of civil justice. The com- mission of wrong, public or private, is essential, so we are taught, in order that the judicial arm of the State may be invoked to restore the social equilibrium. 2 Thus Blackstone says: "The more effectually to accomplish the redress of private injuries, courts of justice are instituted in every ciyilized society." 3 This theory was fundamental in the common law. Yet a study of modern social and industrial conditions emphasizes the conviction that the social equilibrium is disturbed not only by a violation of private rights, privileges, powers, and immunities 4 but 1 The complex relationships involved in the notion of justice are not here of immediate concern. The equilibrium is established through law, which may be called distributive justice, and maintained through the enforcement of law, which may be called corrective justice. It is in this latter aspect of justice that our immediate interest centers. See on the general subject, Pulszky, The Theory of Law and Civil Society (London, 1888), Ch. XII. f almond, Jurisprudence (4th ed.) sees. 26, 27. Carter, Law: Its Origin, Growth, and Function, 45 et seq. '3 Bl. 2, 15. See also Pound, Readings on the History and System of the Common Law (2d ed.) 30 et seq. Salmond, op. cit. 71: "Justice is administered only against wrongdoers, in act or in intent." < In the course of this study we shall adopt Prof. Wesley N. Hohfeld's valuable analysis of jural relations as first set forth in (1913) 23 Yale Law Journal, 16. These relations may most readily be presented in Prof. Hohfeld's scheme of opposites and correlatives: Jural /right privilege power immunity Opposites \no-right duty disability liability Jural /right privilege power immunity Correlatives \duty no-right liability disability The importance of this analysis is revealed throughout the subject of declaratory judgments. See particularly Guaranty Trust Co. v. Hannay (C. A.) (1915J, 2 K. B., 536, 548, Buckley, L. J., and p. 571' Bankes, L. J. 4 THE DECLARATORY JUDGMENT. by the placing of these individual advantages in grave doubt and uncertainty. If the status of children as legitimate or illegitimate or of persons as married or unmarried is uncertain, not only the indi- vidual but the State has an interest in having the uncertainty settled by an authoritative determination. If the title to property is uncer- tain, the State, as well as the individuals concerned, has an interest in removing the uncertainty, and within certain limitations courts of equity entertain jurisdiction to remove clouds from title. 5 If the meaning of a contract is in doubt, it must be broken in order to obtain an authoritative construction of it, with expensive litigation to boot. Similarly, apart from the trustee's bill for advice, a hostile attack must generally precede the adjudication of conflicting claims under a will. To determine these questions, which are illustrations merely, our law .now requires an elaborate procedure involving delay, uncer- tainty, and considerable expense, when all that is desired is an author- itative determination of a simple issue of fact or of law. Parties are compelled to indulge in legal hostilities whether they want to or not in order that their legal relations may be cleared of doubt or uncertainty. That the law has not been oblivious to the necessity of certainty and security in legal relations is evidenced in the fact that certain agreements in order to obtain judicial recognition must be reduced to writing or must be recorded. It is also evidence in the employ- ment of such equitable remedies as bills quia timet, bills of peace and bills to remove cloud from title, biUs for the rescission and can- cellation of written instruments, in the action to perpetuate testimony and in the bill for injunction. While the general purpose of these equitable remedies is to create security, remove uncertainty, and prevent litigation, 6 many of the remedies are cumbersome and their grant is dependent upon very technical conditions precedent. Take for example, the writ of injunction. Aside from its curative func- tions in affording redress for certain kinds of continuing wrongs, it has important preventive functions. One of the principal conditions of its issuance, however, is the inadequacy of the remedy at law, and as damages are deemed a sufficient palliative for most legal injuries again on the theory that justice functions with entire success if it gives money compensation after the commission of a 6 As a rule, however, only where the plaintiff is in possession. The dispute of title to personal property can not, except in rare instances, be settled in any such manner. See infra, p. 30. The bill quia timet is a writ of prevention designed to avoid possible future injury to the applicant's property and to preserve it for its appropriate uses. This is effected by appointment of receivers or con- servators to collect income, or by a demand for security. The injunction to prevent waste, etc., is in the nature of a bill quia timet. The bill of peace is designed to establish and perpetuate a right or privilege w.ucn may be controverted by different persons or at different times and is intended to prevent a mul- tiplicity of suits. The bill to remove cloud from title and the cancellation of outstanding instruments which inequitably affect a person's rights or privileges are in the nature of a remedy quia timet. Sometimes the decree may in such cases operate as a declaratory decree. Infra, p. 30. The action to perpetuate testimony, a provisional remedy well known in Anglo-American and in the civil law, is designed to preserve and perpetuate for future use testimony which is in danger of being lost. These equitable remedies are fully discussed in works on equity, particularly in those of Story and of Pomeroy. All these remedies have a limited application, and tHeir grant is conditioned upon the fulfill- ment of strict preliminary requirements; and while courts of equity have much flexibility in adapting their relief to the situation presented, they incidentally have wide powers in imposing up'on applicants f or the exercise of their functions such conditions as they may deem necessary to do equity in the case. THE DECLARATORY JUDGMENT. 5 wrong the injunction will be issued but rarely to restrain a breach of contract or a trespass. 7 The limited scope of these various kinds of preventive relief against insecurity and the disturbance of the status quo makes it all the more necessary that we examine with care that instrument of preventive relief known to the English and other legal systems as the declaratory judgment. The distinctive characteristic of such a judgment is that it carries with it no coercive decree or order com- manding the defendant or the sheriff to do anything, an inherent element of all executory judgments. Its purpose is to afford security and relief against uncertainty and doubt. It does not necessarily presuppose culpable conduct on the part of the defendant, but it enables any party whose rights, privileges, powers, or immunities, whether evidenced by a written instrument or not, have been dis- puted, endangered, threatened, or placed in uncertainty by another person to invoke the aid of a court to obtain an authoritative deter- mination or declaration of his rights or other legal relations. At the outset it will be well to circumscribe the concept of "decla- ratory judgment." In a sense all judgments of courts declare jural relations, but most of them, being caUed into operation by some past or immediately threatened violation of a right, are followed by further relief in the form of a judgment for the payment of damages or a decree for an injunction. These judgments require the losing defendant to do something, and may be called executory, i. e., they may be executed. They always involve rights and duties. A second class of judgments likewise determines or establishes a jural relation; yet they are not followed by a decree ordering the per- formance of some duty but merely by a decree which effects some change of status, the judgment thus constituting merely a source of new jural relations. Such are, among others, judgments of divorce or of annulment of a voidable marriage, appointments of guardians or receivers, admissions of wills to probate, judicial declarations of death or of majority in civil-law countries, the judicial authentication of arrangements in which the public interest requires an official pro- tection of private jural relations, such as liquidations, certain charges in corporate organization, 8 the administration of trusts, etc. They may be the result of contentious or noncontentions proceedings, although the latter are practically administrative rather than judicial functions. These judgments, because they effect a change of status and are primarily a source of new jural realtions, may be called constitutive or, as we prefer to call them, "investitive." 9 7 Generally only in the case of such contracts as agreements not to carry on a trade, contracts for personal services of exceptional character, certain covenants restricting the use of land, or where some distinctly equitable ground such as the avoidance of a multiplicity of suits can be shown to exist. Usually an injunc- tion against breach will be granted only where specific performance would be decreed. Courts of equity are now somewhat more liberal in granting relief by injunction against trespass than were the early chan- cery courts, but the narrow interpretation of "inadequacy of legal remedy" still confines the injunction to a limited class of trespasses. See Moore v. Halliday (1903), 43 Oreg., 243; 99 Am. St. Rep., 742; 72 Pac., 801, and note thereto; Xenia Real Estate Co. v. Mac'y (1897), 147 Ind., 568; 47 N. E., 147 with quotation from Pomeroy. 8 See In re Guardian Assurance Co. [1917], 1 Ch., 431. Toronto Corporation v. Toronto Railway (P. C.) [19161, 2 A. C.,542. 9 This Benthamism, whose use may be pardoned, seems more descriptive than the term "titles of right" employed by Salmond, op. cit. 91. The term "right" here is too uncertain in connotation. The Germans call these judgments "constitutive." Perhaps a more accurate nomenclature might use the term "dives- titive" for those judgments, like the annulment of a voidable marriage or dissolution of partnership, whirh merely terminate an existing status. See Elemer Balog, Ueber das konstitutive Urteil (1907), 34 Zeitschri.t fiir das priva* unrl ollfntliche R^cht der Gg In re Hollaender and Donnet (Sept. 8, 1916, Court of Rouen) reported in (1917) 44 Clunet, 1009. . In re Lee's Will (Mar. 30, 1918, Ul S. Court for China) (1918), 27 Yale Law Journal, 1082. 11 Strictly soeikin?, jul?m?nts dismissing a complaint are declaratory in their nature, but they differ in princinle from those now unler consideration in that some coercive relief was asked for. An exhaustive theoretical discussion of the distin?tion between the declaratory judgment and the executory also called disoositive or coniemnitory judgment is to be found in F. F. Heim, Die Feststellungswirkung des Zivilurteils (Munich, 1912) particularly pr>. 45-50, 70-75. This monograph constitutes part 1 of v. 25 of the Abhanllun?en zum Privatrecht und Zivilprozess. edited by Prof. Otto Fischer. " (K. B.) 113 L. T., 98, 101. A Modern Evolution in Remedial Rights the Declaratory Judgment (1917), 16 Mich. L. Rev., 69. This is the only monographic study on the subject in the English language known to the writer, with the excention of a brief article on the Scotch action of declarator in (1849) 41 Law Magazine, 173. 14 Salmond, op. cit., 66. THE DECLARATORY JUDGMENT. 7 has been a refusal to submit to the award. 18 Here, the arbitrators having no power to enforce their decision, the constraint of public opinion alone compelled obedience. A fortioii, therefore, when the State possesses full power to enforce its decrees, legislative as well as judicial, the inclusion of a special command with each decree seems unnecessary. The mere authoritative declaration of the reciprocal rights and obligations of the parties suffices to insure obedience; but should a losing party charged with duties actually prove recalcitrant, it is very simple, in view of the fact that the declaratory judgment is res adjudicata, to obtain an ordinary judgment upon which a writ of execution may issue. Up to the present time, with the exception of that class of judgments which we may call purely "investitive," such as decrees of divorce, discharges in bankruptcy, appointments of receivers, etc., which do not operate as remedies for wrongs, but merely as creators of new jural relations, our actions and the resulting judgments are directed to immediate coercive relief from the court, either by way of damages, injunction or some other command or decree. The very form of the demand by the plaintiff indicates a recalcitrant or culpable defendant and the scene is set for legal war. As Prof. Sunderland has pointed out, the declaratory action, in cases where the plaintiff does not demand coercive relief, leads to the same effective result as the hostile action for damages or an injunction, with much simplified procedure and under the assump- tion, justified in most cases between responsible litigants, that both parties wish to do right and act honestly. The issue is framed for the answer of the court in a stated question, for example, "whether the assignment by F. T. B. * * * was void as against his trustee in bankruptcy" 17 or the plaintiff claims a declaration "that the defendants * * * in respect of the lands in question were not entitled to exercise the power of entry, etc.; 18 and the facts being before the court, in contradistinction to the procedure on demurrer the specific issue of law is answered usually by a simple "yes" or u no" or by a mere grant or refusal of the declaration requested. The request for a declaration is very frequently accompanied in a separate prayer by a demand for coercive relief in the form of injunc- tion or other decree, the advantage being that even though the injunction may be refused, the declaration of the legal relations of the parties may still be made and the parties will govern themselves accordingly. 19 This usually serves the plaintiff's purpose and renders further assistance from the courts unnecessary. H Three of these were based upon an alleged departure by the arbitrator from the terms of the compromis. i" In re Bulteel's Settlements ]l917|. 1 Ch., 251, 255. '8 Taff Vale Railway v. Cardiff Railway (C. A.) [1917], 1 Ch., 293, 302. Even before the enictment of 15 and 16 Viet., ch. .50, sec. 86 (1852), which is generally regarded as the first legislative authorization of the declaratory judgment, Parliament had enacted in 1850 an act, 13 and 14 Viet., ch. 35, sec. 1, "to diminish the delay and expense of proceedings in the high court of chancery in England," reading in part as follows: "That it shall be lawful for persons interested or claiming to be interested in any question cognizable in the said court as to the construction of any act of Parliament, will, deed, or other instrument in writing, or any article, clause, matter, or thing therein contained, or as to the title or evidence of title to any real or personal estate contracted to be sold or otherwise dealt with, or as to the parties to or the form of any deed or Instrument for carrying any such contract into effect, or as to any other matter falling within the original jurisdiction of the said court as a court of equity, or made subject to. the jurisdiction or authority of the said court by any statute not being one of the statutes relating to bankrupts, and including among such persons all lunatics, married women, and infants, in the manner and under the restrictions hereinafter contained, to concur in stating such question in the form of a soecial case for the opinion of the said court, and it shall also be lawful for all executors, administrators, and trustees to concur in such case." is S*e, for example, London Assn. of Shipowners, etc., v. London & India Docks, etc. (C. A.) [18921, 3 Ch., 242, wh:re the claim for injunction was abandoned; Llandudno Urban Council v. Woods [1899], 2 Ch., 705, where an injunction was refused. 8 THE DECLARATORY JUDGMENT. The close analogy between the declaratory judgment and arbitra- tion will already have become apparent. In countries authorizing the declaratory judgment, the law now furnishes parties with official "arbitrators" whose function it is to declare the legal relations exist- ing between the parties and the law endows their decision with binding force. The strongest attestation of the efficacy of this procedure is the increasing frequency with which it has been resorted to in the English courts. Of the official reports of cases in the chancery division in 1884, 34 per cent were declaratory actions; in 1916, based upon the cases reported in second chancery division this percentage had risen to 67 per cent and in 1917 it reached 66 per cent. There is every probability that recourse to the declaratory action will continue to increase. The great merits of the procedure, as evidenced by its con- stant employment in England, Scotland, Ireland, India, Ontario, British Columbia, and other Canadian Provinces, in Australia, New Zealand, and several of the Australian States, and in Germany and Austria commend it to the American legal system as a reform worthy of adoption. Before entering upon an account of the historical development of this important institution and an analysis of the various classes of cases in which it has been employed, it seems desirable to call atten- tion to the fact that the declaration may be requested by the plaintiff and made by the court either in the affirmative or in the negative form. While all jural relations necessarily involve their correlatives and their corresponding opposites in the other party, the affirmative form of declaration is apparently generally employed where the plaintiff asserts his own right or power or the defendant's duty or liability. For example, A asks a declaration of his right of way over B's land or of his power to assign a certain lease without the landlord's consent; or he may ask a declaration that B is indebted to him for a year's rent or that B is responsible for the debts that may be con- tracted by his wife. The affirmative form of declaration is usual when the plaintiff's cause of action is one in which he might have been able to obtain coercive relief but is satisfied with a declaratory judgment. The second or negative form of declaration affords in certain cases a novel kind of relief, to be explained presently. It is usually under the form of a negative declaration that the plaintiff asserts his privi- lege or immunity or the defendant's no right or disability (no power). 20 For example, B may ask a declaration that he is not obliged to return to A a sum of money previously paid to B (privilege) ; or that he is not subject, as a nonresident, to the payment of certain taxes (immunity); or, he may claim a declaration that A has "no right" to walk over his land ; or, being himself a remainderman, he may ask a declaration that the defendant, a life tenant, has no power (i. e., is under a disability) to convey the fee simple. In some of these cases, notably in the first two, the plaintiff has no cause of action, yet by reason of the declaratory procedure he is enabled as "equi- table" plaintiff (prospective legal defendant) to bring the defendant into court and to compel him to prove his claim or be barred from asserting it thereafter against the plaintiff. 10 See Prof. Hohfeld's scheme of jural opposites and correlatives, supra, note 4. THE DECLAKATORY JUDGMENT. 9 The plaintiff asserts his privilege or freedom from the claim of the defendant. This valuable form of relief by way of negative declara- tion of privilege has been consciously admitted in England only since 1915, when the important case of Guaranty Trust Co. v. Hannay 21 was decided by the court of appeal, two judges deciding in favor of the negative declaration and one against it. 22 In that case, certain bills of exchange supported by certain forged bills of lading purporting to represent cotton were purchased by the Guaranty Trust Co. of New York. They were accepted in England by Hannay & Co. and paid. It was then discovered that the bills of lading were forged and did not represent goods actually shipped. Hannay & Co. brought an action in the Federal district court in New York to recover the money they had paid the Guaranty Trust Co. alleging that the bills of ex- change were non-negotiable and conditional upon the actual exist- ence of cotton. 23 The Federal circuit court of appeals held that the decision depended upon English law, whereupon the Guaranty Trust Co. brought an action in England for "a declaration that the plaintiffs are not liable to repay to the defendants any sums paid by them" in respect of these bills of exchange. The defendants denied the juris- diction of the court to make such a declaration, inasmuch as the plaintiffs had no "cause of action"; and certain English courts 24 had indeed considered this a condition precedent to a " declaration of right" as it is called by the English Order XXV, rule 5, of the Rules of 1883 of the Supreme Court. That rule reads: No action or proceeding shall be open to objection on the ground that a merely declaratory judgment or order is sought thereby, and the court may make binding declarations of right whether any consequential relief is or could be claimed or not. Bulkley, L. J., held that the cause of action here being in the de- fendant and not in the plaintiff, no declaration could be made. 25 Pickford, L. J., relying principally on two earlier cases 26 in which the question had not been specially raised, and not wishing to narrow the court's power, held, while considering the exercise of the power very exceptional, that the court had jurisdiction to make the declaration asked. 27 Bankes, L. J., believed that while a cause of action was necessary in view of the phrase "declaration of right," whereas plaintiffs asked a declaration of their freedom from a duty (i. e., a privilege), still the first part of the rule which speaks of "declaratory judgment or order" gave the court power to make a declaratory order, without limiting it to a declaration of "right" and the second part of the rule con- templates a person seeking "relief," which is not confined to relief in respect of a cause of action. 28 While this may be dictum, the opinion constitutes a most exhaustive discussion 01 this phase of the declaratory action; and while the grounds of the decision are not 21 (C. A .) [1915] 536. 22 The term negative declaration is not used in England, although it is in Germany. This particular form of declaration has bean used in Scotland for 300 years and on the continent of Europe probably longer. Its history will be set forth presently. (1911) 187 Fed. 686; (1913) 210 Fed. 810. For a comment on this case, see (1918) 27 Yale Law Journal, 1016. 2< Brooking v. Maudsley, Son & Field (1SS3) 38 Ch. D., 636, 646; Williams . North's Navigation Collieries (1904), 2 K. B., 44, 49; North Eastern Marine Engineering Co. v. Leeds Forge Co. (1906), 1 Ch., 324; (C. A.) (1903) 2 Ch. 498: Offin v. Rochford Rural Council (1908) 1 Ch., 342. 20 (1915) 2 K. B.,548. 2 London Assn. of Shipowners, etc., v. London & India Docks, etc. (C. A.) (1892), 3 Ch., 242; Dyson v. Attorney General (C. A.) (1912), 1 Ch., 158. 27 (1915) 2 K. B., 565. 2 Ibid. ,574. 10 THE DECLARATORY JUDGMENT. entirely satisfactory for two of the three judges seemed to think that trie plaintiff ought to have an affirmative cause of action subsequent decisions during the last two years have placed it beyond doubt that the negative form of declaration is within the jurisdiction of the court. 28a It is interesting to observe that the term declaration of "right" which was probably not meant in the narrow yet tech- nically correct sense in which Bankes, L. J., interpreted it, namely, as excluding privilege, power or immunity is in the German code of civil procedure of 1877 converted into the term declaration of "legal relations," and in the Specific Relief Act of India of the same year, though called a declaration of "right," is by the authoritative illus- trations which accompany the statute applied not only to rights but to other jural relations as well. HISTORICAL DEVELOPMENT. (A) ROMAN LAW. The affirmative declaratory judgment finds .its origin in the Roman law. In the Roman law of procedure, as in our own, the action at law led to an executory judgment, condemnation 9 But it often proved necessary to decide in a preliminary way certain questions of law or of fact which the parties themselves, by agreement, or the magistrate or praetor, at the request of one of the parties, might submit to the jucfex for decision. This decision was merely a declaration of the judex in response to the question submitted. Instead of commanding the performance of some act, his decision constituted merely the affirmation of an existing state of facts or of law. Being merely inci- dental or preliminary to an ordinary executory action, it was Imown as a prae-judicium. It ended in a pronuntiatio, not in a condemnatio. In the period of the legis actiones this pronuntiatio was obtained by means of the sponsio, so far as the question was not taken up in the legis actio itself. In the formulary procedure the form of submission was greatly simplified. In the intentio the formula stated the specific question of law or fact which had to be determined; it was much like the regular formula for the trial of an action, except that the condemnatio was omitted. This procedure proved so useful that it was ultimately extended to independent actions where no executory judgment (condemnatio) was required or desired. The actions then received the name actiones praejudiciales, the dignity of actiones having theretofore been denied them. 30 In application they were limited to certain classes of cases, principally questions of status and of certain property rights and rela- tions incidental to status, such as the amount of a wife's dowry which had to be returned to her on the termination of the marriage, and, less frequently, questions of the validity of legal instruments. These actions, which were personal actions in rem, are grouped by Wind- :a Infra, notes 307 et seq. 59 In this word "condemnatio," which was a civil executory judgment commanding that something be done, e. g., that damages be paid, the underlying theory that'judicial relief involves the redress of wrong- doing becomes clear. Only proceedings which 1 ed to a condemnatio were called actions in the classical Roman law; with the exception of "investitive" judgments, e. g., judgments of divorce, the appointment of receivers, etc.. this still appears to represent the conception of actions in our law. Some authorities assert that they are still merely interlocutory judgments; but while of course it was always possible to follow them with an executory action, this was so' frequently not done that their inde- pendent status came to be recognized. Gaius is our principa 1 source of knowledge on the subject of the actiones praejudiciales. THE DECLAKATOEY JUDGMENT. 11 scheid as including questions of status libertatis, civitatis, familiae. The questions, among others, more frequently submitted to deter- mination related to the status of and property in slaves; declarations of liberty; questions of the power of the master, and of the father over his children; questions of legitimacy and of family relationship; the validity or invalidity of a will (querela inofficiosi testamenti) 31 and of other legal instruments. 32 It is interesting to observe that the development of the declaratory judgment during the Middle Ages and after the "reception" of Roman law in continental Europe in 1495, questions of status, of property- rights connected therewith, and of the validity or invalidity of wills and other legal instruments, constitute the principal subjects of declaratory actions. At the present time, however, instead of being confined to a limited number of subjects with individual forms, the declaratory action is almost unlimited as to subjects and has a general form sufficiently wide to accommodate any specific questions. That the declaratory action is in effect an action for the security and protection of existing rights, privileges, powers or immunities is made evident by tracing the history and purpose of the negative form of declaratory judgment. By this action the plaintiff asks a declaration that the defendant has no right as opposed to the plain- tiff's privilege, i. e., that the plaintiff is under no duty to the defend- ant, or that the plaintiff is under an immunity from any power of or control by (i. e., there is a disability of) the defendant. The danger of uncertainty and insecurity of rights and other jural relations against which the declaratory action was designed to guard was threatened in one of two ways either by the defendant's denial of well-established and well-founded rights or other legal relations, or by the defendant's assertion of unfounded claims. It was to meet the second class of danger that the negative declaratory action was invented. The classical Roman law hardly knew this remedy at all, except with respect to the actio negatoria utilis, to protect a possessor or pledgee against claims conflicting with the exercise of his rights, etc., in prop- erty. In the Code of Justinian 33 the first mention is to be found of the so-called Lex Diffamari, embodying a rescript of one of the emperors to a certain Cresceus whose status some one had disparaged by asserting that he was not free-born. The passage authorized the person slandered to cite the adverse party, and if the latter failed ' See 1 Bekker, Die Aktionen des romischen Privatreehts (Berlin, 1871), ch. 14, p. 272 et seq. The form of the action really makes this an action for a declaration of the invalidity of a will. ** A vast amount of learning in the literature of the Roman law has been devoted to the elucidation of the actiones praejudiciales. Of that examined, the following may be recommended as the most useful: 4 Gaius (Poste's 3d ed.), sec. 44: 1 Bekker, op. cit. 283 et seq.: 2 Bethmann-Hollweg, Der romische Civilprozess (Bonn, 1865), sec. 97: Windscheid, Lehrbuch des Pandektenrechts (5th ed.), sec. 45, pp. 111-112; sec. 122, pp. 360-3til; Baron, Pandekten (9th ed.) sec. 80, p. 161; and a valuable monograph by Degenkolb, Einlas- sungszwang und Lrtcilsnorm (Leipzig, 1877), 96, 131, 146-168, 187 et seq. Degenkolb, p. 188, points out certain remedies of the Roman law which are in the nature of declaratory actions, all of which are directed to the security of the plaintiff, e. g., the interrogations in jure, the action arising out of nondelivery of a receipt, the demand for a bond (cautio), and the liberationis condictio, or release from a possibly existing obligation (but not the establishment of a non debet). Some writers place in a separate category the summary action on bills of exchange and other commercial documents which carry with them, after formal acknowledgment or admission of the signature of the party charged, a right to the immediate issuance of a writ of execution. The party charged must then give Dond to stay the execution. This procedure is known to most of the civil law countries, which endow commercial contracts with a special sanctity and protection. See Borchard, Guide to the Law and Legal Literature of Argentina, Brazil, and Chile (Washington, 1917) 95, 408. The procedure for securiug the debtor's acknowl- edgment of his signature has some resemblance to the declaratory action. It is aimed primarily at recog- nition or admission by the party defendant rather than at declaration by the judge, although this is its subsidiary purpose, should the defendant refuse his recognition. See Leonhard, De natura actionis quae praejudicialis vocatur (Leipzig, 1874), 17et seq. 83 ("ode, 7, 14,5. A translation of the passage is to be found in DeVillier's edition of Voet's Commentary on the Pandects (Cape Town, 1900), Book XLVII, Tit. 10, p. 143. 12 THE DECLAKATORY JUDGMENT. to prove his assertion he was to be ordered to keep silent. Primarily this involved both a declaration of privilege and of a right, followed by an executory injunction. The real development of this form of relief by action is to be found in the Roman civil law of the Middle Ages, notably in Italy. Amon<* the several forms of protection against the assertion of unfounded claims which grew up at that period, four received extended applica- tion: (1) the provocatio ex lege diffamari, which affords the broadest foundation for the modern negative declaratory action, and the provocatio ad agendum ex lege si contendat ; 34 (2) the so-called querela nullitatis, 35 upon which the modern civil-law actions declaring the nullity of legal transactions is founded; 36 (3) the so-called liberationis condictio; and (4) the actio negatoria utilis. 37 There were of course certain additional remedies to assure protection against unfounded claims, but these were usually incidental to some coercive relief which was prayed. These are the protection of possession against the tur- batio verbis through the assertion of false claims, and the flexible imploratio judicis for the determination of privilege or nonliability, i. e., immunity. 38 This variety of measures for the protection of security would indi- cate that society during the Middle Ages was more sensitive than were the Romans to the social and individual danger of insecurity arising out of uncertainty of legal relations. This is traceable in two well-known legal phenomena of that period: the conceptions (a) that it was a personal injury in the nature of slander to have an unfounded action brought against one; and (6) that society had an interest in the protection of the status quo. While an action is a method of restoring a disturbed legal equilibrium and therefore an aid to ordered community life, it nevertheless constitutes a disturbance of the peace of the person threatened with it. For him it is a vacillation between war and peace. Owing to this dual conception, and to the theory that by awaiting a time unfavorable to the defendant for bringing suit the plaintiff was in fact abusing his privilege of resorting to the courts a kind of slander by way of action the procedure was invented of enabling the prospective defendant to appear as plaintiff with the power to compel his opponent to come forward with his claim, prove it, or ever after remain silent (poena perpetui silentii) . In this provocatio ex lege diffamari lies the origin of the negative declaratory action. Confined at first to a remedy against the untimely institution of a suit against the plaintiff, it soon developed into a remedy against the institution of an unmeritorious or unfounded suit, by compelling the defendant to bring his threatened claim to action at once or be 34 By this proceeding the surety could require the creditor to bring his action against the principal debtor, under penalty of discharging the surety from all further liability. Baron, op. cit. 480. Similar relief may be obtained by our bill quia timet by which the surety can require the debtor to discharge the debt or the creditor to sue the debtor. Hayes v. Ward (1819, N. Y.), 4 Johns, ch., 123, 131; Wright v. Simpson (1802), 6 Ves., 734. 5 Baron, op. cit. 124; Winscheid, op. cit. 223, note 6. 3t Probably most legal systems provide for a judicial declaration that a void act is void; this is the purpose of the French action en nullit^ and of the German Nichtigkeitsklage. The Anglo-American law has inher- ited from the civil law a somewhat similar procedure in the case of marriage void ab initio. But beyond this, in our law, such a declaration would only be incidental to an action for some further relief, such as setting aside or ordering the destruction or delivery up of a void instrument; and many courts refuse such relief in the case of an instrument void on its face on the ground that its admitted invalidity is without further relief a sufficient protection against unfounded claims based upon it. Such a decision would in effect be a declaratory judgment. So also, a decision declaring the unconstitutionally of a statute. " For the protection of privileges and immunities with respect to property. The privileges would, of course, disclose the additional presence of rights in case of an active attempt to interfere with the exercise of the privileges. M Degenkolb, op. cit. 203, 204. THE DECLARATORY JUDGMENT. 13 thereafter barred from asserting it. 39 Against the assertion of an unfounded money demand, the provocatio diffamari was aided by the liberationis condictio and the imploratio judicis for the declaration of plaintiff's freedom from duty or liability. 40 It may again be noted that these remedies are independent of any tortious conduct on the part of the person against whom they are directed. Just as the provocatio ex lege diffamari was extended to substan- tive claims of all kinds, so the provocatio ex lege si contendat, was extended beyond the surety's action to protect himself from liability to other actions in which the plaintiff alleged that a defense now available to him might be lost by the defendant's delay in institut- ing against him an action to which he had a valid defense. Both proceedings, which tended to become interchangeable, looked to the assertion of the plaintiff's privilege as against unfounded claims of the defendant. (B) MODERN LAW. After the "reception" of the Roman law in central Europe both forms of declaratory action, the positive and the negative, were recog- nized, and down to the end of the nineteenth century the codes of civil procedure of numerous states provided for the praejudiciales actions and for the provocatios. In western Europe they do not appear to have acquired great vogue, although the canon law gave vitality to the provocatio ex lege diffamari (the negative form of declaration) in reference to questions of status and particularly to one of its important forms, the jactitation proceeding, as applied especially to marriage. France. That the early French law was familiar with declaratory actions is shown by Merlin, who in his Repertoire universel * * * de jurisprudence defines a ''declaration" as "Faction de declarer, de faire connaitre," and mention is made of the declaration of a mort- gage and of legitimacy. Jactitation proceedings were given wide application to various branches of the law in France up to the enact- ment of the code of civil procedure in 1807, when this form of pro- ceeding failed of mention. Nevertheless, for some years thereafter and down to comparatively modern times, the French law reports occasionally disclose a case in which the plaintiff asks the court to declare that the plaintiff has a right or power or that the defendant who has threatened him with an action or adverse claim has no right against him. 41 Merlin states that the civil code has not abrogated the diffamari 'law. 42 The modern commentators, however, 43 and several recent decisions 44 take the position that the diffamari pro- cedure or action de jactance ou provocatoire is no longer admitted in French law, possibly because of a general aversion of the French law to a determination of interests in future. They give wide appli- cation to the action for the perpetuation of testimony, which serves to prepare for a future action for coercive relief; and slander in all The general provocatio was a proceeding in the nature of a suit to quiet title directing all persons adverse- to come forward with their claims or be barred. Degenkolb, op. cit. 207. There is, of course, a close relation between this development of the provocatio difiamari and the slander of title, against which the old Roman law had provided a remedy. But this required more than the threat of an action. < 15y way of the querela nullitatis. See under the heading "Action en justice" in 1 Fuzier-Herman, Repertoire General Alphabetique du Droit Francais, 304-305, the cases mentioned in sees. 103, 106, 107, 111, 113. <* Repertoire, s. V' Diflamari. See 1 Glasson, Precis de procedure civil (2d ed.), 227, 228. Cosnac v. Choppin d'Arnouville (18X8), Dalloz, Jurisp. Gen., 417 and note thereto; Longuety v. Soci6tfr des ciments (1898), Dalloz, Jurisp. Gn and Roman-Dutch Law of Injuries (Cape Town, 1899), 143: 4 Nathan, Common Law of South Africa (Grahains- town, 1907), Chap. XVIII. On the Scotch action of nutting to silence, see Fraser, op. cit., 1244. 8) 1 Bell, Commentaries on the Law of Scotland (7th ed. by McLaren), 785. *> Declaration of the landlord's ''right" of reentry for failure to pay rent or other dues. It is a technical actian described in 1 Bell, op. cit., 22. 86 Tlu's is the action by which a creditor who holds security in the form of an interest in land may ask the court to declare that, 10 years having expired since the due date of the debt, he is entitled to an irredeemable title to the property, the debtor having allowed the 10 years to expire during which he had a legal power of redemption. Trie creditor calls on the debtor to exercise his power of redemption, otherwise to have it judicially declared as foreclosed. This is one of the cases in which the declarator is essential not merely optional to the acquisition of an irredeemable title by the creditor. See Ormiston v. Hill (1809, Scot.) Fac. Coll., 155, and 1 Bell, op. cit. 743. 87 Mackay, Manual, op. cit. 79, 378. The declaration of the forfeiture of a lease is known as a declaration of " irritancy." See ease of Wylie v. Heritable Securities Invest. Assn. (1871), 10 M., 253. 89 2 Bell, op. eit. 380, note 3.' 89 2 Bell, op. cit. 502, and cases there cited. 90 That is, proving the tenor of lost or destrayed instruments by which a jural relation is required to be established. See Lord Lovat v. Fraser (1845), 8 D., 310; Erskine, op. cit. 542-544. n Bell, Dictionarv and Digest of the Law of Scotland (7th ed. by Watson), 291; Erskine, op. cit. 542. 81 Mackay, op. cit. 78, 79, 374-379. 20 THE DECLARATORY JUDGMENT. "wherever a right upon which an action is to be founded is not clear as to its existence or extent, a declarator is proper, and sometimes necessary, before an action can proceed to enforce the right." B3 The "declaratory adjudication" is a method of vesting a legal title in the person who has the beneficial interest. 94 Strictly speaking, while a declaration of title is of course made, the judgment here, as in some of the cases mentioned above, is more than declaratory. It constitutes the certification or vesting of a new jural relation, and is, therefore, investitive in its nature, whereas the declar- atory judgment proper merely declares a jural relation which is already in existence, the determination having retrospective force to the period when the right or other juralr elation commenced. There is, for example, a sharp distinction between the declaration of the nullity of a "marriage" which never really was a marriage at all, as was contemplated by the negative jactitation proceeding in England, and the declaration of the nullity of a marriage voidable at the option of one of the parties. The former judgment is declaratory, the latter investitive. Closer analysis of the numerous actions which in Scot- land are called declaratory reveals that many of them fall within the class of what we would call investitive, and the conclusion can not be avoided that it is only in the unlimited scope given to the negative declaratory action, in the willingness to declare facts and "future interests," 95 and in such special proceedings as the declaration of bastardy that Scotch law affords greater opportunity than the English law of the present day for the declaratory action. As in other systems of law, the exercise of the power to render a declaratory judgment is discretionary with the court; the plaintiff must show a substantial interest in the declaration; the jural rela- tion he asserts must be disputed; 98 the declaration of rights, etc., to be enjoyed in the future must serve some useful purpose in settling disputed or doubtful legal relations, so that it will not be made if it can not constitute res judicata. 97 Yet recent decisions show a greater disposition to declare contingent rights by anticipation, provided there is some one to oppose the declaration. 98 While the Scotch courts like other courts affirm that they will not declare abstract propositions nor the meaning of statutes 99 unless directly affecting private jural relations, 100 they are more readily disposed to declare mere facts, when serving some useful purpose, than are the courts of Germany or England. 101 England. England owes the advantages it enjoys under the declaratory action to the agitation of Lord Brougham, begun in 1828. In a notable speech delivered on February 7 of that year in the House of Commons on the state of the courts of common law, 102 he pointed out the great benefits enjoyed by Scotland in enabling persons who apprehend future litigation to proceed by way of a 93 Bell, Principles, see. 1995; Mackay, Manual, 378. 9 Dalziell v. Dalziell (1756), 16 M., 204; 1 Bell, Commentaries, 751. Infra. 98 See Magistrates of Edinburgh . Warrender (1863), 1 M., 887, by Lord Neaves. 97 Thus, where a declaration was asked of the power of a plaintiff under a trust deed to give certain sums by will provided he had no issue, the declaration was declined because it would not bind unborn children. Harvey v. Harvey's Trustees (1860), 22 D., 1310, 1326. *> Chaplin's Trustees v. Hoile (1890), 28 Sc. L. Rep., 51; Falconer Stewart v. Wilkies (1892) 29 Sc. L^ Rep. 534. 99 Todd . Higginbotham (1854) 16 D. 794. 100 Leith Police Commissioners v. Campbell (1866). 5 M., 247. if" Infra. M 18 Hansard (2d ser., 1828), col. 127, col. 179. THE DECLARATORY JUDGMENT. 21 declaratory action to have their rights determined, and he mentioned its particular application to doubtful or disputed interests in prop- erty. He introduced bills for the adoption of the practice in 1843, 1844, 1846, 1854 and again in 1857, the last of which resulted in the legitimacy declaration act, 1858. 103 He obtained a very considerable following, particularly among the judges, and on numerous occa- sions in the House of Lords successive chancellors, including Lord Thurlow, Lord Loughborough, Lord Eldon and others among their successors, called attention to the merits of the Scotch action of declarator., Speaking with reference to the negative declaratory action where the plaintiff has no affirmative cause of action, a pro- ceeding not possible in England until 1883, Lord Brougham in 1846 in delivering his opinion in the House of Lords in the case of Earl of Mansfield v. Stewart 104 said : I can not close my observations in this case without once more expressing my great envy, as an English lawyer, of the Scotch jurisprudence, and of these who enjoy, under it, the security and the various facilities and conveniences which they have from that most beneficial and most admirably contrived form of proceeding called a declaratory action. Here, you must wait till a party chooses to bring you into court; here, you must wait till possibly your evidence is gone; here, you have no means whatever, in ninety-nine cases out of a hundred, of obtaining the great benefit of this proceeding. 105 Lord Brougham lived to see his proposed reform partially adopted in an amendment to the chancery procedure act of 1852, to which we shall recur presently, and in the legitimacy declaration act, 1858. By that act it was provided that any natural-born British subject, or any person whose right to be deemed a natural-born subject depends wholly or in part on the validity of a marriage, being domiciled in England, may apply by petition to the court for matrimonial causes praying for a decree declaring that his marriage was or is a valid marriage; and the court is to have jurisdiction to hear and decide the application, and to make its decree declaratory of the validity or invalidity of the marriage. 106 Mention has already been made of the act of 1850 107 which enabled persons interested in questions cognizable in the court of chancery to state special cases for the opinion of the court as to "the construc- tion of any act of parliament, will, deed, or other instrument in writ- ing, or any article, clause, matter or thing therein contained, or as to the title or evidence of title to any real or personal estate contracted to be sold or otherwise dealt with"; and enabled the court to determine the questions raised therein or any of them, and by decree to declare its opinion thereon, and so far as the case shall admit of the same, upon the right involved therein, without proceeding to administer any relief consequent upon such declaration; and that every such declaration of the said Court contained in any such decree shall have the same force and effect as such declaration would have had if contained in a decree made in a suit between the same parties instituted by bill; Provided, * * * that if the court shall be of opinion that the questions raised * * * cannot properly be decided upon such case, the said court may refuse to decide the same. As an incident to regular actions, the court of chancery had occa- sionally made declarations, notably in the construction of wills and W3 21 and 22 Viet., ch. 93. W 5 Bell, 139, 160. w The object of this suit was to obtain a declaration that the vendor could convey a good title to Lord Mansfield, the vendee, who threatened to withhold payment on the ground that the title was in doubt. w A person not domiciled in England cannot, therefore, obtain a declaration of the validity of his mar- riage, although it was celebrated in "England. Countess De Gasquet James v. Duke of Mecklenburg- Schwerin (19141, p. 53, 70. 107 Sii'Vrd, p. 7. An act to diminish the delay and expense of proceedings in the high court of chancery in England. 13 and 14 Viet., ch. 35, sees. 1, 14. 22 THE DECLARATORY JUDGMENT. trust settlements. This power was apparently vastly enlarged by the chancery procedure act, 1852, section 50, which provided that No suit . . . shall ba open to obJ3ction on the ground that a merely declaratory dscrae or ordar is sought thereby, and it shall be lawful for the Court to make binding declarations of right without granting consequential relief. Judicial construction, however, greatly narrowed these important grants of power. Vice Chancellor Wood in 1853 confined the author- ity given by these acts practically to cases "where it should appear to be necessary for the administration of an estate or as incidental to coercive relief"; 108 and Chancellor Turner in 1856 stated that section 50 did not extend the cas?s in which declarations of right may be made, but merely enables the court to djclara rights without following up the declaration by the directions which, under the old practice, have been necessarily consequent upon them. 109 And the section was further restricted by the traditional aversion of the courts to making findings as to the enjoyment of rights in the future or as to those which depend upon a contingency. 110 The power was further narrowed by the construction that the courts could make a declaration only as an incident to coercive relief or where there was a "right" to consequential relief for which the plaintiff had merely chosen not to ask. Where there was no "right" to consequential relief, no declaration would be made* 111 As this proceeding arose before the Judicature Acts, it is possible to comprehend that it may have appeared to a court of equity as some- thing of an anomaly to make a declaration as to a legal right when not preliminary or incidental to any equitable relief; and that it may have appeared inexpedient to determine a question concerning a jural relation which had not actually arisen and might never arise. This view of the court's power inevitably made it impossible to institute a proceeding for a negative declaration by which a plaintiff who fears that the defendant will bring an action against him can ask quia timet by way of anticipatory defense, so to speak, for a declaration that the defendant has no just claim against him. 112 But with the reforms instituted by the Judicature Act of 1873 the ground was laid for the adoption of new rules of court. Order XXV, rule 5, of the Supreme Court Rules of 1883 113 now paves the way for a wide application of the declaratory judgment. It provides: No action or proceeding shall be open to objection, on the ground that a merely declaratory judgment is sought thereby, and the Court may make binding declara- tions of right whether any consequential relief is or could be claimed, or not. Although this language would seem to make it clear that the plain- tiff need no longer have a cause of action entitling him to affirmative relief the only purpose which appears to have been intended by the insertion of the words "or not," it was nevertheless only in 1915 114 that the court of appeal fully admitted that a plaintiff may ask the court not only affirmatively to declare his right or power, but also negatively to declare the no-right or disability of his opponent " Garlick v. Lawson (1853), 10 Hare, App. XIV. >< Lady Lan<*dale v. Bri 2 See the case of Slingerland v. Slingerland (1910), 109 Minn., 407. 410, 411; 124 N. W., 19, where a woman sued for a declaration that a contract with her husband for the release of her dower was void because ob- tained by fraud. The action was held not premature. 133 Commercial Mutual Life Insurance Co. v. McLoon (1867, Mass.), 14 Allen, 351; Globe Mutual Life Insurance Co. v. Reals (1879), 79 N. Y., 202; see also the English cases of Brooking v. Maudslay, Son & Field (1888), 38 Ch. D., 636, and Honour v. Equitable Life Ass. Soc. [1900], 1 Ch., 852, in which the declara- tions were refused. 26 THE DECLARATORY JUDGMENT. tional cases will they relieve the petitioner by anticipation from the usual duty of setting up his legal defenses when sued. 134 By a Wisconsin statute when the validity of any marriage shall be denied or doubted by either of the parties, the other party may commence an action to affirm the marriage, and the judgment in such action shall declare such marriage valid or annul the same and be conclusive upon all persons concerned. 135 So far as this judgment declares the validity of a marriage, it is purely declaratory, and its purpose the exact opposite of the old English "jactitation" proceeding. So far as it declares the marriage null, pro- vided it was merely voidable and not void ab.initio, it is not purely declaratory but rather investitive, or, more accurately, divestitive in its nature. Other illustrations are to be found in statutes authorizing judg- ments proving the tenor of lost instruments or proving the validity, when contested, of instruments to be recorded. 138 Judgments declar- ing statutes unconstitutional are declaratory, though they are usually accompanied by some specific relief, and the classic example of the trustee's request for advice and directions under a trust instrument is illustrative of this form of action. The examples given above will suffice to show that the formal adoption of the declaratory judgment in our practice, far from constituting a radical innovation in our legal institutions, would merely serve to extend the application of remedies already employed. II. It is now our purpose to undertake an analysis of numerous declar- atory actions and judgments, with a view to determine the scope of and the limitations upon this useful form of procedure. An exami- nation of declaratory judgments in the various jurisdictions in which the institution has been adopted reveals a remarkable similarity of fundamental principles characterizing the practice of making judicial declarations. As our interest is confined to the practice, emphasis will be laid not upon the decision itself as a matter of substantive law, but rather upon the type of question submitted for declaratory judgment, the cases in which such judgments are rendered, and the limitations placed by the courts upon the exercise of the power to make declarations 01 rights and of other jural. relations. COMBINATION OF ACTIONS. It has already been noted that under the practice in England it is usual to combine with the request for a declaration a request for an injunction or for damages where coercive relief is obtainable and desired. Under the act of 1852, this was the only kind of case in which a declaration could be made, although the plaintiff was not required to ask for coercive relief. Under the rules of 1883, however, the limitation that coercive relief must be obtainable has been re- 13 < These actions are in \eflect requests for negative declarations. An instance of a prospective legal defendant instituting a proceeding to compel the prospective plaintiff to sue is afforded by the unusual statute of New Mexico of March 11, 1903. ch. 23, sec. 2, which enables a corporation, anticipating a suit against it by a person who has sustained a personal injury, to compel that person to file his complaint. So, in prize law, the owner of a captured vessel or goods can compel the captor to institute prize proceed- ings. The Zamora (H. L.) [1916], 2 A. C.. 77. 155 Wisconsin Statutes, sec. 3Z52. See Kitzman v. Kitzman et al. (1918, Minn.), 166 N. W., 792. E. g., California Statutes 1905, p. 604; Civil Code, sec. 1203. THE DECLARATORY JUDGMENT. 27 moved, so that declaratory actions may now be instituted in which no injunction or damages could be obtained. Yet there is a decided advantage in combining the request for coercive relief, when desired, with a request for a declaration. It may easily happen, for example, that the injunction requested is not granted on the merits; and in our American practice the bill would then be dismissed with costs, for the denial 01 the injunction leaves no alternative. In the English and Scotch practice, however, the additional request for a declaration does leave an alternative, and it is constantly employed by the courts. By declaring what are the jural relations of the parties, the necessity for further litigation is usually obviated and all the purposes of coercive relief will have been served. For example, the P. & O. Steamship Co. brought an action for a declaration and injunction against a dock company to have declared illegal and to enjoin the enforcement of certain regulations and charges in respect to certain docks which the steamship company might at some time need. The steamship company during the trial evidently decided to abandon the prayer for the injunction, but the proceedings continued and the court made a declaration, as requested, that the regulations were illegal; and this declaration served all the purposes of the steamship company. 137 So the court may, in the exercise of its equitable discretion, refuse an injunction where it be- lieves the interests of justice do not require it, and grant a requested declaration in its stead. Thus, in a case where the sewer of a munic- ipal corporation emptied into that of another under an agreement held ultra vires, the court considered the great inconvenience of suddenly .closing a sewer in daily use and refused the injunction, but declared the plaintiff's right to relief with leave to apply for an in- junction after a reasonable time, should the defendants fail to make other arrangements. 138 In another case, while declaring a certain act a trespass, the court refused to enjoin it as too trival for an injunc- tion. 139 The request for a declaration may also be used, alone or with a prayer for further relief, in a counterclaim. The practice mentioned above of requesting a declaration as an alternative remedy is explained by the fact that if not claimed, it will not as a rule be granted. There is, therefore, much to gain and nothing to lose by asking it. In one important case, an exception to the general rule, a declaration was made although not requested. 140 In this case a mining company had by its negligence caused the water in a canal to become polluted and to subside to such an extent that an adjoining mill owner was damaged by the escape of water into his mill. Inasmuch as certain remedial procedure had been provided for by statute, the court refused an injunction but put its finding in the form of a declaration of the defendant's liability for the damage caused, both present and future. Nor will a court, as a rule, make a declaration different from the one requested. The declaratory judgment is not an equitable remedy 141 which the courts can adjust or grant conditionally according to the " equities" to the justice of 137 London Assn. of Shipowners, etc. v. London & India Docks, etc. (C. A.) [1892], 3 Ch., 242. See also Attv. Gen. v. Merthyr Tydfll Union (C. A.) [1900], 1 Ch., fc!6. M Islington Vestry P. Hornsey U. C. (C. A.) [1900], 1 Ch., 695. See also Grainger v. Order of Canadian Home Circles (1914), 31 Ont. T,. Rep., 461. '^ Llandudno U. D. C. P. Woods [1899], 2 Ch., 705. no Evans v. Man ' i See Farwell, U. D. C. P. Woods [1899], 2 Ch., 705. anchester, Sheffield (1W) 71 R. O., 72. So defenses may be changed: (1909) 72 R. G., 143. lft3 (1909) 71 R. G., 68. It is sufficient, if present at the true of judgment, even if not present when the action was initiated. Warneyer, Rechtsprechung des Reirhspenchts (1909) p. 295, No. 325. But see Hoffman v. McCloy (1917), 38 Out. L. Rep., 440, 450, to the effect that it must te present when the action is instituted. i* See Hopkinson v. Mortimer, Harley & Co. (Ltd.) [1917], 1 Ch., 646. But the right, privilege, etc., must he in some danger of attack. Toronto Ry. Co. v. City of Toronto (1906), 13 Ont. L. Rep., 532 . 30 THE DECLARATORY JUDGMENT. which either of themselves or in the hands of the defendant endanger the security of the plaintiff's rights, etc., suffices. It is for the court to determine whether the dispute, danger, or uncertainty was of such a nature, either by reason of its source or its extent, as to justify the making of the declaration asked. Some danger to the plaintiff's rights, etc., must exist, and as may be inferred, the danger or threat of attack must move either from the defendant or from records within his control or by which he is ostensibly benefited. Mention has been made of Justice Bailhache's remark that the declaratory judgment is not intended merely to enable persons to "sleep o'nights, and it has been said on more than one occasion that the courts will not confirm by declaration a title which is perfectly clear and not yet attacked. 155 In other words, it is not the function of the declaratory judgment to establish truisms that no one disputes. As a measure of preventive justice, the declaratory judgment probably has its greatest efficacy. It is designed to enable parties to ascertain and establish their legal relations, so as to conduct them- selves accordingly, and thus to avoid the necessity of future litigation. It is further designed to enable trustees, executors, receivers, and others who act hi a fiduciary capacity and whose proper execution of such trusts is a matter of public as well as private interest, to obtain authoritative advice and guidance in the performance of their duties. 156 Recently in England, the controller of enemy property under the trading with the enemy acts, 1914-1916, has been authorized to ask the court for advice as to how he is to deal with creditors of the con- cerns under his control, how to distribute the assets in liquidation, and what his duties are in particular cases. 157 Somewhat related to this function of courts is the duty occasionally created by statute of answering stated questions for the benefit of administrative officers. 158 The opinions given by the Court of Claims for the benefit of executive officers and of the supreme courts in some seven of our States for the benefit of the legislature or governor on "important questions of law" or of "constitutional law" 159 bear some resemblance to declara- IM Earl of Galloway v. Garlies (1838), 16 S., 1212; Magistrates of Edinburgh v. Warrender (18C3), 1 M., 887; Earl of Dysart v. Hammerton [1914], 1 Ch. 822; (II. L.) [1916] 1 A. C., 57. 118 For trustees in England. seeTrustee Act, 1893, sees. 25, 35, 38. and Order LV, rule 3, of the Supreme Court Rules; In re Moxon [19101. 2 Ch., 595; Re Hollins (1917, Ch.), 118 L. T., 1C; In re Forster (1917, N. S. W.), 17 St. Rep., 42. Executors, in re Saillard [1917] 2 Ch. 140; Receivers, in re. New Chinese Antimony Co. (Ltd.) [1910] 2 Ch. 115; Williams v. Dominion Trust Co. (1916) 23 Br. Col. 461. Whenever persons are officers of the court, like receivers, they may in all jurisdictions ask for directions. The direction given is not merely advisory, but a binding judgment. In re W. Ilagclberg Akt. G. [191C] 2 Ch. 503; in re Fr. Meyers Sohn (Ltd.) (C. A.) [1918] 1 Ch. 169; in re Dieckmann [1918] 1 Ch. 331; Re Francke and Rasch (1918, Ch.) 118 L. T. 211. 1; * Thus, the registrar of titles in New South Wales can ask the Supreme Court for an opinion under sec. 23 of the Real Property Act of!900. No. 25, as to which of two persons is entitled to priority of registration. See in re Broughton (1917, N. S. W.) 17 St. Rep. 29; The Minister of Lands v. Yates (1917, N. S. W.) ibid. 114. See also, section 113 of the Alberta Land Titles Act. In Scotland, municipal authorities have asked a declaration of their jurisdiction under a Crown charter. Magistrates of Edinburgh v. Officers of State (1825) 4 S. 319. Judge Cardozo of the New York Court of Appeals in Sell-Insurer's Association and N. Y. Central R. R. Co. v. State Industrial Commission, decided May 28. 1918 (119 N. E. 1027), considered this a nonjudicial duty which the legislature has no power to impose on the courts. He held that the legislature by providing that the State industrial commission might certify to the Appellate Division "questions of law 'involved in its decisions," intended only such questions as we're involved in an actual controversy with adverse parties litigant, not questions which the commission might formulate with a view of being enlightened with respect to its powers. This limits the declaration to the determination of questions of law certified to appellate courts by inferior tribunals, a very common practice. In the recent case of Dreiser t>. John Lane Co. (1918, N. Y. A pp. Div.), 171 N. Y., Sup.', 605, the appellate division reaffirmed the court's incompetence to render advisory opinions to private pirties, rwrticularlv on a question of fact. Such a provision is to be found in the constitutions^ Massachusetts, New Hampshire, Maine, Rhode Island, Florida, Colorado, and South Dakota: also in statutes of Canada.and its Provinces. See an exhaus- tive study on advisory opinions by Albert R. Kllin^wood of Colorado College, published recently (New York, 1918), undsr the title Departmsntal Cooperation in State Government; and Thayer, Legal Essays (Boston, 19881, 42 et seq., Hall, Cases on Constitutional Law (St. Paul, 1913), 44-45, and authorities cited in Judge Cardozo's opinion, supra note 158. THE DECLARATORY JUDGMENT. 31 tory judgments, but embody the important qualification that they are merely advisory in their nature and are in no sense binding judgments. The purpose for which a declaration is desired is one of the con- siderations entering into the exercise of the court's discretion in ren- dering a declaratory judgment. The equitable nature of the relief 160 , is evident in the fact that the court may inquire into the purpose for which the declaration is asked, and must be convinced that its judg- ment will serve a practical end in quieting or stabilizing uncertain or disputed jural relations either as to present obligations or prospec- tively. 161 Thus, if the purpose of the action is merely to get a court's opinion on a hypothetical question which is not disputed or which requires no determination in order to settle uncertain relations or con- flicting claims, no declaration will be made. 102 The German Supreme Court has expressed this idea by saying that the courts were not intended for the legal instruction of parties on abstract or doubtful questions of law or on general legal principles in which the parties had no present practical interest for the adjustment of their relations. 163 But this limitation has been carried quite far, so that declarations have been denied even when the parties had a certain interest in questions concerning the validity of an ordinance, the ^xistence of a custom, the scope and intent of an administrative rule concerning particular kinds of business, the principles according to which an account should be balanced, etc. 164 In other words, the declaration in Germany is con- fined to a very concrete point, and should it require the determimation of a broad question, e. g., the validity of an ordinance, the declaration may be declined on the ground that the party had not a sufficient "legal interest." Indeed, it is somewhat difficult to systematize the cases in which a declaratory judgment may be obtained in Germany, because of the fact that in many cases in which declarations are denied in the exercise of the court's discretion, the ground alleged is that the party had no "legal interest" in the declaration, although his practical interest is obvious. One well-recognized purpose of the declaratory action in Germany is to stop the running of the statute of limitations, and indeed in cer- tain cases where the action for damages could not be brought because of lack of information to establish the damage, the preliminary decla- ratory action to establish the liability 'has been held essential to inter- rupt the running of the statute. 165 In England, declaratory judgments have been rendered for the information of a foreign court on a question of English law or where 1W Although Farwell, L. J., in Chapman v. Michaelson (C. A.) [1909], 1 Ch., 238, 243, denied that it was strictly "equitable relief." 161 So the Ontario Supreme Court refused to declare a licensing ordinance invalid, because before the time came for the issue of another set of licenses, a new ordinance might have been passed. Bourgon v. Township of Cumberland (1910), 22 Ont. L. Rep., 256. So no declaration was made on a question of the construction of a deed where, whichever way it was decided, it would necessarily not help to put an end to the litigation. Lewis v. Green [1905], 2Ch.,340. The declaration was refused in Earl of Dysartw. Hammer- ton (1914), 30 T. L. R., 379, because its effect would have been nugatorv. A party is "not entitled to an opinion on a speculative or academic question." Societe" Maritime v. Venus Steam Shipping Co. (Ltd.) (1904), 9 Com. Gas., 289. 162 Hampton v. Holman (1877), 5 Ch. D., 183; Magistrates of Edinburgh v. Warrender (1863, Scot.), 1 M. 887. Declaration not made where it would have no practical utility, as the jurisdiction in such cases was vested in another court. Barraclough v. Brown [1897], A. 0. 615, 623. See also Faber v. Gosworth U. C. (1903, Ch.), 88 L. T., 549, where declaration was declined, inasmuch as nothing had been done under cer- tain building plans and it was impossible to tell what the consequences of the declaration asked might be. >< (1900) Juristisehe Wochcnschrift, 70 (~R. G., Dec. 15, 1899). 1S < (1910) 73 R. G., 82, 87; Hellwig, op. cit., 281. "* (1913) 83 R. G., 358, and the cases cited in that opinion. The court stated that this is frequently necessary in tort cases where the damages can not be established for some years. See also (1905) 61 R. G., 164, 169. 32 THE DECLARATORY JUDGMENT. the party with the approval of the court intends to use the judgment in another proceeding. 166 Inasmucn as the declaratory judgment is designed to settle legal relations that are disputed or endangered by the defendant's manifest ability to threaten them, the declaration will not be made by con- sent. 167 This is expressly provided for in the Ontario marriage act, by which the court may under certain circumstances declare mar- riages void. The French have a well-established procedure of con- sent judgments based on simulated litigation, called judgments d'expedient, which are designed to give judicial authentication to an agreement of the parties. 168 It is proper here to advert to the fact that while the declaration of one certain jural relation may be sought, its purpose may be more far-reaching. Thus, a negative declaration to establish that certain persons were not members of a certain club was really intended to establish their freedom from the duty of paying the debts of the club, which had become insolvent (i. e., a declaration of privilege). 169 So a declaration of the defendant's no right to walk over land in the plain- tiff's possession, i. e., no easement, may be designed to establish the totality of jural relations involved in ownership, just as the old action of ejectment was really an action to try title, not merely possession. DECLARATION DISCRETIONARY. It has already been noted that the making of a judicial declaration in a declaratory action is discretionary with the court. Of that there is little doubt. Chitty, J., in Austen v. Collins 17 expressed the follow- ing much-quoted dictum: The rule leaves it to the discretion of the court to pronounce a declaratory judgment when necessary, and it is a power which must be exercised with great care and jealousy. That formula has traveled to the ends of the world, to Australia, to India, to Ontario, to British Columbia, and to the State of Connect- icut; 171 and like most formulas, which are frequently used to avoid the necessity of thought and analysis, it has enabled courts to refuse a declaratory judgment when they could not justify their action on some better ground. While admitting the principle of discretion, it is our purpose to determine to what extent the exercise of that discretion has been hardened into rule. It has already been noted that a declaratory judgment will not be rendered unless the courts believe that it will serve some present practical purpose. It is a universal rule that a court will not render a declaratory judgment where it has no jurisdiction of the case, either by reason of subject-matter, 172 or because jurisdiction has been expressly con- ' M Hope v. Hope (1854), 4 be G. M. & G., 328; The Manar (1903), 89 L. T., 218: Guaranty Trust Co. t>. Hannay (C. A.) [1915], 2 K. B., 535. The German courts also reco?nize this purpose as a justification: Hell>vi (1882) 8 R. G., 3. l: (1886) 54 L. T., 903. i" See Ackerman v. Union & New Haven Trust Co. (1917), 91 Conn., 500, 507. ln Declaration sought in England that plaintiffs were lawfully in occupation of land in South Africa, as incidental to suit for injuncli >n and damages. Held, that the court was without jurisdiction: British South Africa Co. v. Companhia de Mocambiiue (H. L.) [1893], A. C., 602. Suit brought after expiration 3f statute of limitations: Bishambhar v. Nadiar (1914), 18 Calcutta L. J., 671. THE DECLARATORY JUDGMENT. 33 fided by statute to some special tribunal; 173 or the court may refuse to exercise jurisdiction because the law has provided another remedy. 174 Frequently the court has reached the conclusion that, while it might have exercised its power to make a declaration, it would be more expedient to try the action in some other form. This applies particularly to those cases in which the court is asked to declare the invalidity of a tax law or of an assessment under such law, in which cases the courts have held that the claimant could adequately try the question in a defense against enforcement pro- ceedings. 175 A similar conclusion is often reached in the case of negative declaratory actions in which the plaintiff wishes to antici- pate his legal defense by moving as actor to have the court declare the invalidity of a written instrument, e. g., an insurance policy, on some alleged ground of defense which renders it void. Here the courts have frequently said: "Wait until you are sued and then raise your defense." 176 But where the declaration or a regular action is optional, the courts now usually give the plaintiff his choice. The attitude has changed from one 01 extreme conservatism in the issue of a declaration to one of enlightened recognition of its value, and, if the cases of the last few years are any criterion, obstacles to its issue are now, where feasible, avoided ratner than sought. DECLARATIONS OF FACT. The general principle which appears to have been adopted is that the courts will not make declarations of a fact, but only of a jural relation. Exceptions to this rule have been infrequent; yet it is difficult to conceive why the rule should impair very seriously the institution of declaratory actions, inasmuch as it would seem feasible to convert the request for the declaration of an operative fact into a request for the declaration of a jural relation. Thus in Germany, where the courts are exceedingly technical in this matter, a plaintiff who wished to establish that he was not the father of a certain child sought a declaration that he had not physically cohabited with its mother during the period of gestation. The declaration was denied, on the ground that he sought the declaration of a fact and not of a legal relation. 177 Had he sought to establish that he was not the child's father, the action would probably have been allowed, although it would have turned on the establishment of the fact alleged. So Barraclough t>. Brown [18971, A. C.. 615. 623; Grand Junction Waterworks Co. v. Hamrton U. D. C. 1898], 2 Ch., 331; Bull v. Atty. Gen. of N. S. Wales [1916], A. C., 564. Exemption from military service. Flint v. Atty. Gen. [1918], 1 Ch., 216; Scotland: Balfour t;. Malcolm (1842), 1 Bell. 153; Leith Police ( omn;is- sioners v. Campbell (1866), 5 M.. 247; N. Y. & Ottawa Ry. Co. v. Township of Cornwall (1913), 29 Ont. L. Rep., 522 (statute gave to Board of Assessment jurisdiction over petition for exemption of certain pro) erty from taxation); Mutrie v. Alexander (1911), 23 Ont. L. Rep., 396, 401. But see Evans v. Manchester, etc., R. R, (1887), 36 Ch. D., 62o. Co. . N. /,.)', 19 S 1 . C.,112. See also (Oct. 18, 1880/R. G.) in Bahr, op. cit., 143. In Australia, the court has declined to render a declaratory decree in a case where it would have been unable to make it ellective by further coercive relief: Bruce v. commonwealth Trademark Label Assn. (1907), 4 C. L. R., 156. But see Lautour v. Atty. Gen. (1865. C. A.), 5 N. R., 102, 231. ' Toronto Ry. Co. v. City of Toronto (1906), 13 Ont. L. Rep., 532; Ottawa Y. M. C. A. v. Ottawa (1913, remedy in a regular actio "i Brooking v. Maudslay, Hon"& i-ield (18S8) 38 Ch. D. 636, Honour v. Equitable Life Ass. Soc. [1900], 1 Ch., 852, 854, and supra, note 133 for American cases. "'(Oct. 18, 1880, R. G.), Bahr, Entscheidungen, 143. 10790819 3 34 THE DECLAEATCHY JUDGMENT. other declaratory actions of this kind have been dismissed in Germany where they were directed to establish a man's religion, capacity to earn a living/ 78 the condition or quality of an article, 179 a trade custom, 180 or the actual boundaries of a sales district. 181 In all these cases the German Supreme Court put its denial of a declaration on the ground that the code only authorized the declaration of legal relations, not of facts, with the one exception of the establishment of the genuine or fraudulent character of a legal instrument. The English courts adopt the same view. In the above cases it would have been possible to have these facts determined, provided they were operative facts producing a particular jural relation, by placing in issue the jural relation instead of the operative fact alone. This is done constantly in the English courts in the making of declaratory judgments, and the declarations requested frequently embody a syllogistic form leading up from operative facts to legal conclusions. So while the English courts often determine facts as incidental to legal results, they will not undertake to determine facts apart from their legal consequences. Thus, in the construction of a will and the validity of a power of appointment thereunder, it became necessary to determine the domicile of the testatrix, and whether her will was executed in accordance with the lex domicilii and pur- ported to execute the power. 182 So Eve, J., in Chapman v. Michael- son, 183 in establishing the invalidity of a certain mortgage, had to determine that the mortgagee entered into the mortgage as a money lender and that he was not in fact registered. The Scotch courts appear to be more liberal in the declaration of facts, although they also have said on occasion that an action to have a fact declared without any consequential "right" or "relief" 184 was incompetent. Yet they have held an action competent where the plaintiff sought merely a declaration that his lands were outside the boundaries of a district in which he had been taxed upon them 185 or that a plaintiff was at a certain date of sound mind. 186 A case recently decided by the appellate division in New York 187 indicates the need of legislation empowering the courts to declare facts, and when necessary, with the aid of a jury. The plaintiff's book, The Genius, was withdrawn from sale by his publisher, the defendant, because the defendant had been threatened with prosecu- tion by the Society for the Suppression of Vice on the ground that the book was obscene. Its circulation, if obscene, was a punishable offense. If not obscene, as the plaintiff insisted, the defendant's withdrawal of the book was a violation of his publisher's contract with the plaintiff. The parties agreed to submit the question of "8(1895) Juristische Wochenschrift, 60, No. 3. "'Ibid. (1889)364, No. 1. ii(1887) 18 R. G., 1(>G, 172. See also Peterscn, op. cit. 498. wi(1902) 50 R. G., 399. See also (1914) 85 R. G., 440, 442 (whether defendant had converted a certain typewriter). iw In re Wilkinson's Estate [1917], 1 Ch., 620; see also In re Price [1900], 1 Ch. ; 442, 447. w* [1908] 2 Ch. C19. As to whether a certain road constituted a way ol necessity so as to pass by implied grant, Nicholls v. Nicholls (1899, Ch.) 81 L. T. 81. In India, a declaration was made that certain fixtures were erected before a certain date. Azeeza v. Calcutta (1916), 24 Calcutta L. J., 562. w Giflord v. Trail (1829) 7 S. 854 (that certain petitioners have a vote as-freeholders, which they derided under the circumstances was not a legal question); Lyle v. Bow (1830) 9 S. 22 (declarator, to remedy a defect in the record of another case, that a certain person was merely a trustee). iw Hope v. Edinburgh Corporation (1897) 5 S. L. T. 195. '^Mackintosh v. Smith & Lowe (1861) 2 M. 389, though they refused later to allow this declaration, made ex parte, to constitute the foundation of an action for damages for false imprisonment against the keepers of an asylum. In New Zealand, a declaration was made that a power oi attorney executed in Louisiana had been duly verified. Dillion v. The Australian Mutual Provident Society (1901, N. Z.) 20 S. C. 188. iw Dreiser v. John Lane Co. (1918, N. Y. App. Div.) 171 N. Y. Sup., COS. THE DECLARATORY JUDGMENT. 35 violation of contract to the court on an agreed statement of facts, the only matter in issue being whether the book was obscene. It was held that as this was a question of fact it was not a proper ques- tion for judicial determination on voluntary submission. The only method then left to the plaintiff to have this issue determined would have been to sue for damages for loss of royalty which would not have been easy to prove and thus enable a jury to find whether the book was obscene. It would be simpler and would avoid this compulsory show of legal hostilities if the code were amended to enable the courts on submitted controversies to declare facts, with the aid of a jury, if necessary, or requested by one of the parties. On the whole it may be said that there is a great indisposition to declare facts except as incidental to their legal consequences, and in Germany no request for the mere declaration of a fact is at any time granted. FUTURE INTERESTS. It frequently becomes desirable to obtain a judicial decision upon a state of circumstances which has not yet arisen. This is particularly the case with reference to the rights of reversioners and remainder- men, but it is also true of other persons who anticipate the enjoyment of rights, etc., in the future and who wish in advance of the event to know their prospective legal position. Indeed, it is probably no exaggeration to say that the majority of declaratory actions are brought in order to enable the claimants to know how they shall conduct themselves in the future. A great many cases have been decided in which this problem has been involved, and while the deci- sions are not altogether reconcilable, some distinctions may be found in them which will repay analysis and examination. First, as to reversioners and remaindermen. The common-law aversion to the determination of any questions which did not require immediate solution and relief at the hands of the court was not over- come by the provisions of the act of 1850, which gave the court power on a stated case to express its opinion on questions of the construction of wills, deeds, and other written instruments, but vested it with dis- cretion to refuse an opinion if it considered it advisable; or by the act of 1852, which enabled it to render declaratory judgments where consequential relief might have been granted but was not claimed. The narrow construction that the declaration could be made only where the court could have given positive relief was sufficient to exclude reversioners and remaindermen from having their interests determined) for what coercive relief could the court grant them during the life of the preceding estate in esse? These were not actions to prevent the life tenant from committing waste, but merely to deter- mine what ther rights, privileges, powers or immunities of the rever- sioner or remaindermen were. In view of this conceived necessity of being able to give coercive relief, it is not surprising that the courts before 1883, at least, and not always after that, rejected practically all requests for declarations merely as to interests, the full enjoyment of which lay in the future. Nor does any serious distinction appear to have been made between vested and contingent remainders. An important case in which this view was expressed was that of Lady Langdale v. Briggs, 188 decided in 1856, in which the court refused 188 (1856) 8 De G. M. & G., 391. 424. 36 THE DECLAKATOBY JUDGMENT. during the continuance of a life estate to determine how far various ulterior limitations of leaseholds and copyholds given in trust in a will were affected by a certain codicil. It would have been possible to make the decision, but the limitations placed upon the declaration in one or two previous decisions, together with the view expressed that if the court could make a declaration of "rights" to arise in the future it would render the bill to perpetuate testimony practically use- less, 189 served to induce the court to deny the declaration. That deci- sion deserves mention because the colonial courts notably those of India were guided by it in reaching the same conclusions. In two previous cases 19 the vice chancellor had refused to make a declara- tory decree in the lifetime of the tenant for life, with regard to the interests of persons who might be entitled in reversion. Apparently, the fact that the reversioners through death might not come into the reversion was deemed of moment in deciding against the declaration, notwithstanding the fact that there was a present interest in the reversion. So in another leading case, Bright v. Tyndall, 191 the ques- tion was as to the rights under a will of the daughters still unborn of certain persons, if the daughters should live to be 21 and become married before that time. In an exhaustive opinion, Vice -Chancellor Malins decided that in view of the fact that many of the persons whom his opinion might affect were still unborn and that the operative facts on which his decision was asked might never arise, he would refuse the declaration. Yet there have been cases par- ticularly where the parties to be affected were in esse and the remain- ders were vested in which the court has, in the exercise of its dis- cretion, concluded that the circumstances warranted it in making a declaration of future interests. 192 The more modern rule, which in recent cases has been approved, was enunciated in 1882 by Jessel, M. K., in Curtis v. Sheffield. 193 He remarked : Now it is true that it is not the practice of the court, and was not the practice of the Court of Chancery, to decide as to future rights, but to wait until the event has hap- pened, unless a present right depends on the decision, or there are some other special circumstances to satisfy the court that it is desirable at once to decide on future rights. But where all the parties who in any event will be entitled to the property are of age and are ready to argue the case, the reason of the rule departs, and it becomes a bare technicality. The reason of the rule is this, that the court will not decide on future Pee also Yool v. Ewing [1904], Ir. Ch., 434, 445. iM Greenwood v. Sutherland (1853), 10 Hare, App. XIII; Garli?k . Lawson (1853), iHd., XV. In tha first case, under a will, one of the questions was: "What chi dren, grandchildren, or other remote issue of the sens and daughters are included in the word 'issue' and what interest do such issue respectively take; and at what ages are su n h interests vested and payable." Wood, V. C., refused a declaration except with regard to the legatees before the court. w> (1870), 4 Ch. I).. 189, 194. So where a declaratory decree afifected cnlv infants it was not made: Webb v. Byng (1856), 8 De G. M. & G., 633. "2 That a remainderman was entitled to property absolutely, r n the death of a life tenant, the limitation over not b^ing v^id for remoteness. Bell v. Cade (1861), 2 J. & H., 122; see a'so Fletcher p. Rogers (1853), 10 Hare, App. Mil (the interests of children who might be aiive at the death of their respective parents); Bowling c. Dow.ing (1866), L. R. 1 Ch., 612. (that certain srns tn< k an absolute interest, to be divested in the case of a parti u'ar son if he died without issue). Sti"h de-'a r ations as to "future interests" had occasionally been made even before 1852 when incidental to the determination of present rights, although the practice aprmars to have been somewhat irregu'ar. See Curtis v. Sheffield (1882, C. A.), 31 Ch. D., 1, 4. For the Herman practice see (1885), 13 R. G., 38C, 388; (1887)21 R. O.,"400. 411. 1M (1882, C. A.) 31 Ch. D., 1, 3, 4. This rule was approved in In re Staples [1916] 1 Ch. 322, where the plaintiffs were devisees in remainder, representing all of their class, who were all over age, who wished to know whether they had estates in tail in remainder as tenants in common, and if not, what classes would, on the death of the life-tenant be entitled. The court declined to mal-e the declarations while the devisers were remainder tr.en. In In re Freme's Contract (C. A.) [190"] 2 ( h. 778, the court saw no reason wtih they should refuse a declaration which might affect unborn children, they being in the same case why certain other children who were represented before the court. An excellent criticism of the English deci- sions before 1892 is contained in an article, The Declaration of Future Rights, by W. A. Bewes (1892). 8 L. Quart. R., 48-55. THE DECLARATORY JUDGMENT. 37 rights, because until the event happens it does not know who may be interested in arguing the question, and therefore may be shutting out parties who, when the event happens, may be entitled to succeed. Yet the old tradition is strong, and notwithstanding the fact that Order XXV, rule 5, has cleared away the limitation that the court must have been able to give consequential relief, and Order LIV, A, gives a wide power of interpreting wills and other written instru- ments, the tendency to revert to the former restrictions frequently reappears. 194 On the whole, we may say that when the remainder is vested and not contingent, when the parties to be affected by the judgment are in esse, of age, and represented before the court, the general rule is to make the declaration. 195 The Scotch courts, which have always been less conservative than those of England in determining future interests, have recently laid considerable emphasis on the criterion of whether the interest was vested or not. 196 Yet, while they have not hesitated to decide on contingent future interests if there was some one in existence to dispute them, 197 they have not been willing to declare the power of certain persons to give property by will when their decision might profess to determine the rights of children yet unborn who would not be bound by the decision, and when there was a possibility of contingencies arising which might render it nugatory. 198 Indeed, dicta are to be found in the Scotch reports to the effect that the pro- cess of declarator is not intended to declare "remote and contingent rights." 199 The Indian courts before and since the enactment of the Specific Relief Act in 1877 have rendered decisions which are utterly irrecon- cilable. 200 The more modern rule appears to permit those having vested future interests to bring a declaratory action to determine their rights, etc. 201 So, many cases are to be found in which revisioners bring declaratory suits to have it determined that various acts of the life-tenant, e. g., alienation, adoption, and mortgage, are void as to the plaintiff. 202 In two interesting cases, a husband whose right depended on his surviving his wife, 203 and a woman whose object was to obtain a declaration that she was entitled to an inchoate right of dower in certain lands, 204 were denied declarations although in the latter case it was admitted that her interest was a present one on the ground that the enjoyment of these interests depended on a contingency. If rendered now, the judgments would not commend themselves as well reasoned. Apart from the interests of reversioners and remainder men under the peculiar common-law rules governing real property, a great many actions are brought by persons who wish the court to declare by "4 See Yool v. Ewing [19041. Jr. Ch. 434, 444. 195 See West v. Lord Sackville (C. A.) [1903], 2 Ch. 378, per Stirling, L. J.; In re Freme's Contract (C. A.) 1905], 2 Ch. 778. i Millar v. Millar's Trustees (1896), 4 S. L. T., 122. w Mackenzie v. Lady Mary Hanbury (1846), 8 D., 964. See also Provan v. Provan (1840) 2 D., 298, 3, disputed question of vesting 'in the future. "a Harvey v. Harvey's Trustees (1860), 22 D., 1310, 1326. 199 Mag. of Edinburgh v. Warrender (1863), 1 M., 887. **> A brief survey of the declaratory judgments on the rights of reversioners may be found in 2 Woodman, Digest of Indian Law Cases, col. 2142 et seq. a See Thakurain v. Thakurain (1881, P. C.) L. R. 9, Indian Ann. 41. * Isri v. Mussumut (1883. P. C.) L. R. 10, Indian App. 150. See among the official illustrations to sec- tion 42 of the Specific Relief Act, illustration (d), (e). and (f). 2 . Venus Shipping Co. (1904) 9 Com. Cas. 289. And see the numerous cases recently decided on the effect of the war on contracts still to be performed in whole or in part, infra, notes 306-308. 209 Hugh Stevenson & Sons, Ltd., v. AktiengesellschaftfurCartonnagenindustrie(H. L.) [1918] A. C. 239. M Chaplin's Trustees v. Hoile (1890, Scot.) 28 S. L. R. 51. 2 " Williams v. Mayor of Manchester (1897, Q. B.) 13 T. L. R. 299. M 2 Journal Printing Co. v. McVeity (1915, Ont. App. Div.) 33 Ont. L. Rep. 166. MS Powell & Thomas v. Evans Jones & Co. [1905], 1 K. B., 11; Hoffman v. McCloy (1917, Ont. App. Div.), 38 Ont. T,. Rep., 446. But see Stewart v. Henderson (1914, Ont. App. Div.), 30 Ont. L. Rep., 447, where a declaration on an analogous claim was refused. THE DECLARATORY JUDGMENT. 39 In an action against an insurance company, the plaintiff sought to have a life insurance policy declared valid on which the company had repudiated liability on, the ground that it had been obtained by fraud. The insured was still alive; hence no action on the policy was yet possible. The court declined the declaration on the ground that the company might be in a better position to defend the suit on the policy when the action matured than it then was. The ground does not appear convincing, inasmuch as it had repudiated liability on the ground of fraud, of which it must have had evidence. 214 We have seen that the German law made the declaratory action dependent on a condition diametrically opposed to that of the English act of 1852, namely, that there shall be no right to consequential relief, whereas in England the existence of such a right was essential. Accordingly, Germany found the declaratory judgment an exceedingly useful instrument for the declaration of jural relations to be enjoyed in the future. From the beginning, therefore, "future rights" have been declared, the only limitation being that there had to be an exist- ing legal relation between the parties when the declaratory action was instituted. Thus, we find judgments declaring a liability for future damages; 215 that payments be reimbursed for any claims which mav be brought against the plaintiffs ; 216 that a landed estate is bound to furnish wood as needed to a municipality; 217 that defendants were bound under a contract to pay plaintiff a certain sum in case she married; 218 that a father was under a duty to furnish his daughter upon her marriage with a reasonable outfit; 219 that a foreign govern- ment was entitled to a legacy as soon as the royal sanction was given; 220 that an officer's wife was entitled to a pension when he died. 221 But a prospective heir can not bring an action during the lifetime of a testator to determine the invalidity of a will, on the ground that there is as yet no sufficient "legal relation" between the parties. 222 , Reference has already been made 223 to the German law in force since 1898 by which an action may be brought under certain circum- stances to recover money or enforce performance of an obligation due in the future. This is not a declaratory judgment, but a judg- ment which may be executed when the obligation becomes due. The advantages of this procedure under modern methods of business afford a profitable subject for study by American lawyers. DECLARATION OF STATUS. The determination of questions of status was the earliest function of the declaratory judgment both in Roman law and by specific desig- nation in the English law. The public and private interest in the security and certainty of personal status induced the early extension n Honour v. Equitable Life Ass. Soc. [1900], 1 Ch., 852. In similar cases the courts have hesitated to declare policies and notes void before they became due, preferring to allow the plaintiff to plead his defenses when sued on these instruments. See supra, note 133. 21* (1885) 13 R. G., 372, 374; (1901) 49 R. G., 370, 371. 216 (1905) 61 R. G., ll>4, 166. *" (1893) 41 R. G., 369. 218 See Peterson, op. cit. 501, note. 219 (1901) 49 R. G., 370. But if she had not been engaged when she brought the action, the court would have for.nd that she had an insufficient "legal interest." The father had refused to give her the outfit. Execution, of course, was conditional on her actual marriage. 75 R. G., 406. . ., . 221 (Inly 6, 1880, R. G.) Biihr, op. cit. 144. This claim was both conditional and future. The officer was Still alive, and it was conditional on the wife surviving him. 22 , 222 Gatipp-Stein, op. cit. 608. 223 Supra. 40 THE DECLARATORY JUDGMENT. of judicial power to the determination of doubtful or disputed cases of status. It will be recalled that the Legitimacy Declaration Act, 1858, enabled any British subject to apply by petition to the Court for Divorce and Matrimonial Causes the court which had taken over the jurisdiction in matters of status formerly vested in the ecclesiastical courts for a declaration of legitimacy, or of the validity or invalidity of a marriage. 224 That same act empowered any person domiciled in England, Ireland, or Scotland, or having real estate in England or Scotland, to apply for a "declaration of right" to be deemed a natural-born subject. 225 Under this act various cases have arisen in which a plaintiff claimed a declaration that he was legitimate and the lawful successor to a title or to property, as a consequence of the validity of the union, as a lawful marriage, of which he was the offspring. 228 But the English courts do not admit an action to have a child declared illegitimate, 227 as is permitted in Scotland, 228 even when an action is framed involving property for the purpose of establishing the illegitimacy of a child. 229 The English ecclesiastical courts had long before 1857, when their jurisdiction was transferred to the Court for Divorce and Matrimonial Causes (now the Probate, Admiralty, and Divorce Division of the High Court), exercised jurisdiction over suits known as "jactitation of mar- riage" a term derived from the canon law in which one person asserts or boasts that he or she is married to the other, whereby a common reputation of their marriage may result. Either of the parties to the alleged relationship but not a third person 23 may ask for a declaration that such a marriage never existed and that the boaster be enjoined to refrain from any future j actitation of the mar- riage. 231 It is analogous to an action for slander per se. Such actions are now rare, 232 as the same result is obtainable under the Legitimacy Declaration Act, authorizing actions to which third persons having roperty interests may be parties. It will be recalled that Order V, rule 5, does not apply to the Probate Division. The Scotch courts deal with such cases by the declarator of putting to silence, in which, if successful, perpetual silence is imposed on the defendant. This is but one of the varied uses of the declarator of perpetual silence. The judgment in conclusive as to the fact of marriage or not. 1 The English law, like other systems of law, has long been familiar with the action for the annulment of marriage. When this declares void a so-called marriage which was never legally a marriage, it is a declara- tory judgment. If it merely annuls a voidable marriage on the request of one of the parties, it is, like a divorce decree, investitive rather than declaratory. 233 The Scotch utilize the declarator of mar- riage and the declarator of nullity of marriage to have the validity or invalidity of a marriage declared. 234 The Indian courts frequently *" 21 and 22 Viet. ch. 93, sec. 1. 225 Ibid., sec. 2. 226 West v. Lord Sackville [1903], 2 ch., 378; Beresford v. Attorney General (C.A.) [1918], P., 33. See also Plummer v. Plummer [1917], P., 163, 165. 227 Yool . Ewing [1904], Ir. ch., 434. * Gardner v. Gardner (1877), 2 A. C.. 723. There is a special declarator of bastardy in Scotland. }: Cooke v. Cooke (1SS5), 4 De G. J. & S., 704, reversing Gurney v. Gurney (1855), 1 II. & M., 413. "o Campbell v. Corley (1802). 31 L. J. Prob.. 60. > Hawke v. Corn (1820), 2 Consist., 284. See a brief note in (1897) 103 L. T.. 381. 2 Thompson v. Rourke [1892], P., 244 appears to be the last case, and the only one since 1862. 133 Supra, p. 4. at Fraser, op. cit., 1238, 1244. THE DECLARATORY JUDGMENT. 41 have occasion to declare the validity or invalidity of a marriage 235 or of an adoption. 236 Mention has been made of the Wisconsin stat- ute authorizing the declaration of the validity of a marriage which has been doubted or disputed. 237 The Ontario Marriage Act which gave the courts of Ontario power to declare marriages valid or invalid was finally held unconstitutional in Peppiatt v. P eppiatt 238 on the ground that this was a matter solely within the jurisdiction of the Dominion Government. The German civil code and code of civil procedure provide expressly for the declaration of the existence or nonexistence of a marriage, of the relation of parent and child, and of the paternal power of one of the parties over the other. 239 But as the German law provides special proceedings both for the annulment of void and of voidable marriages, the special declaratory action under sections 633 and 638 has been held to apply only to a limited class of cases, e. g., when a marriage is alleged which has not been recorded ; where it is doubtful whether 4 a marriage contract or ceremony was concluded, or whether a marriage has been annulled abroad. In other words, the intrinsic grounds of nullity or voidability are not investigated in this declara- tory action, but only tormal matters. This holds true more or less of the questions affecting legitimacy under sections 640 et seq., which cover such matters as dates of birth, 240 actual legitimation, or other facts which may be established by investigation. Questions involv- ing the substantive law of legitimacy and paternal power may be tried by the regular declaratory actions. The English courts under their power to construe wills and deeds of trust under Order LIV, A, frequently determine incidentally ques- tions of status and relationship. 241 Similarly, the county judges act- ing as arbitrators under the Workmen's Compensation Act, 1906, determine questions of relationship to the decedent of alleged dependents. 242 Among the numerous other questions involving the declaration of status or relationship which have come before the courts are the declaration of lunacy; 243 the judicial declaration of death; 244 of the plaintiff's right to be restored to his caste ; 245 that plaintiffs are not members of a certain society; 246 that petitioner be declared insol- es Aunjona v. Pralhad (1870), 6 Bengal L. R., 213; Mussamat v. Mussamat (1876), 25 Suth. W. R., 444; Yamanabai w, Narayan (1876), 1 Indian L. Rep. Bombay, 164, 167. Declaration by a woman and her children against a third person that plaintiffs are the wife and children of A, a living person. See illustra- tion (h) to sec. 42 of specific relief act, 1877, Collett, op. cit. 222. Kotomarti v. Kotomarti (1874), 7 Mad. 351. The Civil Procedure Code of Ceylon, 1889, sec. 217, pro- vides for declaratory decrees which "declare a right or status." 1 Pereira, op. cit. 319. 2" Supra, p. 32. * (1916) 36 Ont. L. Rep., 427. 239 Code of Civil Procedure, sees. 633, 638, 640, et seq. 2 Gaupp-Stein, op. cit. 277 et seq. 240 (1911) 76 R. G., 283. 2<1 e. g., whether a certain legatee under a will was a Roman Catholic. In re May [1917] 2 Ch., 126. Whether plaintiffs were tenants for life or had some other status under a will. In re Boyer's Settled Estates [1916|, 2 Ch., 404. The frequent determination of who are "lawful issue" (e. g., In re timson [1916], 2 Ch., 362) does not usually involve the declaration of status. 242 Simms v. Lilleshall Coal Co. (C. A.) [1917], 2 K. B., 368. 243 Usually only incidental to a petition for the appointment of a curator or guardian. This, of course, is well recognized hi our law where commissions are appointed upon writs in the nature of writs de lunatico inquirendo to determine whether the subject of the inquiry is a lunatic or npt. Burke v. Wheaton (1828), 3 Cranch C. C., 341; Cox v. Osage County (1890), 103 Mo., 385, 15 S. W., 763. See also Vuyk v. Vuyk (1882), 1 So. Afr. Rep., 19; In re I. M. (1913), Queensland W. N. case, 40. For a declaration of sanity, see Mackin- tosh v. Smith & Lowe (1864, Scot.), 2 M., 389. 244 Likewise known in many systems of law, but not generally as an independent procedure as it is, e. g., in Germany and Ontario. German civil code (after 10 years' absence), sees. 13-18; (1905) 60 R. G., 196, 198. In Ontario, seven years' absence under sec. 148 of the insurance act, re Marshall and Ancient Order of United Workmen (1888), 11 O. W. R., 1078; 12 ibid., 153. See aldo Pennsylvania, Laws 1917, ch. 193, p. 460. 246 (India, 1876) 7 Suth. Civ. R., 299. " (1882) 8 R. G., 3. 42 THE DECLARATORY JUDGMENT. vent; 247 that plaintiffs are tenants and not day laborers; 248 that plain- tiff and defendant are partners; 249 that defendant is a trustee for the plaintiff; 250 that plaintiff is heir to another. 251 When such judgments establish a new status or relationship, however, they are investitive rather than purely declaratory. CONSTRUCTION OF WRITTEN INSTRUMENTS. One of the most fruitful uses of the declaratory judgment has been found to lie in the determination of the validity or invalidity or of the meaning of written instruments. Where a dispute turns upon the construction or interpretation of a document or written instrument it is clear that amicable submission by which a court is asked to declare its effect or meaning will be as efficacious in determining the jural relations of the parties as hostile litigation. The English act of July 15, 1850, therefore, enabled the court of chancery on a special ques- tion stated to determine "the construction of any act of Parliament, will, deed, or other instrument in writing, or any article, clause, mat- ter or thing therein contained." 252 This power was extended by Order LIV, A, of the supreme court rules promulgated in 1893 to include " a declaration of the rights of the persons interested" in such "deed, will, or other written instrument," and the decision is obtaina- ble on originating summons. The court may direct any persons inter- ested to be served and brought in. Tne majority of the declaratory judgments now rendered in the chancery division involve the con- struction of wills and deeds of settlement; but numerous cases may be found which involve the interpretation of contracts, leases, mort- gages and other written instruments, including even statutes and ordinances. The power to construe wills without the issuance of any decree or order constitutes a reform of vast importance when one recalls the ruinous and prolonged litigations recorded in the law reports of the early nineteenth century, the issue tried involving merely the con- struction of a will, the ascertainment of the persons entitled to legacies, or the proper administration of an estate. Not only a trustee or executor, but any person interested may now ask for a declaration or determination of any question arising under the will in whose solution he is interested. A few of our States now admit bills to construe wills 253 at any time a disputed question arises, whether questions of trusts are involved or not. The procedure is so eminently practical and useful that it may be hoped that all of our States will soon accept this modern instrument of preventive justice. Perhaps the best way to indicate the scope of this power of con- struing wills in the form of declarations is to present certain illus- trative determinations to be found in recent decisions. These cases J < 7 Usually incidental to some decree for appointment of receiver, etc. See Indian Code of Civil Proc.i 1882, sees. 344, 351. 2 8 (1886) 16 R. G., 390. In construing a bequest, the chancery division had to determine whether farm laborers were "servants." In re Forrest [1916], 2 Ch., 386. 2 Edmonds . Edmonds (1903, N. Z.), 24 S. C. R., 440. a* Raser v. MsQuade (1904), 11 Br. Col., 161. See also In re Charteris [1917], 2 Ch., 257. Such an action may be brought in the United States. See Donohoe v. Rogers (1914), 108 Cal., 700, 144 I'ac., 958. To effect that a certain man was a "bare trustee" under a statute, In re Blandy Jenkins' Estate [1917], 1 Ch.46. "I This is the Scotch declarator of heirship. Menzies v. McKenna (1914), 51 Sc. L. Rep., 205. But it was not allowed where A brought declarator against B that B was not the heir of C, deceased. Officers of State v. Alexander (1866), 4 M., 741; (H. L.) 6 M., 54. 252 Supra, p. 7. 253 Supra, p. 30. THE DECLARATORY JUDGMENT. 43 include such declarations as the following: The destination of a legacy on the death of the legatee; 254 whether a certain bequest constituted a residuary bequest; 255 the method of distribution of the residuary estate; 256 the power of a married woman to make "future" mort- gages under a testamentary devise of a reversion providing for a restraint on anticipation; 257 whether death duties were to be paid out of a specific legacy or by the corpus of the estate, 258 and other ques- tions concerning the incidence of taxation; whether a will validly executed a power of appointment; 259 whether "lawful issue" is con- fined to children or includes remoter descendants; 260 whether plain- tiffs were tenants for life 261 or were "servants" within the meaning of a bequest; 262 whether the bequest of an annuity charged on real estate with power of appointment over the annuity made it a "perpetual" charge; 283 whether a gift 264 or certain trusts 265 were valid or void ; to whom certain income or chattels 266 or devises of realty 267 belonged; the quantity of the estate -de vised ; 268 whether plaintiff, a widow, was immune from any defeasance of her title to a legacy in case she married. 269 Similar questions arise under deeds of settlement and trust: e. g., whether a settler's attempted assignment was or was not an imper- fect voluntary gift, 270 or was void as against his creditors ; 271 whether certain dividends payable in stock were to be treated as capital or as income and who was entitled thereto; 272 whether a certain gift was within the exception of a covenant to settle after-acquired property; 273 whether plaintiff had power to disentail without con- sent ; 274 whether a settler was privileged to deduct the income tax from certain gifts in trust; 275 what was the amount and character of the interest settled on certain beneficiaries, 276 or the privileges and immunities derived from certain marriage settlements. 277 Thus a receiver in bankruptcy of a cestui's life estate, which a prospective purchaser declined to take on the ground that it was defeasible, obtained a declaration that he had power to convey good title to an indefeasible life estate. 278 2" In re Harrison (1918, Ch.) Weekly Notes, Mar. 30, 1918, 91. 255 in re Gliddon [1917], 1 Ch., 174; In re Woolley [1918], 1 Ch., 33. 256 in re Walker [1917], 1 Ch., 38. 25' In re Chrimes [1917], 1 Ch.. 30. 253 In re Kennedy [1917], 1 Ch., 9. See also In re Scull (1917, C. A.), 118 L. T., 7; In re Palmer [1916) 2Ch., 391. 2w in re Wilkinson's Estate [1917], 1 Ch., 620; Inre Mackenzie [1917], 2 Ch., 58. See also In re Wernher [1918], 1 Ch., 339; Redman v. Permanent Trustee Co. (1917, Aus.) 22 C. L. R. 84, 17 N. S. W., 60. * In re Timson (C. A.) [1910] 2 Ch., 302. 261 In re Boyer's Settled instates [1910], 2 Ch., 404. 262 In re Forrest |1910], 2 Ch., 386. 2 Townseiid v. As-roft [1917], 2 Ch., 14. 2< Atty. Gen. for Xew /calami v. Brown (P. C.) [1917], A. C.. 393; Van Kerkvoorde v. Hedley (1917, N. S. W'.), 17 St. Rep., 205. That an attempted gift over, after a bequest, was void: In re Dugdale (1888), 38 Ch., D., 176. 265 InreLodwi<*[191G], 2Ch., 2(i; Inre Garnham [1910], 2Ch., 413; InreMellody (1917, Ch.), 118 L. T.. 155. 266 In re Eyre [1917], 1 Ch., 351; In re Bercsford-Hope [1917], 1'Ch., 237. 267 Redman v. Permanent Trustee Co. (1917, N. S. W.), 17 St. Rep., 60; Falconer Stewart v. Wilkie (1892, Scot.), 19 R., 030. 268 Fletcher v. Rogers (1853), 10 Hare App. XIII. 269 This is one of the few French cases of the negative form of declaration. Herv6 (Paris, Apr. 1, 1862), D. 02. 2, 77. 270 Carter v. Hungerford [1917], 1 Ch., 2GO. 2'i In re Bulteel's Settlements [1917], 1 Ch., 251. 272 in re Hatton [1917], 1 Ch., 357; In re Thomas (C. A.) [1.916], 2 Ch., 331. 273 in re Thorne [1917]. 1 Ch., 300. 27< In re Blandy Jenkins's Estate [1917], 1 Ch., 46. "5 Brooks v. Price (C. A .) [1916), 2 Ch., 345. Harvey v. Harvey's Trustees (ISfiO, Soot.), 22 D., 1310. ' Mackenzie, . Lady Mary Hanhury (1846), 8 D., 964; Byam v. Byam (1854), 19 Beav., 58; Smith v. Smith's Trustees (1905), 12 S. L. T., 782. *i In re Burroughs-Fowler [1916|, 2 Ch., 251. 44 THE DECLARATORY JUDGMENT. Suits are frequently brought to have deeds or mortgages declared invalid, or valid, 279 . when their validity is disputed. So mortgages and deeds, like other instruments, occasionally require construction, e: g., whether upon the separation by deed of a single tenement into two tenements, a right of way over one passed to the grantee of the other by implication. 280 In connection with bills of sale, actions have been brought to have them declared void 281 and to construe them. 282 Leases have frequently been construed. Actions have been brought to have them declared fictitious or void as against the interests of the plaintiff. 283 The judicial power to construe covenants in leases before they are broken and before damages have accrued is a good illustration of the efficacy of the declaratory judgment. For exam- ple, the following case has arisen on several occasions: Under a lease containing a covenant against assignment by the lessee without the consent of the lessor, which is not to be arbitrarily withheld, the lessee has wished to assign, but the lessor has imposed certain conditions upon the grant of his consent. In this country the lessee might make the assignment, if the assignee was willing to take it, and thereby invite a suit on the covenant, or else he might decline to assign and forego the benefits he expected. In England he has a third alternative, exceedingly valuable, which enables him to ask the court whether the landlord's consent is unreasonably withheld or whether the landlord has the power to impose onerous conditions upon the grant of his consent. In several cases brought by lessees who desired to assign the courts made such declarations. 284 In other cases declarations have been made as between lessor and lessee to determine on whom, under a covenant, fell a loss by fire from aircraft bombs; 285 that a certain notice of termination of lease by the lessee was ineffectual to operate as a surrender and that the lease was still subsisting; 286 that a receiver of a lessee had no power to deduct from the rent certain income taxes; 287 that a lessee was privileged and had a right to remove timber from certain leased land, without interference by the defendant lessor, owner under a land grant from the Crown. 288 * As to deeds, there are relatively few cases in England, but many in India. Very often the declara- tion is merely incidental to a suit to set aside the deed declared inva'id. See Pearce v. Bulteel [1916], 2 Ch. 544 (void against creditors). Indian cases: Nuflsa v. Mahomed (1876), 24 W. R., 336. For a declara- tion that a deed is forged see Prasanna v. Mathuranath (1871). 8 Bengal L. R., Append. 26; 15 W. R., 487. Suit has occasionally been brought to have a deed declared valid. Phoolchunder v. Sheoranee (1868), 9 W. R., 104. Validity of a mortgage, In re Chrimes [1917|, 1 Oh., 30; The Mamr [19031, p., 95 (where the declaration, however, was denied). Invalidity of a mortgage as against creditors, Chapman t>. Michaelson [1908], 2 Ch., 612; (C. A.) [1909] 1 Ch., 238 (privilege of the debtor: immunity of the trustee). Inva'idity of a debenture trust-deed and of debentures issued thereunder: Parian Coast Coal Minos (Ltd.) v. Arbuthnot (1917, P. C.), 117 L. T., 613. For cases in Germany see (1909) 71 R. G., 12 and (1910) 74 R. G., 292. su Ni-holls v. Ni^holls (1899, Ch.), 81 L. T., 811. See also Shaw v. Scottish Widows' Fund Life Ass. Soc. (1917, Ch.), 117 L. T., 697. 281 That the bill of sale did not truly set forth the consideration for which it was given, Parsons v. Equitable Investment Co. (C. A.) [1916], 2 Ch., 527. Purchaser sued for a declaration that a contract of purchase was void because of the vendor's misrepresentations: (1907) 65 R. G., 399. 403. Declaration that an execution sale of property had been illegally held: Kripa v. Banehanidhi (1913), 19 Calcutta L. J., 388. J3J Action by a vendor to have it declared that the purchaser had no right to have inserted in the con- veyan^e the grant of a certain right of way. In re Walmsley and Shaw's Contract [19171, 1 Ch., 93. Raghubar v. Bhaikdhari (1869), 3 Bengal L. R., Append. 48; Ram v. Rughoo (1876), 1 Indian L. Rep., Calcutta, 456. Negative declaration of defendant's (lessor's) disability to impose onerous conditions. Young v. Ashley Gardens Properties (Ltd.) [1903], 2 Ch., 112; Jenkins v. Price [1907], 2 Ch'., 229; West v. Gwynno [1911), 2 Ch., 1; Evans v. Levy [1901], 1 Ch., 452; Cornish v. Boles (1914), 31 Ont. L. Rep., 505. In some of these cases the declaration asked was of plaintiff's power to assign without lessor's consent. * Enlavde, Ltd., v. Roberts [1917], 1 Ch., 109. Burch v. Farrows Bank Ltd. [1917], 1 Ch., 606. ^ In re Hayman, Christy & Lilly, Ltd. (No. 2) [1917], 1 Ch., 545. * North Pacific Lumber Co. v. British American Tr. Co. (1915), 23 Br. Col., 332, 340. THE DECLAKATORY JUDGMENT. 45 Reference has already been made to various cases in which insurers have sought to have the court declare the invalidity of policies, either before any loss has occurred or before suit has been brought against them. 289 Such requests for declarations are almost always incidental to a bill for the cancellation or delivering up of the alleged invalid policy. In a number of cases actions have been brought to determine the powers of unincorporated associations or of corporations, involving a construction of their by-laws or articles of incorporation. Thus questions have been raised for declaration whether a club whose object was the promotion of the welfare of cyclists had power to devote a part of its funds to the payment of an annuity to its retired secre- tary; 290 by what method of computation the fixed value of certain shares of stock in a closed corporation should be ascertained; 291 and specific declarations have been sought that a company was under a duty to apply its profits, after certain deductions, to the payment of cumulative dividends; 292 that a company had no power to forfeit fully paid shares on the ground that it had a lien on them for the enforce- ment of a claim of the company against its members, and this even before there was an attempt to enforce the by-law mentioned; 293 or that certain resolutions or proposed actions were ultra vires. 204 Contracts. Probably one of the most useful functions of the declara- tory judgment in preventing litigation lies in the fact that it enables parties to obtain in case of doubt and in advance of the necessity of acting upon their own interpretation of their obligations, with the resulting invitation of a lawsuit, an authoritative judicial interpreta- tion of their mutual rights, powers, duties, etc., under written instru- ments. In the modern economic world, in which contracts constitute the normal instrument of business relations, it is of estimable value to have at the disposal of the parties an official judicial agency to which they may turn at any time to settle disputes arising in the performance of the contract. In England and some other countries, in order to obtain a judicial construction of a contract, it is unnecessary to resort to the crudity of breaking it, either by repudiation or otherwise, or, to avoid a lawsuit, of permitting the other party to enforce his own inter- pretation of his obligations under it. Yet in this country we are driven to this extreme. It is true that parties now frequently provide their own forum for settling differences and disputes by the insertion of arbitration clauses in their contracts, but this is still exceptional and lacks some of the authority of judicial decision. There seems no logical reason why the State, instead of throwing parties upon the necessarily unauthoritative advice of counsel and thus often nourish- ing the seed of a difference of interpretation into a full-grown lawsuit, should not furnish an official forum, its regular courts, for the settle- ment of differences arising out of the construction and interpretation of contracts. Before taking up some of the illustrations of this useful function of the courts in other countries, attention may be directed to their power to determine and declare the legal character of writings whose Supra, p. 31. !M Cyclists Touring Club v. Hopkinson (1910), 101 L. T., 848. !' Collins v. Sedgwick (1917], 1 Ch., 179; see also in re Condran [1917], 1 Ch., 639. s Evling v. Israel and Oppenheimer, Ltd. (1917, Ch.), 118 L. T., 99. sss Hopkinson v. Mortimer, Harley & Co., Ltd |1917], 1 Ch., (146. an Cope v. Crossingham [1908], 2 Ch., 624, 637; (C. A.) [1909), 2 Ch., 148. Grainger v. Order of Canadian Home Circles (1914), 31 Ont. L. Rep., 461. 46 THE DECLARATORY JUDGMENT. nature is uncertain or disputed. Thus, the courts of England or of her colonies have been asked to determine whether certain letters and memoranda constituted a contract; 295 whether certain regulations of the colonial office and the spending of money by plaintiff in reliance thereon constituted a contract; 296 whether a certain indorsement on an insurance policy amounted to a valid assignment thereof; 297 whether a certain document constituted a settlement 298 or a valid will; 2 " and whether certain entries in books were "advances" in the sense of the testator's will. 300 Coming now to the numerous questions which have involved the construction and interpretation of contracts, actions have on several occasions been instituted for a declaration that a certain contract was no longer binding on the plaintiff or was binding on the defendant. Among the former of these cases, which seeks a negative declaration of privilege (absence of duty), the case of Societe Maritime et Com- merciale v. Venus Steam Shipping Co. (Ltd.). 301 is a leading one. Here the plaintiffs had undertaken by contract to load ore on steamers to be furnished by one L., the alleged assignor of the defendants, for five years. The plaintiffs claimed that there was no valid assignment to the defendants, that L. was not the defendants' agent, and that there was no novation. As the original contract had over a year still to run, and as plaintiffs did not wish to break it and subject themselves to an action for damages, they availed themselves of the valuable orivilege of seeking from the court a declaration that the contract was no longer binding on them. In making the declaration sought, Channell, J., remarked: Showing a necessity of a decision upon it, I. think they are entitled to a declaration as to whether or not the contract is binding upon them. They are not bound at their peril to perform it and then to be liable to heavy damages for not performing it for the space of the next one and one-half years. If they are wrong, they would be liable for damages down to the time of the judgment of the court while they are refusing to perform; but upon the court saying that they were bound, they would then say: "We will now go on with it for the remainder of the time." I think that is a sufficient reason [for making the declaration]. 302 So declarations have been sought that a contract was not binding because the promisee was a money lender not registered according to law; 303 or, in Germany, because it was not authenticated by a notary. 304 On the other hand, declarations have been sought that contracts were binding which the promisor had either repudiated or threatened to repudiate. In this case the declaratory action is a milder substitute for the executory action, but has a special advantage when the con- tract is one involving a continuous performance and no interruption or substitution of damages for performance is desired. 305 The great importance of this power to make declarations of the jural relations of parties under a contract has been strikingly illus- * Lovesy . Palmer [1910], 2 Ch., 233. 296 Lantour v. Atty. Gen. (18B5), 5 N. R., 102. 231. 2" In re Williams (C. A.) [19171, 1 Ch., 1. 298 Simpson v. Commissioner of Stamp Duties (1917, N. S. \V.), 17 St. Rep., 217. 29 Badenach v. Inelis (1913), 29 Ont. L. Rep., 165. * In re Deprez [1917], 1 Ch., 24. 301 (1904), 9 Com. Cas. 289. 302 See also West Ham Cprp. v. Sharp [1907], 1 K. B., 445; Hulton v. Hulton [1916], 2 K. B., 642 (declaration sought by a married woman that she was not bound by a certain contract of separation obtained from her by fraud); to the same effect, see Slin?erland v. Slin?erland (1910), 109 Minn., 407, 410, 124 N. W., 19. " Lod^e v. National Union Investment Co. (Ltd.) [1907], 1 Ch., 300 (not granted). so< (1910) 73 R. G.,272. "* Holt v. A. E. G. Electric Co. [1918], 1 Oh., 320 (Controller of Enemy Property claimed that he was not bound by agreement for services between plaintiff and defendant company. Plaintiff's request for a declaration that he was so bound was granted). See also, for Germany, (1906) 62 R. G., 417. THE DECLARATORY JUDGMENT. 47 tratcd during the last few years when the English courts have been called upon to declare the effect of the war on contracts of various kinds. Parliament assisted this judicial function by providing in the Legal Proceedings Against Enemies Act, 1915, that a British subject or corporation might claim a declaration against an enemy subject or corporation, provision being made for substituted service, "as to the effect of the war on rights or liabilities under a contract entered into before the war." Numerous cases of this kind have arisen. In the recent case of Ertel Bieber & Co. v. Rio Tinto Co. (Ltd.) 308 the plain- tiffs, an English company owning copper mines in Spain, had con- tracted before the war to sell ore to German companies over a number of years. The contract contained a suspensory clause providing that if owing to war the sellers should be prevented from shipping, the obligation should be suspended during the continuance of the impedi- ment. When war broke out part of the contract was still unexecuted. The plaintiffs claimed a declaration that the war had terminated and not merely suspended the contract. The House of Lords granted the declaration on the ground (1) that performance had become illegal during the war, and (2) that the suspensory clause was void because it was against public policy that an English company should be bound, even after the war, to confer an advantage on a Germany company. 307 Some other cases involve equally interesting questions. In Metro- politan Water Board v. Dick Kerr & Co. 308 the performance of a con- tract for the construction of a reservoir was interrupted by the minister of munitions, who ordered the defendants to cease work, to remove a large part of the plant (which by the contract was to belong to the plaintiffs), and to sell it on behalf of the Government to certain munition factories. Defendants asserted that by reason/of the stop- page of the work and the uncertain duration of the war the contract was terminated, whereupon the plaintiffs sought a declaration that the contract was suspended but not terminated, and that they were entitled to the proceeds of the plant when sold. The court of appeal denied the declaration and held the contract terminated, reading into the contract an implication that defendants' obligations under it should cease if the Government made performance illegal or im- possible. 309 Among the various kinds of contracts which have recently received interpretation by declaration mention may be made of the following: In a contract for services, where plaintiff was to be paid by a per- centage of the net profits, the question was raised tor declaration whether the excess-profits duty was to be deducted in order to arrive at the net profits; 310 in Stretch v. Scout Motors, (Ltd.) 311 plaintiff sought and obtained a declaration of immunity from the forfeiture of a war bonus payable for not leaving defendants' service, on the ground that he did not leave voluntarily but had been ordered to leave by the minister of munitions. Two recent cases arose under *>(H. L.) [1918] A. C. 260. See also Zinc Corporation (Ltd.) v. Hirsch (C. A.) [1915], 1 K. B., 541; Orconera Iron Ore Co. (Ltd.) v. Fried- Krupp A. G. (1918, C. A.), 118 L. T., 237. In Hugh Stevenson & Sons (Ltd.) v. A. G. fur Carton- na^enindustrie [1918] A. C., 239, the House of Lords declared the termination of a partnership and the right of the German partners to share after the war in a certain part of the profits derived during the war from their share. HK(C. A. ) [1917] 2 K. B.,1. sea See also for other declarations of the effect of war on different contracts: Marshall v. Glanvill [1917], 2 K. B., 87 (agency); Smith, Coney & Barrett v. Becker, Gray & Co. (C. A.) [1916], 2 Ch., 86: Tingley v. Muller [1917], 2 Ch., 144 (sales); Seliijman v. Eagle Insurance Co. [1917], 1 Ch., 519 (insurance). no S. J. & E. Fellows (Ltd.) v. Corker [1918], 1 Ch., 9: Thompson Bros. & Co. v. Amis [1917], 2 Ch.. 211. But see William Hollins & Co. v. Paget [1917], 1 Ch., 187. "" (1918, K. B.) 144 L. T., 425. 48 THE DECLARATORY JUDGMENT. freight contracts. In one, a ship bound from Tampa, Fla., to Ham- burg was compelled by the outbreak of war to put into an English port, and the owners sought a declaration that as the further prose- cution of the voyage became illegal, they were entitled to freight money from the defendants. 312 In the other, the master had aban- doned a torpedoed ship which was ultimately brought into port by salvors. The owners of certain cargo on board sought a declaration, which was granted, that in view of the master's abandonment, they were entitled to the cargo without payment of freight. 313 Statutes. Statutes, executive regulations, and ordinances are some- what analogous to written instruments, and their construction or interpretation has frequently been involved in the course of actions for a declaration of jural relations. The Scotch courts have said that they will not make abstract interpretations of statutes ; 314 this is prob- ably true of all courts. But if the determination of a certain right, privilege, power, or immunity requires the construction or interpreta- tion of a statute, there seems no valid reason why it should not be made in declaratory actions as it is in executory actions. 315 Among recent declaratory judgments in England which directly involved the construction of statutes we may mention In re Monck- ton's Settlement, 316 determining that plaintiff had the power of a tenant for life under the Land Settlements Acts, 1882 and 1890; Flint v. Attorney General, 317 declaring that plaintiff as a minister was not exempt from military service under the Army Act, 1881, and Military Service Act,' 1916 ; In re Moxon, 318 declaring that the applicant trustee had the power to appoint the public trustee as sole trustee in his stead under the Trustee Act, 1893; In re Renishaw Iron Co. (Ltd.), 319 declar- ing that workmen could bring actions under the Workmen's Com- pensation Act, 1906, directly against the insurance companies with whom their bankrupt employers had insured their liability to compen- sation; and other cases too numerous to mention in detail. 320 Such actions have long been customary in Scotland, where declara- tions of liability or disability have been sought and maintained against public authorities under the Canal Act, 321 the Railway Act, 322 the Burgh Police (Scotland) Act, 1892, 323 and other acts. 324 Declarator appears to be the usualprocedure in Scotland for trying the legality of the acts of public officers. i St. Enoch Shipping Co. (Ltd.) v. Phosphate Mining Co. [1916], 2 K. B., 624. - Newsmn v. Bradley (1917, C. A.), 118 L. T., 78. For the interpretation of certain other contracts see In re Blalce [1917], 1 Ch., 18 (effect of unexecuted contract of sale on a testator's property, whether it was realty or personalty); Dyson v. Peat [1917], 1 Ch., 99 (agency). For an interesting German case see (1S37) 4D R. G., 97 (contract of two former partners not to engage in competing business: one sought a declaration that he was privileged to become an employee without violating the contract; it was not granted). > Balfour v. Malcolm (1842), 1 Bell Apn., 163; Todd and Higginbotham v. Burnet (1854), 16 D., 794. si- This was expressly held in the Scotch case of Sullivan v. Close (1898), 6 Sc. L. T., 2, "if the pursuer [plaintilT] shows an interest to have the meaning declared." See the English Act of 1850, supra, p. 7. [1917] 1 Ch., 224. M' [19isj 1 Ch., 216. MI [1916] 2 Ch., 595. M'[l17] iCh., 199. > See in re Wells and Hopkinson's Contract [1916] 2 Ch. 289; In re Scott (C. A.) [1916] 2 Ch. 268; Taff Vale liy. Co. v. Cardiff Ry. Co. (C.A.) [1917] 1 Ch. 299; Ellis v. Duke of Bedford (C. A.) [1899] 1 Ch. 499, 515. *' Ma?donell v. Caledonian Canal Commissioners (1830), 8 S. 881; Tennant v. Turner (1837) 16 S. 192. M i ilasgow City & Dist. Ry. Co. v. Magistrates of Glasgow (1884) 11 R. 1110. wa Teanent v. Commissioners (1894), 31 Sc. L. Rep., 619. "< eith Police Commissioners v. Campbell (1866), 5 M., 251; British Fisheries Soc. v. Magistrates of Wick (1<72), 10 M., 426; Stewart v. Parochial Board of Keith (1869), 8 M., 26; Hogg u. Parochial Board of Auchter- m iciity (ISbO), 7 R., 986. THE DECLARATORY JUDGMENT. 49 The validity or effect of various executive regulations has recently been under examination in declaratory actions brought by private indi- viduals whose privileges or immunities depended upon the construc- tion of such regulations or the legality of powers exercised under them. 325 The determination of the invalidity of a municipal ordinance is occasionally sought by declaratory action. 326 Probably in no other country is legislation so frequently held uncon- stitutional as in the United States. Judgments holding statutes or ordinances unconstitutional are in effect declaratory. In practice, however, the judgment usually includes some decree, though preceded by a declaration. The power to render declaratory judgments might have shortened considerably the complicated procedure by way of injunction, already litigated before three different courts, 327 through which the New York American is endeavoring to prevent the enforce- ment of different ordinances enacted by the municipal authorities of Mount Vernon, N. Y., designed to bar the Hearst newspapers from sale in Mount Vernon. The actual issue involves merely the consti- tutionality of the principal ordinance. In countries having a similar system of judicial control over legislation, the unconstitutionality of a particular statute has been maintained in the form of a declaratory action and judgment. 328 Even the meaning of the judgment or decree of a court 329 or of the ambiguous award of arbitrators 330 may be sought by declaratory action. It is doubtful, however, whether its validity can be attacked in this form, 331 inasmuch as codes of procedure usually provide means for setting aside invalid judgments or awards. TITLE TO PROPERTY. One of the questions for the determination of which the declaratory judgment has proved most adaptable is the matter of conflicting or doubtful claims of title to land or of any right, privilege, power, or immunity with respect to land. The history of the simplification of procedure for trying title encourages the hope that the more general reform in procedure involved in the declaratory judgment will ulti- mately obtain sufficient support to secure its legislative recogniton. From the former very technical real action by which questions of *> Whether a certa in regulation came into effect at the date of its signature or of its publication, Johnson v. Sargent & Sons (1917, K.. B.), 118 L. T., 95; effect of treasury regulations for deposit of securities, In re Oppenheimer [1917], 1 Ch., 274; claimant's privilege of not giving certain information under a printed form to Inland Revenue Commissioners, Dvson v. Attorney General (C. A.) [1911] 1 K. B., 410; invalidity of regulations of shipping controller requisitioning services (not ships) of owners and appropriating their profits, China Mutual Steam Navigation Co. (I td.) v. Mac! ay [1918], 1 K. B., 33. MS See Bourgon v. Township of Cumberland (1910), 22 Ont. L. Rep., 256. Hair v. Town of Medford (1914 A. P.), 31 Ont. L. Rep., 124. ' Star Co. v. Brush, N. Y. Law Journal, Sept. 12, 1918. a" See Colonial Sugar Refining Co. v. Any. Gen. (1912), Australia 15 C. L. R., 182. The Ontario Judica- ture Act (R. 8. 0. 1914, c. 56, sec. 20) authorizes the Supreme Court at the instance of the Attorney General for Canada or of Ontario to make a " declaration as to the validity of any statute * * * though no further relief be prayed or sought." See Atty. Gen. for Canada v. Atty. Gen. of Ontario (1893), 23 Can. S. C., 458, and annotations of this section in Snider's Annotations (1914), p. 102. This is in the nature of an advisory opinion, although the st .tute calles it a "judgment." Under the United States Constitution such a declaration would ha/et j involve a litigated "case" or "controversy" between private parties. Muskrat v. United States (1911), 219 U.S. 346, 41 Sup. Ct. 250. In Shredded Wheat Co. v. City of Elgin (1918, 111.), 120 N. E., 218, the plaintiff sought to enjoin the enforcement of a municipal ordinance on the ground of its unconstitutionaiity. The court refused to pass upon the ordinance until the plaintiff had undertaken to violate it and prosecution been begun to recover a penalty under it. If invalid, said the court, the prosecu- tion would fail and the plaintiff would not be injured; if valid, there was no ground on which its enforce- ment should be enjoined. The benefits of the declaratory jud onent procedure in such a case are apparent. w Ross v. At iCKcn ie 1,1836), 14 S.. 845; Parke's Curator (Barstow) v. Black (1870), 8 M., 671. MO Lofthouse C )lliery v. Ogden 11913], 3 K. B., 120. i Although this has" been done in India, where judgment was rendered against a minor without appoint- ment of a guar^i'in ad litem. Purno v, Maharajadhiraj (1913), 18 Calcutta L. J., 18. 10790819 4 50 THE DECLARATORY JUDGMENT. ownership of realty were decided we came to the mixed action of ejectment, used first to decide questions of possession and then indi- rectly to determine questions 01 title under the fiction of a decision merely as to the right of possession. 332 While in some of our States this is still the method of trying the title to land, England has not stopped her progress. The action for the recovery of land under the Judicature Acts, while primarily directed to the recovery of possession, also enabled the plaintiff to apply for a declaration that he is entitled to the land, while a claimant to possession in fee simple has been able to do so since 1862. 333 Since 1883, the usual method of trying title or any of the constituent jural relations with respect to land, e. g., the right to walk over another's land or the privilege of freedom from the right of another, has been by declaratory action. The equitable biHs to quiet title and particularly the bill to remove cloud from title, to- gether with the modern statutory suit to quiet title, serve in many of our States to try disputed questions of title. 934 But these remedies are subject to various limitations, and the two former serve only as incidental to some executory relief. The statutory suit to quiet title, which in some States (e. g., Connecticut), includes within its purview personal as well as real property and may be instituted by a person in or out of possession claiming any kind of contested interest m the land, offers a close approach to the action for declaration of title, and should be adopted by all of our States. The questions relating to rights and other legal relations in respect to property determined by declaratory judgment often, although by no means usually, arise under wills or settlements, and to some extent have already been considered. They may be brought to determine adverse claims to the same interest in the land, by the person in or out of possession or claiming some interest in order to obtain a deter- mination and confirmation of his interest or of his freedom from interference with that interest by some adverse claimant. Among adverse claimants to the same interest, questions of con- flicting title frequently come before land registration officers in countries where the State determines, registers, and guarantees the title. In this country, whore the Torrens system is not yet compul- sory, and in England, this kind of declaration is of little importance. In Ireland the Landed Estates (and Land Judges') Court has jurisdic- tion to make declarations of title. In India the question is fre- quently raised under section 283 of the code of civil procedure by persons claiming interests in property under attachment; in this country that is possible in some States by sheriff's jury. 335 But in India no declaration of title can be obtained by virtue of the general power to make declaratory decrees under the Specific Relief Act if the plaintiff might have obtained any coercive relief. Under section 17 Supra, p. 29. " In re Married Women's Property Act, 1882 (C. A.) [1917], 2 K. D., 72. THE DECLARATORY JUDGMENT. 51 Declaratory judgments upon adverse claims to interests in land have dealt with many varieties of questions, including conflicting claims'by the public and by private individuals to the fee of a road, one asserting it to be a public, the other a private road; 337 conflicting claims of private individuals to the same realty 338 or to the same privilege under lease or license. 339 Declarations have also been sought to determine the nature of the claimant's interest in certain land, e. g., of a reversionary lessee whose term was to commence more than twenty-one years after its date ; 34 the amount of claimant's share in property; 341 or the quantity, quality, or priority of plaintiff's or defendant's tenure 342 or interest. 343 It often becomes of importance to a person who claims title to land and the power to convey it to obtain from a court a judicial declaration and confirmation of his title as an assurance to a prospec- tive vendee that he is not purchasing a defective or unmarketable title. This valuable function of the declaratory judgment has been invoked on several occasions, generally by the vendor 344 but occa- sionally by the vendee who asks a declaration that he is under no duty to take a defective title. 345 Often such a request for a confir- mation of title serves merely purposes of general assurance, 346 but it is probable that it will not be granted unless the title is in danger of question or attack. 347 Reference has already been made to the fact that in some jurisdictions a claimant to title by adverse possession may obtain a judicial confirmation of his title. 348 The action for the establishment of title or of some incidental legal relation is often brought in the form of a request for a negative dec- laration of privilege or immunity as against the defendant. Before 1883, such an assertion of privilege or immunity was not granted in England, because the plaintiff was said to have no cause of action. Only by the equitable remedy of removal of cloud from title, within its limited scope and conditions, was relief obtainable. So in Rooke v. Kensington, 349 where the plaintiff asked a declaration that his legal " Gooderham . City of Toronto (1891), 21 O. R., 120; 19 A. R., 641; The Mayor, etc., of Lower Hutt v. Yerex (1904, N. Z.), 24 S. C., 697; Chuni v. Ram (1888), 15 Indian L. Rep., Calcutta, 460. sss In re Alston [1917] 2 Ch. 226; In re Bogg |1917] 2 Ch. 349; Grierson v. Sandstring School Board (1882) 9 R. 437; Redman v. Permanent Trustee Co. (1917, N. S. W.) 17 St. R. 60; Nasir v. Arman (1912), 17 Cal- cutta L. J. 118; Rameshevar v. Provabati (1914), 20 Calcutta L. J. 23: (1900) 48 R. G., 367, 370. 339 North Pacific Lumber Co. Ltd. v. British-American Trust Co. Ltd. (1915), 23 Br. Col., 332; (1898) 41 R. G., 345. The German courts at one time espoused the view that there was no "legal relation" between two adverse claimants to the same res. 8 Mann, Grossman & Panlin, Ltd., v. Registrar of Land Registryf 1918], 1 Ch., 202. 8 Robson v. Atty.-Gen. [1917], 2 Ch., 18. sw Rawlinson v. Mort (1905), 93 L. T.. 555; Pritchett v. Currie (C. A.), [1916], 2 Ch., 515. In India, this even includes questions of conflicting claims to the possession of a wife. Vumanabai v. Narayan (1876), 1 Indian L. Rep., Bombay, 164, 167. For Germany, see (1899), 44 R. G., 163, 165. i" The Manar [1903], P., 95. See also sec. 146 of the German Bankruptcy Code. S8S Shares of stock, Coleman v. London County, etc., Bank [1916], 2 Ch., 353. Policies of insurance, Seligman v. Eagle Insurance Co. [1917], 1 Ch., 519. Whether a certain claim was part of judgment debtor'! assets. Steward v. Guibord (1903). 6 Ont. L. Rep., 262. N. E. Marine Engineering Co. v. Leeds Forge Co. [1906], 1 Ch., 324, where the plaintiffs claimed a declaration that defendants' patent was invalid, and that the former had not infringed any legal rights of the latter. The declaration was denied because there was a statutory way of trying the question. But the principle of such actions was admitted. Why should it be necessary for a new patentee to build a factory and begin manufacturing an article and causing injury before a contesting older patentee alleging interference can bring his action? Why should not either one of them, before any expense is incurred or damage is caused, be able to test the validity of their conflicting claims by declaratory action? n 8'<> British Actors Film Co., Ltd., v. Glover [1918], 1 K. B., 299. *! Bruce v. Commonwealth Trademark Label Asso. (1907, Aus.), 4 C. L. R., 1569. For a case in Ger- many, see (1905) 61 R. G., 18, 19. s Hammerton v. Earl of Dysart (H. L.) [1916], 1 A. C., 57 (a ferry franchise). Jurisdiction by declaration was denied in Queansland on a question of contested title to an office in a voluntary association; Murray v. Parnell (1909), Q. S. C., 65. But a public officer in Scotland was allowed to test his title to the office be declarator. Goldie v. Christie & Petrie (1868), 6 M., 541. In England and the United States the writ of quo warranto is the procedure adopted for this purpose. 373 Powell v. Jones [1905], 1 K. B., 11. "< In the matter of the German Cruiser Konigsberg [1917], P., 174; In re the Battle of the Falkland Islands [1917], P., 47. 54 THE DECLARATORY JUDGMENT. of requisitioned ships lost by the government. 375 It will be observed that declaratory actions may be brought against the government, although necessarily begun by petition of right or statutory permis- sion, and it may be said that in England and in the United States Court of Claims a declaratory judgment is the only form of judgment that can be rendered against the government, for the court has no power to make an executory decree. This same advantage of the plaintiff may be demanded in the form of a declaration of the defendant's duty to do something for the bene- fit of the plaintiff, either to pay a sum of money 378 or to do some specific act, 377 to bear a particular burden, 378 or to forbear from some particular act. Thus, wnere a newspaper reporter sought a declara- tion of his right and privilege to enter a public building, the city hall, it was held that the defendant mayor had no right that he should keep out and no privilege to keep him out (i. e., was under a duty to refrain from keeping him out. 379 Declarations have been asked and main- tained of the defendant's [secondary] duty to make good any losses which the plaintiff company might sustain now or in the future because of the defendant director's negligent conduct of its affairs 380 or because of the defendant's continuing negligence. 381 If the act and the result- ing duty are complete, although the damages can not yet be estimated, the declaration would of course be a declaration of duty. 382 The declaration of the plaintiff's power is illustrated by such cases as those already mentioned of a life-tenant who asserts his power of alienation 383 or of a lessee who asserts his power of assignment of the lease without consent of the lessor. 384 Declarations of the defendant's liability in the technical conceptual sense of that term are infrequent. Those cases in which the court has declared that the defandant is liable to certain duties provided the plaintiff exercises his power to convert this liability into a duty are illustrations. Thus, where the court declared that the defendant was bound to pay a certain sum provided the plaintiff tendered a receipt, 385 or that the defendant was under a duty to furnish wood from his estate if, as, and when the plaintiff municipality requested it, 388 or that the defendant father was under a duty to furnish his plaintiff daughter with an outfit when she married, 387 declarations of liability as well as of conditional duty were made. In these cases the power to convert the liability into a duty resided in the plaintiff, but we believe the jural relation to be the same if the power is vested in a third person. Thus, where a fraternal benefit society asked a dec- * British & Foreign Steamship Co. v. The King [1917], 2 K. B., 769. For German cases between private .individuals, see (1903) 55 R. G., 158, 160; (1911) 75 R. G., 406. 376 Atty. Gen. v. Watson [1917], 2 K. B., 427 (the payment of estate tax). Carlton Main Colliery Co. v. Clawley (C. A.) [1917], 2 K. B., 691 (Sums payable to dependents under Workmen's Compensation Act, 1906). So questions of the incidence of the duty to pay taxes may be tried by declaratory action. In re Smyth [1917], 2 Ch., 331; In re Scott (C. A.) [1916], 2 Ch., 268. * To keep and maintain a highway of a certain construction and strength. Atty. Gen. v. Scott (1904, K. B.), 20 T. L. R., 630, 633. To convey to the equitable mortgagees (plaintiffs) a legal mortgage. In re Smith [1916], 2 Ch., 206. 378 To bear certain charges for public improvements made by the city. Corp. of Bristol v. Sinnott [19171, 2 Ch., 340. ** Journal Printing Co. v. McVeity (1915), 33 Ont. L. Rep., 166. 88 In re Dominion Trust Co. and Machray (1916). 23 Br. Col., 401. * Evans v. Manchester, etc.. Ry. Co. (1887), 36 Ch. D., 626, 640; Azeeza v. The Corporation of Calcutta (1916), 24 Calcutta L. J., 562 (duty to compensate for loss which might be sustained through defendant's- subsequent removal of certain fixtures). 382 (1885) 13 R. G., 372. * Supra, cases cited in note 344. 'w Supra, cases cited in note 284. ** Morton et al. v. Smith (1864). 3 M., 29. ' a* 8 (1898) 41 R. G., 369. (1901) 49 R. G., 370. THE DECLARATORY JUDGMENT. 55 laration against the state that the latter was liable to make good any losses which the plaintiff society might have to meet in the future because of then undisclosed claims of third persons (members) injured in a railroad accident caused by the | state's negligence, a case of lia- bility is presented. 388 Perhaps the declarations asked by prospective tax payers of what their liability to taxes will be in different dis- tricts 389 may be classified under the head of liability. Probably a greater interest in the use of the declaratory judgment lies in its power to settle questions of privilege or no-right, immunity or disability, where the plaintiff may or may not have any affirmative cause of action, but asks for a declaration in the negative form either that he himself is under no duty to (freedom from the right of) the defendant or that he is under no liability to (immunity from) the defendant's power or control or else he may assert that the defendant has no-right against the plaintiff or has no power over (disability against) him or his jural relations. These various negative forms of declaration warrant closer examination. The only reason for classifying the assertion of a plaintiff's privi- lege among negative forms of declaration is because the court's finding is practically always pronounced in the form of the defendant's no-right that the plaintiff shall not act in accordance with his privilege, or of the no-duty of the plaintiff to the defendant. Otherwise, there is nothing inherently negative about a privilege. Illustration (g) to section 42 of the Indian Specific Relief Act reads as follows: A is in possession of certain property. B, alleging that he is the owner of the prop- erty, requires A to deliver it to him. A may obtain a declaration of his right [privi- lege] to hold the property. But the court's declaration in practice will be in the negative form either that A is under no duty to deliver it to B, or that B has no right to the property. It will be recalled that when a privilege not ex- pressly limited by license is actively contested or its enjoyment ob- structed it merges, as against the person interfering, into a right. The assertion of privilege in the form of plaintiff's no-duty is illus- trated by the case of Guaranty Trust Co. v. Hannay 39 in which the plaintiffs sought a declaration that they were under no duty to return to the defendants certain sums which had been paid to them. The same form of declaration is illustrated by such cases as the fol- lowing: the plaintiff claims that a certain contract is no longer binding on him; 391 that he is under no duty to answer certain ques- tions or produce certain documents asked by a legislative commis- sion; 392 that he is under no duty to make certain returns on forms submitted by the commissioner of internal revenue 393 this case also involved a declaration of immunity inasmuch as the plaintiff con- tended that the form was ultra vires (no power). We have mentioned already a case in Germany in which a washing powder placed on the market by the plaintiff was alleged by defendant to have injured her eyes, whereupon plaintiff asked for a declaration that she was (1905) 61 R. G., 164, 166. 89 Edinburgh & Glasgow Ry. Co. v. Meek (1849), 12 D., 153. 390 (C. A.) [1015], 2 K. B., 53rt. si Supra, note 301. 39J Cobni.il Sugar Reining Co., Ltd. v. The Atty. Gen. (1912. Aus.), 15 C. L. R., 182. 333 D/san v. Atty. Gen. [1911], 1 K. B., 410; (C. A.) [1912] 1 Ch. 158, 167; Burghes r. Atty. Gen. [1911] 2 Ch. 139, 155; (C. A.) [1912] 1 Ch. 173. 56 THE DECLARATORY JUDGMENT. under no duty to make good the damage defendant may have sus- tained. 394 Privilege, as already observed, is frequently asserted in the form of no right of the defendant. Thus, we have seen that the owner of land 'may, as plaintiff, seek a declaration that the defendant has no easement or servitude over his land. 395 So also, an alleged debtor against whom a claim is asserted may seek a declaration that his alleged creditor has no claim (right) against him 39fl or no right to assert any other demand to the detriment of the plaintiff. 397 So, where steamship owners asserted their privilege of operating a certain steamer then en route for their own account and of keeping the profits in spite of the shipping controller's requisition of the ship, it was held that the controller had no right to the plaintiff 's services and to the running accounts, but that his rights against the plaintiffs arose only after the completion of the ship's voyage; until that time the plaintiffs were privileged and immune from his regulations. 398 Many possibilities of extending this useful function of a declara- tory judgment of privilege as an aid to the stability and security of legal relations suggest themselves. For example, it was nearly 20 years after its enactment before the business world was able to learn authoritatively what the Sherman law actually meant. For some years before the decision of the first case the Department of Justice had held the Sherman law like a sword of Damocles over the heads of large business concerns entering into cooperative agreements, reor- ganizations and combinations of various kinds and degree. Yet when the Department of Justice was asked whether a specific agree- ment was a violation of the law, the department could not and did not answer, asserting first, that that was a question for private counsel and secondly, a question for the courts. So the advice of counsel was sought and their conjecture as to the meaning of the law was followed ; and so these large organizations stumbled along carry- ing enormous responsibilities in the hope that the law had not been violated, until the Department of Justice got ready to try a few test cases. Then came expensive litigation and an unscrambling of many combinations, a process which represented business destruction and uncertainty and an economic loss and waste impossible of calcu- lation. Why should private business have been left for years in such grave uncertainty ? Why should it not have been possible for two or more business concerns contemplating a certain form of co- operative reorganization, yet threatened by the Sherman law, to assert their privilege to enter into and execute the proposed agree- ments, citing the Attorney General as a defendant, and request from the courts a declaration of their privilege to act and their right to no interference and of the government's no-right that the concerns should refrain from the execution of these agreements. Then the sword would either have fallen or have been withdrawn and business might have proceeded with some degree of certainty and security. Thus, a simple procedure used as an instrument of preventive justice *>< (1909) 71 R. G., 08. *> 5 Supra, notes 358-3C2: and see Harrison v. Rutland [1893], 1 Q. B., 142. (1899) 44 R. G 183; (1913) 82 R. G 170. 897 E. g., for a creditor to keep a special security against a hankrupt when he had proved his claim among the general creditors: In re Pawson [1917] 2 K. B., 527; to keep plaintiff's name on the list of shareholders when this is a disadvantage to plaintiff: Kinghornw. Glenyards Fireclay Co. Ltd., ()907, Sc.) 14 S. L. T.683. 398 China Mutual Steam .V.ws;ition Co., Ltd. v. MaoLay [1918] 1 K. B. 33. THE DECLARATORY JUDGMENT. 57 might have saved the community and private business untold loss, inconvenience and uncertainty. 389 The last two jural relations which we have undertaken to discuss are immunity (or no liability) and disability (or no power). They find large room for application in the field of administrative law in which private individuals may contest the validity of governmental acts by asserting the diasbility of legislative or administrative author- ities to promulgate such state acts or else their disability to enact or issue them, respectively, in the manner pursued, and hence their own immunity from any legal relations that purport to be created by such unlawful or invalid state acts. These jural correlatives of immunity and disability have also, however, as we shall presently see, consider- able application in private legal relations. The declaration of immunity or exemption from taxation has fre- quently been the object of judicial determination, 400 although the com- plete or partial invalidity of tax laws or of administrative powers exer- cised under them is usually asserted in the form of a declaration of the correlative jural relation of disability (no power). Exemption from military service is an illustration of immunity, 401 as well as of the privilege of not serving. Declarations of disability of the defendant, while often combined with declarations of immunity of the plaintiff, are nevertheless emphasized as the principal jural relation in issue when the validity of a state act is contested. Thus, declarations have been sought that particular acts of governmental authorities were ultra vires (i. e., that the authority had no power to create any new legal relations by executing them), e. g., the repudiation of an agreement by the post- master-general, 402 the issuance of certain -forms by the internal revenue officers, 403 the requisitioning of certain services and profits of the plaintiffs, 404 the expropriation of certain land, 405 the manner of can- celling certain mining leases by the governor, 406 the method of impos- ing taxes by local authorities, 407 and the manner of rejecting votes by local officers. 408 So also declarations of disability have been sought against the acts of private persons acting under private acts, charters or agreements. Such declarations have been made against the power of employers to make certain deductions from wages under the Truck Act, 183 1, 409 of school authorities to exclude certain poor children, 410 s" This procedure has close analogy to the declaration of perpetual silence. The plaintiff cites the defend ant who threatens him with a charge or with an action, and the court asks the defendant to prove his charge or ever thereafter remain silent. This proceeding, of ancient origin, which is in force in many countries, may be extended by us to alleviate many cf the crudities of our law of libel and slander, in which the neces- sity of proving a pecuniary injury now constitutes such an important element for practical purposes. Mr. Nathan, in 4 Common Law of South Africa, 2387, states, that ' 'it has been held that in a criminal prosecution where a preliminary examinat ion has not been closed, an accused person is not entitled to a decree of per- prtual silence against the Crown. TCx parte Bok (1880, Trans.), K., 223." This hardly constitutes a prec- edent, however, against the preventive 'action here proposed. * Re Smyth (1917, Ch. 0. A.), 117 L. T., 793; Ottawa Y. M. C. A. v. City of Ottawa (1913), 29 Ont. L. Rep., 582; Atty. Gen. of Queensland v. Atty. Gen. for Commonwealth (1915), 20 C. L. R., 148; Hogg v, Parochial Board of Auchtermuehty (1880), 7 R., 986. < Flint v Atty. Gen. [1918],! Ch.,'210. See also London Assn. of Shipowners v. London & India Docks.etc. [1892], 3 Ch., 242: that plaintills wero not liable (immune) to bear certain unlawful charges assessed upon certain docks they might wish to use.