Consumers Power Co. v. Michigan Public Utilities Commission

Plaintiff is the owner of a 30-year gas franchise granted by the city of Saginaw, which franchise does not expire until January 21, 1938. The initial rate to be charged for gas was fixed by the franchise, and provision was made therein for fixing by arbitration for 10-year periods the subsequent rates. Such an arbitration was had in 1932 and the rate chargeable for manufactured gas fixed. No provision was made at this arbitration as to the rate to be charged for natural gas. About a year later a supply of natural gas seemed available for the city’s needs. On June 27,1933, the city of Saginaw…