Hess

In this action the county of Inyo, as plaintiff, sought the recovery of two per cent of the gross annual receipts derived from the operation of a telephone system during the years mentioned in the complaint for the franchise or privilege of using the county highways over which to construct and operate telephone and telegraph wires.

From a judgment in favor of plaintiff, defendants have appealed.

The decision of the case involves the interpretation and application of the so-called Broughton Act (Stats. 1905, p. 777), under and pursuant to which it is claimed a telephone franchise was granted to defendant Hess by plaintiff to construct telephone lines over the public highways of Inyo County, and in connection therewith the rights of the corporations as assignees under section 536 of the Civil Code.

In the absence of findings, which were waived, and omitting matters not pertinent to the decision, under our view of the case, the material facts are as.follows: On April 21, 1906, the board of supervisors of Inyo County, after full compliance with the provisions of the Broughton Act, by Ordinance No. 95 duly adopted, granted to Hess, as the highest bidder therefor, a franchise to…