The state, acting through its legislative department, may, under its power to regulate and control common carriers, forbid the granting of passes, and it has power to make such legislation retroactive so as to render invalid contracts for granting passes which have been entered into before such legislation was enacted.1 Where such legislation is regarded as retroactive in character, the party who has given value for a contract on the part of the carrier to issue passes to him in the future is denied the right to recover damages because of the refusal of the carrier to issue such passes thereafter;2 and he can not compel the carrier to issue such passes by a suit for a specific performance.3 Where it is fairly possible to construe such a statute as prospective and not retroactive, the courts, however, are not regarded as rendering invalid prior valid contracts of this sort;4 and such contract will be enforced specifically.5 If the local procedure permits a judgment to be rendered not only as to instalments already due under a continuing contract, but as to instalments to become due in the future, the enactment of valid legislation which makes such contract illegal prevents the enforcement of such judgment as to instalments which fall due after such legislation was enacted.6

20 Burgett v. Loeb, 43 Ind. App. 657, S8 X. E. 346.

21 Burgett v. Loeb, 43 Ind. App. 657, 88 N. E. 340.

22 Burgett v. Loeb, 43 Ind. App. 657, 88 X. E. 340.

1 Louisville & Nashville Ry. v. Mottley, 219 U. S. 467, 55 L. ed. 207, 34 L. R. A. (N.S.) 071 [reversing, Louisville & Nashville Ry. v. Mottley. 133 Ky. 652, 118 S. W. 982]; Louisville & X. R Co. v. Crowe, 156 Ky. 27, 40 L. R. A. (N.S.) 848, 160 S. W. 759; Cowley v. Northern P. R. Co., 68 Wash. 558, 41 L. R. A. (N.S.) 550, 123 Pac. 008.

2 Cowley v. Northern P. R. Co., 08 Wash. 558, 41 L. R. A. (N.S.) 559, 123 Pac. 998.

Rescission in equity has been denied if the promisee has received the substantial part of the consideration. Cowley v. Northern P. R. Co., OS Wash. 558, 41 L. R. A. (N.S.) 559, 123 Pac. 998.

3 Louisville & Nashville Ry. v. Mottley, 219 U. S. 467, 55 L. ed. 207, 34 L. R. A. (N.S.) 071 [reversing, Louisville & Nashville Ry. v. Mottley, 133 Ky. 052, 118 S. W. 982],

4 Kentucky Traction & Terminal Co. v. Murray, 170 Ky. 503, 105 S. W. 1119; Emerson v. Boston & Maine Ry., 75 N. H. 427, 27 L. R. A. (N.S.) 331, 75 Atl. 520.

5 Emerson v. Boston & Maine Ry., 75 N. H. 427, 27 L. R. A. (N.S.) 331, 75 Atl. 529.