Story of the Session of the California Legislature of 1909Hichborn, Franklin
History
Story of the Session of the California Legislature of 1909
Hichborn, Franklin
California -- Politics and government
Further on in the same section, it is provided that "any railroad
corporation or transportation company which shall fail or refuse to
conform to such rates as shall be established by such Commissioners, or
shall charge rates in excess thereof, * * * shall be fined not exceeding
$20,000 for each offense."
The dispute between those who stood for maximum rates - that is to say,
the members of the machine lobby, the machine Senators, the Southern
Pacific attorneys and those who wanted absolute rates - namely, the
anti-machine Senators and the attorneys representing large shipping
interests - waxed hot over the words in the above quotation which are
printed in Italics.
The advocates of the absolute rate held, with at least apparent reason,
that the words "fail to conform to such rates" mean just what the
dictionaries say they do: That the railroad charging a rate in excess of
that fixed by the Railroad Commissioners, or a rate less than that fixed
by the Commissioners, is not conforming to the rates. Such, at least,
seems reasonable construction of a very simple phrase.
But not so, insisted the railroad lobby. That aggregation of patriots
skimmed over the words "fail to conform to such rates," and saw only,
"or shall charge in excess thereof." Inasmuch, the pro-railroad element
held, as the Constitution says that the railroads shall not charge in
excess of the rates fixed by the Railroad Commissioners, the railroads
are at liberty to reduce the rates as fixed by the Commissioners at
will. In other words, according to the pro-railroad element, the
Constitution authorizes the fixing of maximum rates only.
The pro-railroad claquers even went so far as to claim that the Supreme
Court has decided that the maximum rate is the only rate that can be
fixed under the State Constitution. They referred the doubtful to the
notorious decision in the Fresno passenger rate case known as the Edson
decision.
But no question of maximum rates was involved in the Edson case. To be
sure, Chief Justice Beatty took occasion to say in his opinion in that
case that his understanding had been that the State Constitution
provides for the maximum rate. But this had no place in the decision,
was purely dictum, and is so regarded.
Attorney-General Webb has an ingenious but very plausible explanation of
Judge Beatty's much-discussed observation. General Webb points out that
previous to the adoption of the present State Constitution - 1879 -
Justice Beatty had been engaged in the active practice of the law in
this State. Up to the time of the adoption of the Constitution of 1879
the maximum rate had prevailed in California. About that time, Judge
Beatty went to Nevada and was absent from the State for several years.
Returning to California, after the State Constitution had been adopted,
Judge Beatty found no case in which the duties of the Railroad
Commissioners had been involved, until the Edson case came up.
Public-domain text, read in full here on John Shaqi.
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