The Railway Library, 1909: A Collection of Noteworthy Chapters, Addresses, and Papers Relating to Railways, Mostly Published During the Year
History
The Railway Library, 1909: A Collection of Noteworthy Chapters, Addresses, and Papers Relating to Railways, Mostly Published During the Year
Railroads -- United States -- Periodicals
It was alleged before the committee that this last result would
not be very injurious to the carrier, for the reason that it would
be receiving the rate which it had fixed as a fair compensation
for the service performed prior to the change. The answer to this
seems reasonable, which was, that conditions had so changed that
it required an advance of the rate to meet those new conditions.
Otherwise the advanced rate would have no justification. That traffic
officials fully appreciate the fact that, with the watchful eyes of
every shipper affected by an advanced rate and the authority of the
commission to determine and fix a just and reasonable rate (as a
general rule), rates would not be advanced by such officials without
a belief upon their part that there were sufficient reasons to
sustain them, if protested.
The attention of the committee has been called to the attitude of
the commission in its rulings upon the advance of rates, even where
the facts have shown that the rates have been lowered with a view
of developing a particular industry. In the case of the New Albany
Furniture Company against Mobile, Jackson and Kansas City Railroad
Company, etc., decided June 2, 1908, the commission held:
"The rates were low before the increase, but having been
established, after prolonged negotiations, especially for the
purpose of permitting complainant to reach a particular market,
and in preference to making a readjustment in some other
direction or territory, and complainant having adjusted its
business thereto, defendants may not by an arbitrary advance
in those rates destroy complainant's business, there being no
evidence that the rates advanced were less than the cost of
service."
A similar decision was rendered on the 1st of June in the case of
Western Oregon Lumber Manufacturers' Association against the Southern
Pacific Company.
Knowledge of the views held by the commission by the traffic
officials and shippers will serve as the most effective check upon
the part of the carrier in advancing rates over those which have been
in existence for any considerable period of time, unless they can
support the advance by the most satisfactory reasons.
WOULD THE AMENDMENT PROPOSED BE IN CONFLICT WITH THE FIFTH AMENDMENT
TO THE CONSTITUTION?
2. An objection urged to the approval of this amendment, even though
modified as suggested in committee, was that it conflicted with the
fifth amendment in depriving the carrier of its property without due
process of law.
Public-domain text, read in full here on John Shaqi.
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