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
The existing law authorizes carriers to make reasonable rates.
Congress recognizing the right of control by the carrier has provided
reasonable regulations to safeguard the interests of the public in
the exercise of that right. It authorizes a protest after the rate
had gone into effect; it provides for a full hearing after notice by
the commission; it has further extended the time when the rate shall
be made effective to thirty days from the filing of the schedule
with the commission. These were held to be reasonable regulations,
but it is claimed that under the amendment proposed to the sixth
section, that if the rate is suspended from going into effect at the
end of the thirty days by a protest, there is no limitation in the
act fixing the time when the commission shall determine the question
of the reasonableness of the advance; that the period is therefore
indefinite, depending upon numerous considerations which might extend
the time when the rate would be effective, if it was finally held to
be reasonable, to six months or a year.
That the act of suspension either by the operation of the statute or
by the commission is without notice or hearing to the carrier; that
Congress has no greater right to authorize an administrative tribunal
to suspend indefinitely the taking effect of a reasonable rate
without notice or hearing than it has the right to provide that an
administrative tribunal may authorize a rate which would yield less
than the cost of the service.
It was decided in the case of Chicago, M. & St. P. R. R. Co. against
Minnesota, 134 U. S., 418, that the right to make a reasonable rate
was a property right. In the case of Interstate Commerce Commission
_v._ Chicago Great Western Ry., 209 U. S., 118, the Supreme Court
said:
"It must be remembered that railroads are the private property
of their owners; that while from the public character of the
work in which they are engaged the public has the power to
prescribe rules for securing faithful and efficient service and
equality between shippers and communities, yet in no proper
sense is the public a general manager."
Justice Brewer, in the above case, page 108, speaking for the court
said:
"It must also be remembered that there is no presumption
of wrong arising from a change of rate by a carrier. The
presumption of honest intent and right conduct attends the
action of carriers as well as it does the action of other
corporations or individuals in their transactions in life.
Undoubtedly when rates are changed the carrier making the
change must, when properly called upon, be able to give a good
reason therefor, but the mere fact that a rate has been raised
carries with it no presumption that it was not rightfully done.
Those presumptions of good faith and integrity which have been
recognized for ages as attending human action have not been
overthrown by any legislation in respect to common carriers."
Public-domain text, read in full here on John Shaqi.
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