A. B. & C. Motor Transportation Co. v. United States

151 F. Supp. 367, 1956 U.S. Dist. LEXIS 4169, 1956 WL 92484
CourtDistrict Court, D. Massachusetts
DecidedSeptember 13, 1956
DocketCiv. A. 55-487-M
StatusPublished
Cited by11 cases

This text of 151 F. Supp. 367 (A. B. & C. Motor Transportation Co. v. United States) is published on Counsel Stack Legal Research, covering District Court, D. Massachusetts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
A. B. & C. Motor Transportation Co. v. United States, 151 F. Supp. 367, 1956 U.S. Dist. LEXIS 4169, 1956 WL 92484 (D. Mass. 1956).

Opinion

WOODBURY, Circuit Judge.

This is a suit under Title 28 U.S.C. § 1336 to set aside and annul an order of the Interstate Commerce Commission granting a certificate of public convenience and necessity to the intervening defendant, The L. Nelson & Sons Transportation Company.

For a great many years The L. Nelson & Sons Transportation Company (Nelson or applicant hereinafter) has been in the business of a common carrier by motor vehicle transporting wool, wool waste, wool yarn, and the bags and spools used in the transportation of those commodities, over irregular routes between numerous points in the northeastern part of the United States scattered from the Philadelphia area to central New England. After the passage of the Motor Carrier Act, 1935, 49 Stat. 543, 49 U.S. C.A. § 301 et seq., the Commission granted it a certificate of public convenience and necessity covering its operations. On April 4, 1951, Nelson applied to the Commission for authoricy to broaden the scope of its operations as to commodities to cover transportation in interstate commerce over irregular routes in the area it was already serving of “textile mill products and supplies, except liquid commodities in bulk, in tank vehicles.” The Commission, acting under § 210a, added to the Motor Carrier Act, 1935, supra, 52 Stat. 1238, as amended 54 Stat. 923, on May 1, 1951, gave Nelson temporary au *369 thority limited to transporting for 180 days “synthetic fibers and yarns used in lieu of or with wool, wool waste, and wool yarns in the supply and manufacture of textile mill products.” On October 25, 1951, just before that authority expired, the Commission extended its grant of temporary authority until it should make final determination of Nelson’s application.

In due course a trial examiner for the Commission held hearings on Nelson’s application at which numerous motor carriers, including the plaintiffs herein, and the New England and Trunk Line rail carriers to whom we previously denied intervention, appeared in opposition. In spite of their opposition, however, the trial examiner, on the supporting evidence of 12 shippers served by Nelson and the editor of a weekly trade publication, recommended that Nelson be granted additional authority to transport “synthetic and blended synthetic-and-wool fibers, yarn, and waste, and containers used in the transportation of those commodities” but over only part of the geographical area covered by its early operations and its original certificate. Only Nelson objected to the trial examiner’s recommendation and it objected only to the territorial limitations imposed.

The Commission by its Division 5 handed down its report on October 19, 1953. In this report it said in reference to Nelson’s application:

“Applicant now conducts extensive operations in the transportation of materials used in the textile industry. The sole purpose of the instant application is to broaden its authority, commoditywise, to include synthetic fibers and yarns and certain other commodities which, as a result of recent developments in the textile industry move in substantial volume between the mills in the area now served by it in the movement of wool and related items. In other words, applicant seeks here to keep pace with changes in the practices of the textile mills in its area of service and to broaden its commodity authority to meet the changing . needs of the textile industry.”

The Commission found on a detailed analysis of the evidence in the record before it that there was indeed a definite trend in the textile industry, not only in the entire area served by Nelson but also generally, toward the use of synthetic materials in combination with and also in lieu of wool and other natural fibers. And it found that Nelson was “fit and able, financially and otherwise, properly to conduct” the additional operations it proposed. In these circumstances the Commission said that it was “convinced that applicant’s commodity authority should be appropriately broadened,” and that to confine the authority “to something less than applicant’s entire area of service would be arbitrary and contrary to the facts and sound reasoning.” Wherefore the Commission concluded “that the public convenience and necessity require a broadening of applicant’s authority, commoditywise so as to enable it to meet the changed needs of the textile industry throughout its area of service.” The real issue it said, was “solely one of commodity description.”

On this issue the Commission discussed its decision in Ex Parte MC-10, Classification of Motor Carriers of Property, 2 M.C.C. 703 (1937) called the Classification proceeding, and its sequel, Ex Parte MC-45, Descriptions in Motor Carrier Certificates, 61 M.C.C. 209 (1952), called the Commodity Descriptions proceeding. As a result it concluded that administrative expedience required the cancellation of Nelson’s old certificate, which Nelson was willing to do, and upon surrender of that certificate the issuance of a comprehensive new one authorizing Nelson to transport, in interstate or foreign commerce as a common carrier by motor vehicle over irregular routes, “materials used in the manufacture of cloth, waste materials resulting from the manufacture of cloth and supplies and materials used in connection with the transportation or proc *370 essing of these commodities when moving to or from places of processing” throughout its entire area of service, and “empty containers used in transportation of the commodities named” over part of the area it served.

Various petitions for reopening, rehearing and reconsideration were filed with the Commission by a number of in-tervenors who opposed Nelson’s application. No useful purpose would be served by setting each one out in detail. It will suffice to say that all but one were denied by Division 5 and on that one the Commission on March 11, 1955, affirmed its original decision but, in accordance with Nelson’s application, added to its commodity description “except liquid commodities, in bulk, in tank vehicles.” On April 27, 1955, the Commission issued an order granting Nelson a certificate of public convenience and necessity in accordance with the terms of its decision of October 19, 1953, as thus amended, and this is the order the plaintiffs seek to have set aside and annulled in the instant case. At the same time the Commission revoked Nelson’s old certificate and also the temporary 180 day authority given to Nelson on May 1, 1951 .and extended 177 days later.

The plaintiffs raise no issue with respect to the geographical scope of the authority given to Nelson. Nor do they question the revolution in the textile industry brought about by the wide use in recent years of synthetics either alone or in combination with natural fibers such as wool or cotton. Furthermore, we gather from their brief and argument that they would not complain if Nelson were given authority in accordance with the recommendation of the trial examiner to transport “synthetic and blended •synthetie-and-wool fibers, yarn, and waste, and containers used in the transportation of those commodities.” Their attack is directed primarily against the 'breadth of the authority given to Nelson in the certificate eventually issued to it by the Commission.

They say that there is no evidence in the record to support a grant of authority as broad as that given to Nelson.

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Bluebook (online)
151 F. Supp. 367, 1956 U.S. Dist. LEXIS 4169, 1956 WL 92484, Counsel Stack Legal Research, https://law.counselstack.com/opinion/a-b-c-motor-transportation-co-v-united-states-mad-1956.