Brimstone R. & Canal Co. v. United States

13 F.2d 914, 1926 U.S. Dist. LEXIS 1235
CourtDistrict Court, W.D. Louisiana
DecidedMay 22, 1926
DocketNo. 241
StatusPublished
Cited by6 cases

This text of 13 F.2d 914 (Brimstone R. & Canal Co. v. United States) is published on Counsel Stack Legal Research, covering District Court, W.D. Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brimstone R. & Canal Co. v. United States, 13 F.2d 914, 1926 U.S. Dist. LEXIS 1235 (W.D. La. 1926).

Opinion

DAWKINS, District Judge.

Complainant seeks a preliminary injunction against an order of the Interstate Commerce Com[915]*915mission fixing the division of joint through rates between the complainant and the defendant railroads, the contention being said order is illegal and unconstitutional for the reasons following, to wit:

“(1) That before rendering its said order, and the report and opinion preceding it, the Commission did not investigate or determine the reasonableness or justness of tho divisions, or whether they would be unjust, unreasonable, inequitable, or unduly preferential or prejudicial as between the carriers parties thereto and participating therein, and that the Commission did not give consideration to any fact or circumstances which would entitle one of such carriers to a greater or less proportion than another carrier, or a joint rate, fare, or charge, as is required by paragraph (6), section 15, of the Interstate Commerce Aet.

“(2) That the Interstate Commerce Commission was and is without jurisdiction, power, or authority to determine or prescribe the divisions to be received by tho Brimstone Railroad out of the joint rates, fares, or charges received by the several carriers, except as between the carriers parties thereto, and except after a hearing and investigation of the operating expenses, taxes, and other facts and circumstances connected with the operation of each of the carriers participating in such joint rate, fare, or charge, as specifically set forth in paragraph (6) of section 15 of the Interstate Commerce Aet.

■‘(3) That the Interstate Commerce Commission was and is without power, jurisdiction, or authority to establish any divisions of joint rates under section 15, paragraph (6), of the Interstate Commerce Aet, except after it has established joint through rates and charges for the transportation of property, as provided in section 15, and particularly paragraph (3) thereof, of the Interstate Commerce Aet.

“And, should it be held that the Interstate Commerce Commission did have jurisdiction, power, and authority to determine and prescribe the divisions to be received by the Brimstone Railroad, without complying with the provisions of paragraphs (1), (3), and (6) of section 15 of the Interstate Commerce Aet, which complainant always denies, then, in the alternative, complainant alleges that the said orders and findings of the Commission in controversy are and will be illegal, null, and void, and result in the taking of the Brimstone’s property without due process of law, in violation of the Fifth Amendment to the Constitution of the United States, because:

“(1) The said orders, and particularly the report, opinion, and order of December 14, 1925, attempt to determine divisions to be received by the Brimstone from its connecting carriers prior to December 14, 1925, and subsequent to August 1, 1923, thereby prescribing divisions to be applied retroactively.

“(2) That the Interstate Commerce Commission was and is without jurisdiction, power, or authority to so prescribe and determine divisions to be applied retroactively, for the reason that the joint rates, fares, and charges, of which the divisions received by the Brimstone Railroad form a part, were not established pursuant to a finding or order of tho Commission, as is provided for by paragraphs (1), (3), and (6) of section 15 of the Interstate Commerce Aet.

“Should it be held that the Interstate Commerce Commission did have jurisdiction, power, and authority to determine the divisions received or to be received by the Brimstone Railroad, as set forth in the last two preceding statements, then, and further in the alternative, the complainant alleges that the orders in controversy, and particularly the order of December 14, 1925, are and will be illegal, null, and void, and result in the impairment of the obligation of a contract, and in the taking of the Brimstone’s property without due process of law, in violation of the Fifth Amendment to the Constitution of the United States, and should be set aside, for the following reasons:

“(1) That the divisions which have been and will be received by the Brimstone were and arc established by agreement by and between the Brimstone Railroad and the other carriers parties thereto, and were not established pursuant to a finding or order of the Interstate Commerce Commission.

“(2) The Interstate Commerce Commission is without jurisdiction, powpr, or authority to so prescribe and determine divisions to be applied retroactively when such divisions are and have been agreed upon between the interested carriers and established by a contract between the parties thereto.

“(3) In the event the court should hold that section 15, paragraph (6), of the Interstate Commerce Act is retroactive, and authorizes the Commission to make divisions of through rates prescribed by it retroactive in the cases heretofore mentioned, then it is alleged that section 15, paragraph (6), of the Interstate Commerce Act is itself unconstitutional, null, and void, in that it impairs and annuls the obligation of tho contracts made and entered into by and between the Brimstone Railroad, complainant, and the Louisi[916]*916ana Western Railroad Company, and by and between the Brimstone Railroad and the Kansas City Southern Railway Company, under and by virtue of which contracts the divisions received by the Brimstone Railroad prior to the adoption of the order of December 14, 1925, were paid, denies to the Brimstone Railroad the equal protection of the law, and takes its property without due process of law, in violation of the Fifth Amendment to the Constitution of the United States.

“By amendment to the bill, the orders are further contested on the ground that the findings and orders of the Commission were made and issued without the introduction or consideration of any evidence to show the reasonableness or unreasonableness, or justness or unjustness, of the divisions of the joint rates as between the carriers parties thereto, and that the said finding and orders were made and issued without the introduction or consideration of any evidence to show the reasonableness or justness, or unreasonableness or unjustness, of the divisions of any particular rate, nor was any evidence introduced or considered showing the amount of service performed by the Brimstone and its several connections under all or any individual joint rate or rates, as is required by the Interstate Commerce Act.

“The orders are further contested by amendment to the bill, on the ground that over fifty (50) per cent, of the entire trafile of the Brimstone Railroad moved and moves on proportional rates, and that as to such rates the Commission is without power and authority, to establish and make retroactive divisions.

“(4) Should it be held that the Interstate Commerce Commission did have jurisdiction, power, and authority to determine and prescribe the divisions to be received by the Brimstone Railroad retroactively, and should it be held that Congress did have and exercise the power to annul the said contracts without violating complainant’s vested rights, then, in that event, and further in the.alternative, the complainant alleges that the orders in controversy are and will be illegal, arbitrary, unreasonable, unjust, null, and void, and confiscatory, and will result in the taking of the Brimstone Railroad’s property without due process of law, in violation of the Fifth Amendment to the Constitution of the United States, for the following reasons:

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13 F.2d 914, 1926 U.S. Dist. LEXIS 1235, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brimstone-r-canal-co-v-united-states-lawd-1926.