Chesapeake & Ohio Railway Co. v. Public Service Commission

81 S.E.2d 700, 139 W. Va. 161, 1953 W. Va. LEXIS 8
CourtWest Virginia Supreme Court
DecidedDecember 18, 1953
Docket10606
StatusPublished
Cited by11 cases

This text of 81 S.E.2d 700 (Chesapeake & Ohio Railway Co. v. Public Service Commission) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chesapeake & Ohio Railway Co. v. Public Service Commission, 81 S.E.2d 700, 139 W. Va. 161, 1953 W. Va. LEXIS 8 (W. Va. 1953).

Opinions

Given, Judge:

This appeal brings to this Court for review a final order of the Public Service Commission of West Virginia, entered February 16, 1953, in Motor Case No. 13012, upon application of The Chesapeake and Ohio Railway Company for authority to transport over the highways of this State, by motor truck instead of by rail, within a defined area, freight in less than carload quantities. The application filed herein states: “That the petitioner desires a certificate of convenience and necessity to operate motor vehicles for the transportation of property in the territory or over the routes and/or between the termini, as hereinafter described. Commodities or class of commodities: General commodities without limitation, on rail bills of lading at rail rates by motor service auxiliary to and supplementary of train service in the handling of 1. c. 1. freight serving only stations on the railway. The purpose of the application is to render a more expeditious, economical and flexible service to the public in the handling [164]*164of 1. c. 1. freight now moving by rail.” A large number of motor vehicle common carriers, operating under proper authority within such area, or parts thereof, appeared before the commission and protested the granting of such authority. After hearing the testimony of a large number of witnesses, both for and against the granting of the authority, the commission denied the application. The record upon which the matter was determined by the commission is now before this Court.

Generally, the area involved is the area served by the applicant along its main line extending from Huntington through Charleston to Mt. Carbon, including the area served by the branch lines of the applicant between Huntington and Mt. Carbon. Within that area the applicant now serves approximately one hundred ninety-seven railway stations. Approximately one hundred sixty-three of these stations could be served by the proposed substitute truck service. The area involved is clearly defined in the application and for convenience may be referred to in this opinion as the Kanawha District. Also, the truck routes and the equipment proposed to be used in the proposed substitute service are fully defined and described in the record made before the commission.

Applicant has operated as a railway common carrier of property throughout the Kanawha District for approximately fifty years, and within parts of that district for more than three-fourths of a century. About. 1920 it was transporting by rail, within Kanawha District, approximately one hundred fifty million pounds of less than carload freight per year. In 1952 it was transporting less than six million pounds of less than carload freight per year. For all practical purposes, one or more of the protestants, under proper authority, now operate in some one or more of the several parts of Kanawha District. No one carrier actually operates throughout the entire district. Throughout the district there exists a large number of large coal mine operations, and other important businesses, necessitating the shipment into and out of the district of an [165]*165amount of less than carload freight which may be described as enormous, as revealed by the testimony of protestants relating to the quantity of freight transported by them to or from the district.

On its main line between Huntington and Mt. Carbon, under its present authority applicant handles its less than carload freight, both interstate and intrastate, by local freight trains. On its branch lines within the Kanawha District the less than carload freight is handled in boxcars placed in coal trains. Applicant contends that such method of handling the less than carload freight transported by it necessarily results in much inefficiency and delay in its overall operations, in that the stopping of its trains for the delivery of single or small shipments necessarily delays the whole train, blocks the use of the tracks as to other trains, engages the time of whole train crews, and requires the use of an unreasonable number of railroad cars. It is clearly shown, and apparently not denied, that the present method of applicant’s handling of less than carload freight is inefficient and results in a delay of approximately three days in the delivery of individual shipments. Also, it is clearly proved, and not denied, that the less than carload freight handled by applicant can be better and much more efficiently handled by the proposed substitute truck service, coordinated with its rail service, at a very substantial savings to applicant. It is also clearly proved, and not denied, that the proposed substitute truck service will result in a much better service for that part of the public now using the facilities of applicant, both as to less than carload freight and carload freight, and both as to intrastate and interstate shipments. Applicant, however, offered no evidence tending to show that the service being furnished within the Kanawha District by the protestants is inadequate or insufficient. It also clearly appears that the protestants are capable, financially and otherwise, of rendering efficient service as to the transportation of less than carload freight, including that now transported by applicant, demanded by shippers or re[166]*166ceivers of such freight within the Kanawha District, or what may be demanded in the foreseeable future.

As above noticed, applicant now handles its interstate freight shipments in less than carloads lots, within the Kanawha District, in precisely the same manner as it now handles its intrastate freight shipments, in less than carload lots, within that district. It is established by the record that the interstate shipments constitute approximately 95.3 per cent and the intrastate shipments constitute only about 4.7 per cent of all shipments originating within or delivered to points within the Kanawha District. About the time of the filing of the application in the instant proceeding, the applicant filed with the Interstate Commerce Commission its application for authority to transport its interstate shipments of less than carload freight by the precise substitute service sought in the instant proceeding, which authority was granted. The Chesapeake and Ohio Railway Company, Extension — West Virginia, Docket I.C.C. No. MC — 109867 (Sub. 4), decided April 7, 1953. Part of the conclusions reached by the examiner and approved by the Interstate Commerce Commission, deemed of interest here, are quoted: “The examiner is not impressed with the reasons advanced by protestants for the denial of the application. Applicant has not abandoned less-than-carload service and it should not be denied the right to improve such service when, it elects to do so. The application is not one in which authority is sought to provide an all-motor service the same as provided by the existing motor carriers. The proposed operation is designed solely to improve applicant’s present less-than-truckload service in the territory. The present service is slow, inefficient and expensive. And it is not satisfactory to applicant and the shipping public. The authority sought will not enable applicant to enter a new field, but will permit it to substitute for the present service a new efficient form of service which will be faster and more economical in the transportation of less-than-carload rail traffic which applicant has been and is obligated to transport. The examiner does not believe [167]*167it to be the intent of the Interstate Commerce Act to vest in one class of carriers the right to require the continuation by another of an inefficient and more costly method of operation.

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Chesapeake & Ohio Railway Co. v. Public Service Commission
81 S.E.2d 700 (West Virginia Supreme Court, 1953)

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Bluebook (online)
81 S.E.2d 700, 139 W. Va. 161, 1953 W. Va. LEXIS 8, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chesapeake-ohio-railway-co-v-public-service-commission-wva-1953.