Commerce Commission Ex Rel. National Roadway Lines v. Wabash Railroad

167 N.E. 64, 335 Ill. 484
CourtIllinois Supreme Court
DecidedJune 19, 1929
DocketNo. 19448. Judgment affirmed.
StatusPublished
Cited by1 cases

This text of 167 N.E. 64 (Commerce Commission Ex Rel. National Roadway Lines v. Wabash Railroad) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Commerce Commission Ex Rel. National Roadway Lines v. Wabash Railroad, 167 N.E. 64, 335 Ill. 484 (Ill. 1929).

Opinion

Mr. Justice Dunn

delivered the opinion of the court:

On August 1, 1928, the Illinois Commerce Commission granted a certificate of convenience and necessity to the National Roadway Lines, Inc., to operate a system of trans-^ portation of passengers, baggage and small parcels by motor busses between 'Chicago and East St. Louis over State bond issue routes 4, 4A, 51, 44, 25, 10, 2, 16 and 4, through Cicero, Lyons, Justice Park, Argo, Palos Park, Kankakee, Gilman, Onarga, Paxton, Rantoul, Urbana, Champaign, Monticello, Decatur, Pana, Hillsboro, Litchfield, Mt. Olive, Staunton, Edwardsville, Granite City, Madison and Venice, with certain restrictions as to transportation of local traffic between various intermediate points. Petitions for rehearing were filed by the Illinois Traction, Inc., the Pierce-Arrow Motor Coach Company, the Nokomis Bus Line, Inc., the Illinois Central Railroad Company and the Wabash Railroad Company, interested public utilities. The petitions were denied, and appeals were taken by the Illinois Traction, Inc., the Nokomis Bus Line, Inc., the Wabash Railroad Company and the Illinois Central Railroad Company to the circuit court of Macon county, in which the appeals were consolidated by agreement. The circuit court set aside the order, and the National Roadway Lines, Inc., appealed.

The ability of the corporation to furnish adequate and satisfactory service is a question essential to be determined upon every application for a certificate of convenience and necessity. (Roy v. Commerce Com. 322 Ill. 452.) The finding of the commission in this respect was, that appellant was a corporation organized under the laws of Illinois as a common carrier for the transportation, by motor busses, of persons and property for hire; that its officers and those interested in the managerial part of its business were men with several years’ actual experience in the operation of public utilities engaged in rendering a kind of service similar to that which it proposed to render; that its officers and managers are substantially the same as the offir cers and managers of the Illinois Roadway Lines, Inc., an Illinois corporation, which for several years has been engaged in the operation of motor busses for the transportation of persons and property for hire between the cities of Chicago and Kankakee, Kankakee and Joliet, Kankakee and Dwight, Kankakee and Danville, Kankakee and the village of Grant Park, between the cities of Chicago Heights and Blue Island, all in Illinois, and for four years had successfully engaged in the operation of motor busses rendering a satisfactory service to the public which in all respects is similar to the service proposed to be rendered by the appellant. The commission found that before entering upon the operation of motor busses as authorized by the order, . the appellant be required to file with the commission a ■ sworn statement of its ability to pay all damages which might result from any and all accidents due to the negligent use or operation of each and every motor vehicle operated by it, or file with the commission security, indemnity or a bond guaranteeing the payment by it of all such damages or insuring to a reasonable amount its liability to pay such damages, and the order of the commission was conditioned upon compliance with such requirements. No finding was made by the commission concerning the financial ability of the appellant, to perform the service for which it sought authority, and, indeed, there was no evidence, if it were the province of this court to examine the evidence in the absence of a finding by the commission, upon which a finding could have been made as to the financial ability of appellant to justify the order. The authorized capital of the appellant was only $14,000, which had been paid in. Its assets were $12,000. It will require $150,000 or more to furnish the service authorized by the order. The incorporators and directors are men of good financial standing, the president being worth approximately $500,000, the treasurer approximately $100,000, the secretary approximately $20,000, Emanuel Lassers, a director, approximately $75,000, Nathan Seifer, a director, approximately $500,000, and I. A. Lassers, a director, approximately $1,000,000. The officers and directors are brothers and brothers-in-law, except Robert Scholes, the vice-president. Henry Lassers, the treasurer, testified that if the certificate should be granted the company would increase its capital to perhaps $150,000, and that in case more than $150,000 was necessary he knew the officers or stockholders would be willing to increase the capital stock to whatever amount above $150,000 was necessary. The attorney for the appellant stated, during the progress of the hearing: “Now, we have offered oral proof here of our financial ability. If any one of the objectors here wants contracts as to what the stockholders of this company will put into the company in the event a certificate is granted, we are only too glad to produce these binding contracts.” No other evidence was presented on the subject. The contracts were not produced. Whether they were such as could have been enforced by the commission does not appear. Whether the appellant would enforce them in the event its officers and stockholders should change their minds does not appear. The evidence showed, within the jurisdiction of the commission, merely a corporation whose total assets were $12,-000, whom it authorized to perform a service which would require assets of $150,000.

The appellant presented no evidence showing a need of bus service between the cities of Chicago and East St. Louis, yet the order of the commission found that public convenience and necessity required such service. There was evidence on the part of appellees to show that the needs of the traveling public between Chicago and East St. Louis are well supplied. The Illinois Central, the Chicago and Alton- and the Wabash are now supplying complete service between the two cities. The only answer made by the appellant is that no service is being maintained between the two cities which follows the route of the authorized bus service. The. answer has no connection with the problem. The railroads' give quicker service than is in contemplation of the appel--/ lant, as shown by its proposed schedule. The route to be ■ followed by its busses is not materially shorter than that of any of the railroads. There is no evidence that the scenery along the proposed route is any more attractive or that there are any more points of especial interest than along another, which might give rise to a tourist demand that does not exist. There are eighteen trains daily in each direction between Chicago and St. Louis, and St. Louis is from a transportation point of view the same as East St. Louis, the distance being negligible and there being street car service between the two at intervals of ten minutes. There are also eleven busses in each direction between the two cities daily. The through traffic between-the two cities is well served. The order of the commission was therefore unreasonable in finding that public convenience and necessity required the additional through service/

By the order the appellant was authorized to do a through and local business between Chicago and Kankakee, excepting local business between Chicago and Justice Park. The communities between Justice Park and Kankakee are Palos Park, Orland, Frankfort, Bourbonnais and Bradley. Palos Park and Orland are served by the suburban trains of the Wabash, which operates ten trains a day in such service on a schedule which resulted from a conference with the various suburban communities in that territory.

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Bluebook (online)
167 N.E. 64, 335 Ill. 484, Counsel Stack Legal Research, https://law.counselstack.com/opinion/commerce-commission-ex-rel-national-roadway-lines-v-wabash-railroad-ill-1929.