CONSOLIDATED FREIGHTWAYS CORP., ETC. v. Kassel

475 F. Supp. 544, 1979 U.S. Dist. LEXIS 10355
CourtDistrict Court, S.D. Iowa
DecidedAugust 16, 1979
DocketCiv. 78-179-1
StatusPublished
Cited by11 cases

This text of 475 F. Supp. 544 (CONSOLIDATED FREIGHTWAYS CORP., ETC. v. Kassel) is published on Counsel Stack Legal Research, covering District Court, S.D. Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
CONSOLIDATED FREIGHTWAYS CORP., ETC. v. Kassel, 475 F. Supp. 544, 1979 U.S. Dist. LEXIS 10355 (S.D. Iowa 1979).

Opinion

MEMORANDUM OPINION AND ORDER.

STUART, Chief Judge.

This is an action for declaratory and injunctive relief brought by Consolidated Freightways Corporation of Delaware (CF). It seeks to have Section 321.457(6) of the Iowa Code, which limits a combination of three vehicles coupled together to 60 feet, declared to be an unconstitutional burden on interstate commerce. It also alleges that certain exceptions to that limitation found in the statutes, departmental regulations, and permit and enforcement practices unconstitutionally discriminate against interstate commerce. The defendants are various responsible state officials. The Motor Club of Iowa, an affiliate of the American Automobile Association, was given permission to intervene on behalf of the defendants.

The relief requested is directed toward and limited to “Interstate Highways 80, 35, 280, 380, 29, 680 or 235, access routes to and from plaintiffs terminals, and reasonable access from said Interstate Highways to facilities for food, fuel, repairs or rest”. The limitation of the issues to the Iowa Interstate System and reasonable access thereto has an important bearing on the Court’s decision.

The trial lasted 14 days. The oral testimony was supplemented by a large number of depositions and hundreds of exhibits. It would unduly extend this opinion to review the evidence. The Court will state the findings of fact in narrative form as ultimate facts.

General Background

CF is one of the country’s largest general commodity carriers. General commodity carriers usually transport small individual shipments between two points on its route structure. They deliver freight to destinations beyond their authority by interlining or interchanging with other general commodity carriers. They are obligated to provide timely, complete service under published rates to the public without discrimination. The basic pattern for the movement of LTL (less than a load) shipments is as follows: (1) pick up from the shipper; (2) consolidate with other shipments moving in the same direction at the originating terminal; (3) dispatch of the consolidated trailer load to a “break bulk” or reconsolidation terminal; (4) unload at the break bulk terminal and reconsolidate shipments from different points of origin moving to the same destination terminal; (5) dispatch the re-consolidated trailer load over-the-road to the destination area terminal; (6) unload the over-the-road trailer and reconsolidate shipments for logical local delivery service; and (7) deliver to the consignee. “Cross-dock” or break bulk handling creates delays, adds costs and exposes the freight to loss or damage. For efficient and economical operation it should be kept to a minimum.

CF operates in 46 states and has a complex system of routes, terminals and mainline driver relay stations. Computers are utilized to improve its efficiency and service. It has an intensive safety program including driver’s qualification tests, safety meetings, periodic equipment inspections, *547 driver’s reports, patrolling safety supervisors, and accident investigations.

CF’s standard combination of units for transcontinental movement of freight is a sixty-five foot twin which consists of a tractor, two 27 or 28 foot trailers and a dolly to connect the trailers. It also uses fifty-five foot semi-trailers, particularly in the areas of the country where twin trailers are prohibited. For Iowa use, it couples a 22 foot trailer with a 27 or 28 foot trailer. Although twins can carry more freight, CF is able to reduce the cross-dock handling by using two smaller trailers rather than one large one. Hereinafter reference to “twins” or “double bottoms” will mean a 65 foot combination of units. When the reference is to a double bottom of a different length, the length will be stated. “Semi” will be used to refer to a 55 foot combination of a tractor and one trailer. 1

We are concerned here with CF’s route that originates in the industrial east and distributes the products manufactured there at various locations west of Iowa and CF’s route that originates in the Twin City area in Minnesota and distributes the freight south or west of Iowa. Of course, we are also concerned with the return trips.

Interstate 80 (1-80) which crosses Iowa, is a principal east/west transcontinental route. Twins are lawful its entire length except for Iowa, Pennsylvania and New Jersey. Interstate 35 (1-35) is a principal north/south route. Twins are lawful in all states it passes through except Iowa. CF generally uses twins on these routes, consequently, it must divert its trucks off of these interstates around Iowa. This diversion, caused by Iowa’s restriction, generated this lawsuit.

Impact on Interstate Commerce

The diversion of twins around Iowa results in longer trips for those carriers that use twins. CF also diverts many of its semis around Iowa. This operational decision was made so that its driver relay system could function more efficiently. These added miles add to the cost of operation, 2 cause greater fuel consumption, increase the number of miles of highway that are subjected to wear and result in more accidents, injuries and fatalities. In the Court’s opinion these undisputed facts create a substantial impact on interstate commerce. Raymond Motor Transportation, Inc. v. Rice, 434 U.S. 429, 445, 98 S.Ct. 787, 54 L.Ed.2d 664 (1978).

The question is whether this impact, under the facts and circumstances shown by the evidence in the case, creates an unconstitutional burden on interstate commerce.

Burden on Interstate Commerce

The Commerce Clause of the United States Constitution prevents states from erecting barriers to the free flow of interstate commerce. However, state legislation designed to serve legitimate state interests that is applied without discriminating against interstate commerce, does not violate the Commerce Clause even though it affects interstate commerce. When legiti *548 mate local concerns overlap national interests represented by the Commerce Clause, and Congress has not acted, the Court must consider the weight and nature of the state regulatory concern in the light of the extent of the burden imposed on interstate commerce. Raymond Motor Transportation, Inc. v. Rice, 434 U.S. 429, 440-441, 98 S.Ct. 787, 54 L.Ed.2d 664 (and citations) (1978); Pike v. Bruce Church, Inc., 397 U.S. 137, 142, 90 S.Ct. 844, 25 L.Ed.2d 174 (1970); Bibb v. Navajo Freight Lines, 359 U.S. 520, 528-29, 79 S.Ct. 962, 3 L.Ed.2d 1003 (1959).

When the legitimate local concern is highway safety, the Courts have given great deference to state regulations. Southern Pacific Co. v. Arizona, 325 U.S. 761, 783, 65 S.Ct.

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Related

Hearst Corp. v. Iowa Department of Revenue & Finance
461 N.W.2d 295 (Supreme Court of Iowa, 1990)
Consolidated Freightways Corp. of Delaware v. Kassel
730 F.2d 1139 (Eighth Circuit, 1984)
CONSOL. FREIGHTWAYS CORP. OF DELAWARE v. Kassel
556 F. Supp. 740 (S.D. Iowa, 1983)
American Trucking Associations, Inc. v. Larson
515 F. Supp. 1327 (M.D. Pennsylvania, 1981)
Kassel v. Consolidated Freightways Corp. of Del.
450 U.S. 662 (Supreme Court, 1981)
Consolidated Freightways Corp. v. Kassel
612 F.2d 1064 (Eighth Circuit, 1979)

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Bluebook (online)
475 F. Supp. 544, 1979 U.S. Dist. LEXIS 10355, Counsel Stack Legal Research, https://law.counselstack.com/opinion/consolidated-freightways-corp-etc-v-kassel-iasd-1979.