Fleming v. Chicago Cartage Co.

160 F.2d 992, 1947 U.S. App. LEXIS 3298
CourtCourt of Appeals for the Seventh Circuit
DecidedMarch 27, 1947
DocketNo. 9044
StatusPublished
Cited by12 cases

This text of 160 F.2d 992 (Fleming v. Chicago Cartage Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Seventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fleming v. Chicago Cartage Co., 160 F.2d 992, 1947 U.S. App. LEXIS 3298 (7th Cir. 1947).

Opinion

SPARKS, Circuit Judge.

The Administrator of the Office of Price Administration appealed from a judgment for defendant, a motor vehicle carrier. The complaint sought treble damages for defendant’s alleged violations of the Emergency Price Control Act, 50 U.S.C.A.Appendix, § 901 et seq., and maximum price regulations issued thereunder. It further asked for injunctive relief. In this court the Temporary Controls Administrator was substituted as appellant.

It seems that plaintiff asserts control over defendant’s rates on the theory that they are not subj ect, to regulation by any state or regulatory body other than plaintiff. Defendant pleaded its exemption under Section 302(c) (2) of the Act, as a common carrier, and under Amendment 50 to Supplementary Price Regulation No. 11.

The cause was submitted upon a stipulation of facts, which, with the pleadings, were agreed to contain all the facts applicable to the issue of defendant’s liability. It was further agreed that if the court should find there was liability on the part of defendant, the court should subsequent[993]*993ly determine the amount of damages recoverable, if any, either upon evidence afterwards offered by the parties or upon a further agreed statement of facts. t

Appellee is in the business of transporting goods and merchandise for hire. It owns and operates about one hundred pieces of equipment, consisting of trucks, tractors and trailers, and serves about one thousand different persons, firms and corporations a year. Its services consist of three types known as “pick-up and delivery service for railroads,” “steady house service,” and “general hauling.” The court found that all of these services were rendered to the general public by appellee as a common carrier, and were specifically exempted by the Act from regulation thereunder. Hence, it held that the evidence failed to establish a cause of action, and entered judgment for the defendant without costs.

Appellee holds a certificate of public convenience and necessity issued in 1941, by the State of Illinois, classifying it as a local carrier under the provisions of the Illinois Truck Act, Ill.R.S. ch. 95½, sec. 240 et seq. Appellant seems to think that appellee relies upon this statute as one which regulates rates, when in fact it does not purport to regulate them. However, appellee makes no such contention, nor did the court make any such ruling. The theory of defendant’s answer, with respect to that statute, is that “defendant operates under a certificate of public convenience and necessity from the State of Illinois to transport commodities by motor vehicle for compensation for the public generally in interstate commerce within * * * (Illinois) at rates which are required by law to be non-discriminatory.” It is made quite clear that this requirement of nondiscriminatory rates is a duty imposed by common law, and not by statute, and was clearly so stated by the court and also by appellee in its answer and brief. Under this certificate defendant is authorized to perform for the general public the transportation of general commodities, structural steel and property of unusual length and width. For such transportation defendant charges rates in accordance with a tariff published by the Cartage Exchange of Chicago.

The Price Administrator’s Amendment 50 to Supplementary Regulation 11 does not restrict the exemption to common carriers required by statute to charge nondiscriminatory rates. Indeed, in a Statement of Consideration accompanying such amendment on May 25, 1944, he used the following language: “ * * * the exemption from the G.M.P.R. with respect to all services heretofore subject to temporary regulation depends on whether companies furnishing those services offer them to the general public at rates or charges which are required by statute, regulation or judicial decision to be nondiscriminatory.” (Our emphasis.) It is not denied that the common law and the judicial decisions of the highest courts of Illinois require such rates to be nondiscriminatory, and the stipulation abundantly supports the court’s finding that defendant’s services under this Illinois certificate were offered by defendant to the general public.

The defendant also holds a certificate of public convenience and necessity as a common carrier by motor vehicle of general. commodities in interstate commerce, issued September 20, 1943, by the Interstate Commerce Commission. It also has a tariff on file with the Commission for such transportation service.

The defendant is also licensed by the City of Chicago'to engage in the business of a public carter and to keep, use or employ for hire or reward within said city, automobiles, auto cars or similar motor vehicles used as public carts, subject to the ordinances of that city. The Public Carter’s Ordinance requires defendant to be licensed as - a public carter to engage in transporting merchandise within that city for hire. That ordinance further provides, under penalty of fine and revocation of license, that no public carter shall refuse to convey the merchandise of any person when applied to for that purpose, at a greater rate, than therein prescribed.

It is under the Federal and State certificates and the city license, above referred to, that defendant claims it is authorized to perform-all of its services in issue without interference from the Office of Price Administration.

[994]*994■ Under these authorizations ’ defendant furnishes transportation service dor railroads entering Chicago, referred to-in the stipulation as “pick-up and delivery service,” at uniform rates for all such railroads in accordance with a published tariff, established as a result of negotiations between them and the Cartage Exchange of Chicago. This service consists of picking up merchandise routed over such railroads, and delivering it to the ultimate consignee. Most of such transportation service is Interstate Commerce which is subject to regulation by the Commission.

Defendant also performs a transportation service, referred to in the stipulation as “steady house service,” in which defendant undertakes to perform a prescribed part of á shipper’s transportation at an agreed rate. These agreements provide that defendant will furnish necessary labor and vehicles to perform shippers transportation service, and to transport minimum amounts varying from 100,000 to five million pounds of freight per year and, subject to availability and loading capacity of defendant’s fleet of trucks, to transport such additional freight as may be tendered for shipment.

In the performance of such services, defendant assumes the common carriers’ liability of an insurer against loss or damage of whatever kind and nature caused to such goods entrusted to it.

Defendant also performs transportation service for shippers referred to in the stipulation as “general hauling,” which includes the delivery of general commodities for such shippers to and from railroads; and from one establishment to another. The rates or charges for such services are established by defendant under tariffs and also by individual agreement. This “general hauling service” was conceded by the Administrator to be common carrier service.

The defendant solicits all of its customers, as above described, through trade publications, direct mail advertisements, telephone books and personal contact with prospective shippers. These solicitations, with the various franchises above referred to, are relied upon by defendant as a complete holding out to serve the general public.

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Bluebook (online)
160 F.2d 992, 1947 U.S. App. LEXIS 3298, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fleming-v-chicago-cartage-co-ca7-1947.