Louisville & Nashville Railroad v. United States

282 U.S. 740, 51 S. Ct. 297, 75 L. Ed. 672, 1931 U.S. LEXIS 864
CourtSupreme Court of the United States
DecidedFebruary 25, 1931
Docket333
StatusPublished
Cited by102 cases

This text of 282 U.S. 740 (Louisville & Nashville Railroad v. United States) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Louisville & Nashville Railroad v. United States, 282 U.S. 740, 51 S. Ct. 297, 75 L. Ed. 672, 1931 U.S. LEXIS 864 (1931).

Opinion

Mr. Chief Justice Hughes

delivered the opinion of the Court.

This is an appeal from a decree of the District Court, constituted as required by statute, dismissing the petition of the appellants to set aside, in part, two orders of the Interstate Commerce Commission, which were made on November 4, 1929, and July 30, 1929, respectively.

The first mentioned order was made in a proceeding instituted by the;. Commission in December, 1925, on its own motion, for an investigation concerning the use of private passengér-train cars, including so-called office cars. A questionnaire was_ sent to all Óiass .1 and Class II carriers, and to switching and terminal carriers, calling for information as to private passenger-train cars owned, leased or operated, the movement or use of such cars as were transported free or at less than tariff rates on home and foreign lines, and the occupants of such cars on respective trips.” Returns were made by 387 carriers covering the calendar, years 1923, 1924 and 1925. In July, 1928; a proposed report was served upon appellants and *742 all other carriers. Exceptions were filed by the Association of Railway Executives on behalf of its members, including the appellants; argument was heard and the matter submitted to the Commission. Its report was issued on June 21, 1929, setting forth the Commission’s findings and conclusions. 155 I. C. C. 775. After waiver by the carriers of further hearing before the Commission, the order in question was entered requiring the carriers named, including these appellants, “to cease and desist, on or before January 15, 1930, and thereafter to abstain, from the transportation or movement of private passenger train cars, including so-called office cars, of another carrier free or at other than published tariff rates.”

The other order of the Commission under attack, that is, the order of July 30, 1929, amended the Commission’s regulations, governing the form and recording of passes, by the insertion of the following: “A car pass may be issued only for cars owned by the issuing carrier or held by it under lease for use in its business as a common carrier. It may not be issued for other cars. This provision is not to be construed as prohibiting the issuance of passes for cars of lines operated as a part of the same system. See In the Matter of Private Passenger Train Cars, 155 I. C. C. 775.”

The case was tried in the District Court on the facts detailed in the report of the Commission as to the practices of the carriers, and as to these facts there was no dispute. The court concluded that the practice condemned by the Commission was a matter within its jurisdiction, and that, the order being supported by substantial evidence, the court was without power to interfere.

The evidence before the Commission consisted of the returns of the carriers to its questionnaire. These returns contained a vast amount of statistical data, differing in details but practically the same in substance, which were reviewed and tabulated in the Commission’s report. The Commission found, in substance, that carriers transported *743 free of charge the private, or office, cars 1 of other carriers when occupied by persons for whose transportation it was lawful to issue a pass; that carriers also provided acces-sorial transportation of such cars free of charge when they were moved “ deadhead to stations where they were to be occupied, or to their home stations after occupancy, and also in switching and storing the cars. The wide extent of the practice and the abuses attending it were shown. 2 The Commission referred to the proposal of the *744 carriers to undertake the correction of such abuses, and stated that the Commission was concerned primarily with the legality of the free transportation of the private cars of other carriers.

With respect to the transportation of privately owned cars, that is, of cars owned by others than carriers, or of cars chartered for the exclusive use of special parties, the Commission found that such cars were transported in past- *745 senger trains under tariffs which provided for certain minimum revenues, 3 and that these charges were intended to cover the service of transporting the cars, that is, “to *746 compensate for the movement of the car rather than its' contents.” 4 The Commission concluded that' the transportation of the private cars of other carriers free, or at less than published rates, while making charges for the movement of privately owned or chartered cars, was unjustly discriminatory.

Treating the private, or office, cars of other carriers as property, to which, the provisions of the Interstate Commerce Act applied, and considering that the free transportation, of property was lawful only in the exceptions provided in section 22 of the Interstate Commerce Act, the Commission concluded that the transportation of such cars free, or at other than published tariff rates, was a violation of the Act. The Commission pointed out that its finding does not extend to the point of saying that it is' unlawful for private cars of one carrier to be transported over the lines of other carriers, but is confined to the assertion that under existing law the transportation of private cars on foreign lines should be paid for through the assessment of a just and reasonable charge.” 155 I. C. C. p. 793.

The conclusions of the Commission were thus summarized in its order of November 4, 1929:

“ 1. That the transportation or movement of private passenger cars, including so-called office cars, of one car *747 rier subject to the Interstate Commerce Act by another such carrier free or at other than published tariff rates is contrary to the provisions of the Interstate Commerce Act;
“ 2. That it is unjustly discriminatory and unduly preferential and prejudicial to haul such private cars of other carriers free, or at less than published tariff rates, while charging certain minimum fares and revenues for the movement of privately owned or chartered cars; and
“ 3. That the transportation of persons in such private passenger cars, including berth and other accommodations, at the rate charged passengers provided only with ordinary coach accommodations is unjustly discriminatory and unduly preferential and prejudicial.”

Appellants state that they are not attacking the third of these propositions; that is, there is no effort in this suit to set aside that part of the Commission’s order which relates to the transporting of revenue passengers in business cars at the rate charged passengers holding tickets which are good only in the coach. The appellants say that it is the purpose of the carriers to remove this discrimination in some satisfactory way.

The first two propositions are those in controversy.

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Bluebook (online)
282 U.S. 740, 51 S. Ct. 297, 75 L. Ed. 672, 1931 U.S. LEXIS 864, Counsel Stack Legal Research, https://law.counselstack.com/opinion/louisville-nashville-railroad-v-united-states-scotus-1931.