Miller v. Have-A-Portion, Inc. (In re Total Transportation, Inc.)

157 B.R. 437, 1993 Bankr. LEXIS 1201
CourtDistrict Court, D. Minnesota
DecidedAugust 17, 1993
DocketBankruptcy No. 4-85-1909; Adv. No. 4-87-259
StatusPublished

This text of 157 B.R. 437 (Miller v. Have-A-Portion, Inc. (In re Total Transportation, Inc.)) is published on Counsel Stack Legal Research, covering District Court, D. Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Miller v. Have-A-Portion, Inc. (In re Total Transportation, Inc.), 157 B.R. 437, 1993 Bankr. LEXIS 1201 (mnd 1993).

Opinion

ORDER GRANTING MOTION FOR SUMMARY JUDGMENT AND ORDER FOR JUDGMENT

NANCY C. DREHER, Bankruptcy Judge.

At Minneapolis, Minnesota, August 17, 1993.

UNDISPUTED FACTS

1. Total Transportation, Inc. (“TTI”) was a motor common carrier operating in interstate commerce pursuant to a certificate issued by the Interstate Commerce Commission (“ICC”).

2. Have-A-Portion, Inc. (“HAP”) was incorporated as a Minnesota corporation on July 29, 1974. All reference herein to Have-A-Portion or HAP refer solely to such entity, and do not refer to the entity formerly known as Osborn Acquisitions, Inc., which was incorporated on December 21, 1986, and subsequently purchased the assets of HAP and the trade name “Have-A-Portion, Inc.”

3. Thomas F. Miller (“Miller”) is the trustee for the bankruptcy estate of TTI.

4. Commencing on or about August 12, 1982, and ending on or about August 27, 1983, HAP utilized the services of TTI to transport 58 truckload shipments of sugar from Sugarland, Texas to Roseville, Minnesota.

[439]*4395. TTI originally billed HAP a flat rate of $800.00 per shipment. This rate was not based on any tariff which TTI maintained on file with the ICC.

6. Eleven shipments moved prior to November 3, 1982. For these shipments the applicable rate is 140 cents per mile as set forth in tariff ICC TOLT 201, Item 3000-C.

7. Forty-seven shipments moved on or after November 3, 1982. For these shipments the applicable rate is 140 cents per mile as set forth in tariff ICC TOLT 201-A, Item 2100.

8. Tariffs ICC TOLT 201 and ICC TOLT 201-A are governed by tariff ICC HGB 100 for calculation of distances. Application of that tariff indicates the distance from Sug-arland, Texas to Roseville, Minnesota is 1,166 miles.

9. The gross charge for each of the 58 shipments is $1,632.40 based upon tariffs ICC TOLT 201 and ICC TOLT 201-A which were then on file with the ICC.

10. The difference between the tariff charges for the 58 shipments and the charges previously paid by HAP to TTI is $48,279.20.

11. The involuntary petition commencing this bankruptcy case was filed on September 20, 1985.

12. The present adversary proceeding was commenced on September 18,1987. In his complaint, Miller seeks to recover “undercharges” from HAP, i.e., the difference between the amount due under the tariff rates and the amounts that TTI actually billed HAP. HAP filed an answer asserting that the trustee’s attempts to collect the tariff rate when TTI negotiated a lower rate was inequitable and constituted an “unreasonable practice.”

13. I initially granted summary judgment in favor of Miller on April 25,1989. I concluded that HAP’s unreasonable practice defense could not defeat Miller’s action to collect undercharges because the so-called “filed rate doctrine” required TTI to charge the tariff rates.

14. My order granting summary judgment was reversed by the District Court, which held that the filed rate doctrine is subject to equitable defenses such as HAP’s unreasonable practice defense, and that the validity of such defenses should be determined by the ICC.

15. Accordingly, the case was remanded to this court, and referred to the ICC on September 13, 1989 for resolution of HAP’s unreasonable practice defense.

16. While the case was pending before the ICC, the United States Supreme Court held in Maislin Industries, U.S., Inc. v. Primary Steel, Inc., 497 U.S. 116, 133, 110 S.Ct. 2759, 2769, 111 L.Ed.2d 94 (1990), that the unreasonable practice defense could not frustrate application of the filed rate doctrine. However, Maislin expressly left open the question whether a carrier could be denied the tariff rates based on the argument that such rates were unreasonable.

17. After Maislin, HAP failed to pursue its unreasonable practice claim before the ICC, and it also failed to raise any claim based upon the unreasonable rate theory alluded to in Maislin. Miller then brought a motion in this case to withdraw the referral to the ICC, and grant summary judgment based on HAP’s inaction.

18. On September 4, 1991, I denied Miller’s motion, but I instructed HAP to initiate the appropriate proceedings before the ICC within 10 days of the date of my order.

19. The matter has now been submitted to the ICC for well in excess of a year, but the ICC apparently will not render any decision in rate unreasonableness cases before January of 1994.

DISCUSSION

Miller now moves for summary judgment arguing that he is entitled to judgment as a matter of law based on the United States Supreme Court’s recent decision in Reiter v. Cooper, — U.S. -, 113 S.Ct. 1213, 122 L.Ed.2d 604 (1993). Miller further asserts that judgment should be entered on his undercharge claim immediately, without waiting for the ICC to resolve HAP’s claim of rate unreasonableness. Miller argues that the bankruptcy [440]*440estate is being prejudiced by the ICC’s recalcitrance in resolving the rate unreasonableness claim. HAP’s only response to Miller’s motion is that immediate entry of judgment is not authorized under Reiter and should be stayed until resolution of the rate unreasonableness claim before the ICC. Although the parties initially disputed the proper rate of prejudgment interest and the date from which such interest should accrue, HAP has withdrawn its opposition to applying an interest rate of 9.633 percent per annum running from the date the shipments were delivered.

Federal Rule of Civil Procedure 56(c), as incorporated by Bankruptcy Rule 7056, provides:

The judgment sought shall be rendered forthwith if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to any material fact and that the moving party is entitled to judgment as a matter of law.

Fed.R.Civ.P. 56(c). The moving party on summary judgment bears the initial burden of showing that there is an absence of evidence to support the non-moving party’s case. Celotex Corp. v. Catrett, 477 U.S. 317, 326, 106 S.Ct. 2548, 2554, 91 L.Ed.2d 265 (1986). The burden then shifts to the non-moving party to produce evidence that would support a finding in its favor. Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 250-52, 106 S.Ct. 2505, 2511-12, 91 L.Ed.2d 202 (1986). This responsive evidence must be probative, and must “do more than simply show that there is some metaphysical doubt as to the material fact.” Matsushita Electric Industrial Co. v. Zenith Radio Corp., 475 U.S. 574, 586, 106 S.Ct. 1348, 1356, 89 L.Ed.2d 538 (1986).

Miller has met his initial burden and HAP has offered nothing to establish that Miller is not entitled to recover under the filed rate doctrine. 49 U.S.C.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Anderson v. Liberty Lobby, Inc.
477 U.S. 242 (Supreme Court, 1986)
Reiter v. Cooper
507 U.S. 258 (Supreme Court, 1993)

Cite This Page — Counsel Stack

Bluebook (online)
157 B.R. 437, 1993 Bankr. LEXIS 1201, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miller-v-have-a-portion-inc-in-re-total-transportation-inc-mnd-1993.