Purolator Courier Corp. v. Clemons Courier Corp.

374 S.E.2d 42, 236 Va. 394, 5 Va. Law Rep. 1008, 1988 Va. LEXIS 159
CourtSupreme Court of Virginia
DecidedNovember 18, 1988
DocketRecord 880027
StatusPublished
Cited by5 cases

This text of 374 S.E.2d 42 (Purolator Courier Corp. v. Clemons Courier Corp.) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Purolator Courier Corp. v. Clemons Courier Corp., 374 S.E.2d 42, 236 Va. 394, 5 Va. Law Rep. 1008, 1988 Va. LEXIS 159 (Va. 1988).

Opinions

RUSSELL, J.,

delivered the opinion of the Court.

The State Corporation Commission (SCC), on September 8, 1987, entered a final order granting a certificate of public convenience and necessity to Clemons Courier Corporation, Inc. (Clemons) as a restricted parcel carrier, over the protest of Purolator Courier Corporation of Virginia (Purolator).1 Purolator appeals.

Clemons had previously been operating as a contract carrier under a certificate of public convenience and necessity issued in 1985. Its principal source of business was a contract with the Virginia Department of Social Services to deliver data-processing material to that agency’s 150 offices throughout the Commonwealth. Clemons’ evidence showed that its vehicles visited each county and city within Virginia at least once in every business day and that it was able to provide daily parcel service to all points in the state.

As a contract carrier, Clemons was subject to Code § 56-289, which provides: “A contract carrier of property may not transport on any one motor vehicle over any highway of this State, outside of the corporate limits of any city or town, property of more than two consignors at the same time . . . .” Clemons took the position that it had “excess capacity” on the trucks it used to serve its contract customers, that its routes brought those trucks near all points in the state at some time during each business day, and that it might profitably use that excess capacity to expand its operations into restricted parcel service, if permitted to do so.

As a restricted parcel carrier (RPC), Clemons would be required to transport parcels meeting certain statutory criteria, for any customer, without discrimination, based upon published tariffs, to and from any point in Virginia. When acting as an RPC, Clemons would not be subject to the “two consignor rule.” This, Clemons contended, would serve the public interest by providing needed additional parcel service, promoting competition, and reducing costs to the people of all parts of the state.

[397]*397The SCC made findings which agreed with Clemons’ contention in ordering issuance of the certificate. Purolator challenges those findings on appeal, questioning whether Clemons’ equipment, resources, management, financial stability, and proposed method of operations are sufficient to provide efficient, economical, and nondiscriminatory restricted parcel service throughout the state. The findings of fact made by the SCC, however, are binding upon appeal unless they are contrary to the evidence, lack evidence to support them, or are based upon erroneous principles of law. Blanton’s Delivery v. Pony Express, 219 Va. 280, 283, 247 S.E.2d 397, 398 (1978); Bralley-Willett v. Holtzman Oil, 216 Va. 888, 891, 223 S.E.2d 892, 895 (1976).

In the present case, the only evidence adduced before the SCC was that offered by Clemons. It included the oral testimony of 14 witnesses, extensive responses to discovery, and additional documentary evidence. The protestants offered no evidence at all, but the cross-examination of Clemons’ witnesses was so extensive that the transcript of oral testimony is 1,248 pages in length. All the SCC’s findings are based on some supporting evidence and none are contrary to the evidence. Consequently, our consideration is limited to the question whether the SCC’s findings are based on erroneous principles of law.

Purolator argues that contract carriers are bound by the “two consignors” rule of Code § 56-289, whereas RPC’s are prohibited by Code § 56-338.67 from transporting “property for compensation on any highway in this State except in accordance with the provisions of this chapter” (Chapter 12.5 of Title 56, Code of Virginia, 1950, as amended, captioned “Restricted Parcel Carriers”). Thus, Purolator argues, the two classifications, contract carriers and RPCs, are mutually exclusive. Purolator contends that the statutory scheme evidences a clear legislative purpose to separate these two authorized species of motor carriers in such a way that no carrier may, by using the same vehicle, act as a contract carrier and an RPC at the same time. If that is correct, the legislative scheme would prevent the very method of operation the SCC has expressly authorized Clemons to adopt: the commingling of contract carrier consignments and RPC consignments on a single vehicle. This contention brings us to an examination of those chapters of Title 56, Code of Virginia, 1950, as amended (captioned “Public Service Companies”), which affect motor vehicle carriers.

[398]*398Chapter 12 of Title 56, captioned “Motor Vehicle Carriers Generally,” defines as “motor carrier [s]” all “common carrier [s] by motor vehicle,” all “restricted common carrier [s] by motor vehicle,” and all “contract carrier[s] by motor vehicle.” See Code § 56-273(h). All “motor carriers,” except for certain exemptions not pertinent here, are subject to the control, regulation, and supervision of the SCC. Code § 56-275. Chapter 12 includes articles dealing specifically with specialized motor carriers, e.g., motor carriers operated by railroad or express companies, (Art. 2.1), contract carriers (Art. 3), and taxicabs (Art. 4.1). Motor buses and common carriers of motor freight are also generally controlled by the provisions of Chapter 12.

A “contract carrier” is defined as any person who is not a common carrier or a restricted parcel carrier, who transports property by motor vehicle for compensation “under special and individual contracts or agreements.” Code § 56-273(f). Contract carriers are free of the requirements imposed on common carriers relating to non-discriminatory area-wide service and regulated published tariffs, but they are subjected to the “two-consignor” limitation of Code § 56-289, mentioned above. The first provisions concerning contract carriers were enacted in 1936. Acts 1936, c. 129.

Appended to Chapter 12 are subchapters providing for the regulation of other specialized motor carriers for which the General Assembly has provided in later years, e.g., Household Goods Carriers (c. 12.1, 1948), Petroleum Tank Truck Carriers (c. 12.2, 1952), Sight Seeing Carriers (c. 12.3, 1956), Special or Charter Party Carriers (c. 12.4, 1960), Restricted Parcel Carriers (c. 12.5, 1970), and Carriers by Motor Launch (c. 12.7, 1983). Each of these successive enactments carves out a limited area of less stringent regulation for businesses which engage in a specialized form of motor transportation for compensation, not requiring the degree of regulation imposed on common carriers generally, As a quid pro quo, these specialized carriers are confined to certain business limitations.2

[399]*399An RPC, for example, is defined as one:

who or which undertakes to engage exclusively in the transportation for compensation of parcels, packages and articles not in a package, subject to the following restrictions and conditions:
(1) No parcel, package or article shall exceed 70 pounds in weight or 108 inches in length and girth combined;
(2) Each parcel . . . shall be considered as a separate and distinct shipment;
(4) Service shall.

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674 S.E.2d 545 (Court of Appeals of Virginia, 2009)
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652 S.E.2d 151 (Court of Appeals of Virginia, 2007)
Purolator Courier Corp. v. Clemons Courier Corp.
374 S.E.2d 42 (Supreme Court of Virginia, 1988)

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Bluebook (online)
374 S.E.2d 42, 236 Va. 394, 5 Va. Law Rep. 1008, 1988 Va. LEXIS 159, Counsel Stack Legal Research, https://law.counselstack.com/opinion/purolator-courier-corp-v-clemons-courier-corp-va-1988.