Schreiber Express, Inc. v. Mayo

338 So. 2d 21, 1976 Fla. LEXIS 4512
CourtSupreme Court of Florida
DecidedJuly 21, 1976
DocketNo. 48303
StatusPublished

This text of 338 So. 2d 21 (Schreiber Express, Inc. v. Mayo) is published on Counsel Stack Legal Research, covering Supreme Court of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Schreiber Express, Inc. v. Mayo, 338 So. 2d 21, 1976 Fla. LEXIS 4512 (Fla. 1976).

Opinion

DREW, Justice (Ret.).

Following sixteen months of investigation, the Public Service Commission (hereinafter referred to as the Commission) entered an order which eventually resulted in the final order here for review, a portion of which is as follows:

“The information compiled during the past 16 months, and which is set forth hereinafter, shows an astounding disregard for the imperatives of Chapter 323, Florida Statutes, and Chapter 25-5, Florida Administrative Code. Schreiber has operated at the pleasure and convenience of Schreiber. Lack of authority or certificate restrictions leave the carrier undaunted. Time has fostered no familiarity with the scope of its authority.”

The hearing examiner found petitioner Schreiber guilty of 164 territorial violations of its certified authority and fined it $3,500; found it guilty of failure to operate on approved schedules and fined it $1,500; found it guilty of failure to register interstate operations and fined it $1,000; and, found it guilty of failure to perform under its certificate and fined it $1,000, to be suspended if it “discontinue[d] all use of agent companies within ninety days.”

On consideration of the examiner’s report and exceptions filed thereto and after argument, the Commission, on August 4, 1975, concluded the matter by the entry of its order, the material portions of which are:

“Twenty-seven of the territorial violations involve transportation between Pal-atka and Orlando. Schreiber interprets its certificate so as to authorize it to serve Palatka on the one hand and Orlando on the other, but not intermediate points. Such an interpretation is, however, contrary to the plain language of the certificate, and to the findings contained in Order No. 11260, Docket No. 72351 — CCT, wherein Respondent was similarly cited for transportation of freight between Palatka and Orlando.
“Respondent’s certificate authorizes transportation south of State Highway 686, in Pinellas County, excluding Largo. Thus, both Largo and Clearwater are outside Schreiber’s authorized territory. However, 76 instances were found where Schreiber transported freight to or from Largo and Clearwater. It does not deny making these shipments, but contends they are within the ‘commercial zone’ of Tampa, which it is authorized to serve. This argument must be rejected since the certificate specifically grants authority to serve only that portion of Pinellas County south of Higway 686. Thus, points north of this highway are excluded regardless of ‘commercial zone’ considerations.
“Bills of Lading also revealed 20 shipments involving transportation between Hillsborough, Pinellas or Polk County on one hand, and Dade or Broward County on the other. Schreiber has no authority to provide this transportation. The final 41 territorial violations involve various points which Schreiber is not authorized to serve, but which were demonstrated to have occurred by Bills of Lading and arrests (Show Cause Order 11466, §§ A4, G3 and G7).
“Schreiber is charged with failure to operate approved schedules as required by Commission Rules 25-5.19, .20. Records reveal some 167 missed schedules [23]*23(of a possible 410) on seven routes during the last five months of 1972. Schreiber does not deny these violations, but contends there is no evidence of service degredation. This argument might warrant consideration were the violations few in number. Here, however, Respondent has wilfully disregarded Commission rules and its own published schedules.
“Schreiber has no certificate of registration of any interstate authority on file with this Commission, as required by §§ 323.03, .28, F.S. It is charged with making 29 interstate shipments during the last three months of 1972. Schreiber first contends such shipments, having pick-up and delivery points in Florida, are not necessarily ‘interstate’ in character. This argument must be rejected since the Bills of Lading (from Respondent’s own files) in all instances show an origin or destination outside the state. Schreiber next contends such shipments, even if interstate, are exempt from ICC certification as being within the ‘terminal area’ of the air carriers. Even if this is true, Schreiber must obtain a certificate of registration from this Commission pursuant to § 323.28(2), F.S. Since it has not done so, all such transportation is illegal.
“Respondent is charged with allowing six agent transportation companies to operate so independently as to constitute an unauthorized lease of operating authority. The Commission staff produced witnesses representing three of the six agent companies. Their testimony established that Schreiber delegates all responsibility for operations to locate agents, except the handling of insurance and processing of claims. The agent companies typically pick-up and deliver freight in their terminal areas and arrange for owner-operators to perform line-haul transportation using Schreiber trailers and/or placards. It was demonstrated that Schreiber had relinquished substantially all control over these agents, thus violating Commission Rule 25-5.22 (requiring transportation to be performed by the certificate holder). Since many of the practices engaged in by Schreiber (cartage agents, owner-operators, etc.) have been approved or tolerated by this Commission in the past, the assessed penalty should be suspended on condition that present methods of operation be discontinued.
“Respondent is charged with making ‘material misrepresentations’ in violation of Commission Rule 25-5.07. Such representations allegedly involve Schreiber’s agreement to centrally locate its records within Florida. This requirement was the subject of an earlier show cause proceeding (Docket No. 72144-CCT, Order 11261, March 6, 1974) and is apparently still not fully accomplished. However, the staff presented no evidence from which it can be determined what Schreiber’s original representations were or the degree of compliance achieved (See TR 66-68). Thus, there can be no finding that material misrepresentations were made within the meaning of Commission Rule 25-5.07.
“No evidence was introduced as to Section F of Show Cause Order 11466, pertaining to standards of service. Likewise, no evidence was presented on 32 of the 196 alleged territorial violations (§ Al; last two § A3; all page 10, § A6, §§ Gl, 2, 4, 5, 6, 8, 9, 10). These charges are, therefore, considered to be withdrawn.
“The preceding findings of fact and conclusions are taken verbatim from the Examiner’s Findings of Fact and Conclusions. The Commission adopts these findings and conclusions as its own. Respondent’s exceptions to the Examiner’s report raise no issues or arguments not covered in its Memorandum of Law which the Examiner required be filed by the Commission and Respondent before he made his report.
“Our only departure from the Examiner’s recommendation comes in assessing a proper penalty. The Examiner assessed lump sum penalties, $3500, $1500, $1000 and $1000, with the latter $1000 being suspended on condition that it discontinue all use of agent companies within 90 days. Due to the large number of terri[24]*24torial violations, we feel that these should bear the brunt of the penalty. We conclude that a fine of $100 for each of the 164 certificate and territorial violations will be a sufficient penalty for past violations and at the same time will deter future violation.

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Bluebook (online)
338 So. 2d 21, 1976 Fla. LEXIS 4512, Counsel Stack Legal Research, https://law.counselstack.com/opinion/schreiber-express-inc-v-mayo-fla-1976.