Siegel Transfer, Inc. v. Carrier Express, Inc.

856 F. Supp. 990, 1994 U.S. Dist. LEXIS 8890, 1994 WL 325393
CourtDistrict Court, E.D. Pennsylvania
DecidedJuly 1, 1994
DocketCiv. A. 92-CV-7370
StatusPublished
Cited by11 cases

This text of 856 F. Supp. 990 (Siegel Transfer, Inc. v. Carrier Express, Inc.) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Siegel Transfer, Inc. v. Carrier Express, Inc., 856 F. Supp. 990, 1994 U.S. Dist. LEXIS 8890, 1994 WL 325393 (E.D. Pa. 1994).

Opinion

OPINION AND ORDER

VAN ANTWERPEN, District Judge.

This civil action arose out of a written contract for transportation services between Plaintiff Siegel Transfer, Inc. (“Siegel Transfer”) and defendants Carrier Express, Inc. (“Carrier Express”) and Bethtran, Inc. (“Bethtran”). The dispute centers around the January 4, 1990 termination of the contract and alleged refusals on the part of defendants to conduct further business between the parties. Plaintiffs assert two federal law claims: first, a violation of section 1 of the Sherman Act, 15 U.S.C. § 1 (Count I) and, second, so-called “transportation law” claims brought under the Interstate Commerce Act, 49 U.S.C. § 10761 et seq. and Section 41 of the Elkins Act 49 U.S.C. §§ 11902, 11903 and 11915 (Count XI). Plaintiffs also bring numerous state law *993 claims. 1 We have jurisdiction over the federal claims pursuant to 28 U.S.C. §§ 1331 & 1337, and 15 U.S.C. § 15. In addition, we have diversity jurisdiction in this matter pursuant to 28 U.S.C. § 1332. 2

Discovery in this matter ended on March 17, 1994. Before us now are two motions, Defendants’ Motion to Dismiss Plaintiffs’ Transportation Law Claims, or, In the Alternative, to Refer to the Interstate Commerce Commission Plaintiffs’ Transportation Law Claims (“Motion to Dismiss”), filed March 21, 1994, and Defendants’ Motion for Summary Judgment, also filed March 21, 1994. Based upon these motions and accompanying memoranda, plaintiffs’ responsive memoranda, and defendants’ reply memoranda, we now resolve both of these motions.

I. Facts

A. Regulation of Motor Carriers

We begin our discussion of the relevant undisputed facts with a brief overview of the regulatory regime governing the transportation of goods by motor carriers. Congress first set forth the transportation policy it intends to govern interstate carriers in the Interstate Commerce Act, 24 Stat. 379 (1887) currently codified at 49 U.S.C. § 10101 et seq. As goals of this policy, federal regulation of transportation should promote fairness and efficiency. Freightcor Services, Inc. v. Vitro Packaging, Inc., 969 F.2d 1563, 1570 (5th Cir.1992), cert. denied — U.S. -, 113 S.Ct. 979, 122 L.Ed.2d 133 (1993); 49 U.S.C. § 10101.

The transport of goods by motor carriers is subject to regulation by the Interstate Commerce Commission (ICC), and motor carriers are generally required to obtain operating authority permits from the ICC in order to transport goods in interstate commerce. 49 U.S.C. §§ 10521, 10921-23. There are two types of operating authority for motor carriers who transport goods: (1) motor common carrier and (2) motor contract carrier.

A motor common carrier is defined in the Interstate Commerce Act as a “person holding itself out to the general public to provide motor vehicle transportation for compensation over regular or irregular routes, or both.” 49 U.S.C. § 10102(14). Common carriers are required to file their rates for transporting goods with the ICC and charge their rates to all shippers. 49 U.S.C. § 10761.

A motor contract carrier of property is defined as “a person providing motor vehicle transportation of property for compensation under continuing agreements with one or more” shippers by either dedicating equipment or by meeting the shipper’s distinct needs. 49 U.S.C. § 10102(15)(B). Since 1983, contract carriers have been exempt from the rate filing and uniform rate requirements mentioned above. Exemption of Motor Contract Carriers from Tariff Filing Requirements, Ex Parte No. MC-165, 133 M.C.C. 150 (1983), aff'd, Central and Southern Motor Freight Tariff Association, Inc. v. United States, 757 F.2d 301, 305-306, 322-330 (D.C.Cir.), cert. denied, 474 U.S. 1019, 106 S.Ct. 568, 88 L.Ed.2d 553 (1985).

B. The Parties

The three plaintiff companies are:

(1) Siegel Transfer, formed in 1980, which had ICC operating authority as a contract carrier from 1986 until early 1990, but never owned any trucks or had any employees; 3

*994 (2) Robin Express, formed in 1964, which owned trucking equipment, employed drivers, and leased equipment and drivers to Siegel Transfer and other companies; 4 and

(3) Joruss Trucking, formed in 1987, which owned trucks which it leased to Siegel Transfer. 5

The three plaintiff companies are all owned by Russell Siegel and his wife. 6

The defendants include a parent and its subsidiaries. Defendant Bethlehem Steel owns the Philadelphia, Bethlehem and New England Railroad (PB & NE). PB & NE owns defendant Bethtran, and Bethtran owns defendant Carrier Express. 7

C. The Contract Between Siegel Transfer and Carrier Express

In late 1985, Russell Siegel, the owner of Siegel Transfer, contacted Bethtran and proposed the following: leasing his own transport equipment and getting a percentage of the Carrier Express freight rate. The agreement that the two parties eventually reached provided that Siegel Transfer would get 90 percent of the freight rate Carrier Express received from its shipper. 8

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

Related

BEMCY LLP v. GILEAD SCIENCES INC
E.D. Pennsylvania, 2022
Alpha Pro Tech, Inc. v. VWR International LLC
984 F. Supp. 2d 425 (E.D. Pennsylvania, 2013)
Shomo v. Mugar Enterprises, Inc.
52 V.I. 918 (Virgin Islands, 2009)
Conger v. Danek Medical, Inc.
27 F. Supp. 2d 717 (N.D. Texas, 1998)
Leigh v. Danek Medical, Inc.
28 F. Supp. 2d 401 (N.D. Texas, 1998)
Siegel Transfer, Inc. v. Carrier Express, Inc.
54 F.3d 1125 (Third Circuit, 1995)
F.B. Leopold Co. v. Roberts Filter Manufacturing Co.
882 F. Supp. 433 (W.D. Pennsylvania, 1995)

Cite This Page — Counsel Stack

Bluebook (online)
856 F. Supp. 990, 1994 U.S. Dist. LEXIS 8890, 1994 WL 325393, Counsel Stack Legal Research, https://law.counselstack.com/opinion/siegel-transfer-inc-v-carrier-express-inc-paed-1994.