Southern Pacific Co. v. United States

62 Ct. Cl. 391, 1926 U.S. Ct. Cl. LEXIS 406, 1926 WL 2674
United States Court of Claims·Decided June 14, 1926·No. No. D-504·Published·Cited by 10 cases

Opinion

Booth, Judge,

delivered the opinion of the court:

There does not seem to be any warrant for a serious division of opinion respecting the facts in this case. An inspection of the record confirms the correctness of the commissioner’s findings.

Two important legal questions are involved. The plaintiff, during the years 1920, 1921, 1922, and 1923, accomplished under distinct and independent bills of lading the transportation of property for the War Department from various points in the United States to San Francisco, Calif. Each of the shipments was made upon an independent Government bill of lading as formulated by the Comptroller of the Treasury and duly approved by the Secretary of the Treasury.

The question at issue arises in this way: The freight, originating at the same place on the same day, but under independent bills of lading, was, without any request or transportation order from the defendant to that effect, [396] loaded into and carried by the plaintiff in a single car. The plaintiff as last carrier rendered its bills for said transportation at the published tariff rates for less-than-carload shipments, and the same were duly allowed and paid. Subsequently the accounting department deducted from other bills for transportation rendered by the plaintiff, and about which there was no question, the sum of $1,387.72, predicating the right so to do upon an alleged duty of the receiving carrier to consolidate all shipments originating at the same point on the same day, and if sufficient to require a single car, to apply in favor of the Government a carload rate lot instead of the rate applicable to less-than-carload shipments.

The Government rests its case upon this item upon a contention that its liability for the payment of transportation under the facts as stated is to be determined by the character of the service furnished rather than the terms of the bill of lading. To this contention we are unable to give our assent. The Government prepares its own bill of lading. The shipment originates upon a transportation request. The Government bill of lading is presented to the receiving carrier’s agent for signature. It is then returned to the Government official and by him mailed to the consignee, who upon receipt of the shipment surrenders the bill to the delivering carrier, and thereafter it serves as the basis for settlement of transportation charges. Upon the independent bills presented to the receiving carrier for the transportation here involved there was absolutely no notice to the effect that the shipments involved a carload lot. No notation appeared thereon that other shipments were to follow, nor any reference whatever to other bills of lading or any transportation request for carload shipments.

The mere fact that the accumulated shipments arriving at different times on the same day at the same point enabled the carrier to transport in a single car does not bring the shipment within the rules promulgated by the Interstate Commerce Commission for carload rates. The applicable rules appear in the findings. They are not obscure, and assuredly the Government, as one of the largest shippers in the United States, may not assert unfamiliarity therewith. [397] A careful consideration of their terms and the purposes to be accomplished by their adoption apparently negative the contention that the defendant may ignore its transportation requests and bills of lading and pay its bills for the transportation upon the service rendered instead. Reno Wholesale Liquor Stores v. Southern Pacific Co., 23 I. C. C. 516.

Section 16 of the interstate commerce act was amended by the transportation act of 1920. Section 424, 41 Stat. 491, 492, of the foregoing statute reads as follows:

“ Sec. 424. The second paragraph of section 16 of the interstate commerce act is hereby amended by inserting ‘(2)’ at the beginning of such paragraph, and by striking-out the last sentence thereof and inserting in lieu thereof the following as a new paragraph:
“(3) All actions at law by carriers subject to this act for recovery of their charges, or any part thereof, shall be begun within three years from the time the cause of action accrues, and not after. All complaints for the recovery of damages shall be filed with the commission within two years from the time the cause of action accrues, and not after, unless the carrier, after the expiration of such two years or within ninety days before such expiration, begins an action for recovery of charges in respect of the same service, in which case such period of two years shall be extended to and including ninety days from the time such action by the carrier is begun. In either case the cause of action in respect of a shipment of property shall, for the purposes of this section, be deemed to accrue upon delivery or tender of delivery thereof by the carrier, and not after. A petition for the enforcement of an order for the payment of money shall be filed in the district court or State court within one year from the date of the order, and not after.”

The defendant as to the claims embraced in Findings IX and X invokes the foregoing amendment, and contends that under the facts with respect to these two claims they are barred by limitation.

The plaintiff does not challenge the facts, but insists that under section 156 of the Judicial Code his right of action extends for six years from the date of accrual.

The pertinent part of section 156 of the Judicial Code is as follows:

“ Every claim against the United States cognizable by the Court of Claims shall be forever barred unless the peti[398] tion setting forth a statement thereof is filed in the court, or transmitted to it by the Secretary of the Senate or the Clerk of the House of Representatives, as provided by law, within six years after the claim first accrues.”

Obviously paragraph 3 of the transportation act of 1920 contains no express language making it applicable as a statute of limitations to this court. If the result follows, it is to be deduced by implication. Therefore at the outset the defendant’s contention encounters the rule that a repeal of a statute by implication is not favored by the law. There exists some reasons of convincing weight, aside from the provisions of the transportation statutes, inimical to the defendant’s contention. Section 156 of the Judicial Code has been continuously since 1863 the general statute of limitations applicable to the prosecution of claims against the Government in this court. It has not been rendered inapplicable during this time, except by a statute clearly indicating such an intention with reference to a particular class of claims. Section 3221, Revised Statutes, in prescribing limitations for the recovery of internal revenue taxes alleged to have been erroneously or illegally assessed or collected, limited the right of action “ in any court * * * to two years after the cause of action accrued.” We held in the case of Fort Pitt Gas Co. v. United States, 49 C. Cls. 224, that the plaintiff’s cause of action was barred in this court under section 3221, Revised Statutes. The defendant cites no other case, and it is manifest from a reading of the statute that the words “ in any court ” indicate a clear intention to prescribe a definite limitation in all courts.

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Southern Pacific Co. v. United States, 62 Ct. Cl. 391, 1926 U.S. Ct. Cl. LEXIS 406, 1926 WL 2674 (cc 1926).

62 Ct. Cl. 391 (Southern Pacific Co. v. United States) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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