State ex rel. Chicago, Milwaukee & St. Paul Railway Co. v. Public Service Commission

189 S.W. 377, 269 Mo. 63, 1916 Mo. LEXIS 113
CourtSupreme Court of Missouri
DecidedNovember 11, 1916
StatusPublished
Cited by13 cases

This text of 189 S.W. 377 (State ex rel. Chicago, Milwaukee & St. Paul Railway Co. v. Public Service Commission) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State ex rel. Chicago, Milwaukee & St. Paul Railway Co. v. Public Service Commission, 189 S.W. 377, 269 Mo. 63, 1916 Mo. LEXIS 113 (Mo. 1916).

Opinions

WALKER, J.

This is an appeal from a judgment of the circuit court of Jackson County under the provisions of section 114, Laws 1913, page 644.

The Board of Trade of Kansas City, Missouri, filed a complaint before the Public Service Commission, alleging that the railroad companies named above as appellants were charging interstate instead of intrastate rates [70]*70for shipments of grain from points on their respective lines within this State to Kansas City, Missouri, in violation of the State maximum freight rates. [Secs. 3240, 3241, R. S. 1909.]

Upon a hearing a finding was made by the commission sustaining the contention of complainants that the said, shipments were intrastate instead of interstate, and the railroad companies were ordered to desist from charging higher rates for such shipments than those prescribed by the State statutes.

A review of the findings and order of the commission, under section 111, Laws 1913, page 644, was held before the circuit court of Jackson County on the application of said railroad companies, and the action.of the commission was in all things affirmed. The correctness of the judgment thus rendered is the matter for our consideration.

The grain involved in this controversy is such as is shipped in car-load lots from points within this State to Kansas City, Missouri, and is subsequently sold and delivered within the switching limits of said city. The shipments are made under bills of lading to grain dealers in Kansas City, Missouri, or to bills of lading, such as show consignments to the orders of shippers, but bear notations to carrier’s agents at destination to notify parties named of arrival of shipments. The names of parties to be notified are those of grain dealers. Upon the arrival of grain at its designation it is placed by the carriers on their hold tracks for inspection, who at once notify the consignees or dealers named in the bills of lading. The hold tracks are those used by carriers upon which to set or place upon their arrival at their destination, cars of grain pending the nspection and sale of same. Some of these hold tracks are in the State of Kansas. When the grain in such cars has been inspected, whether in Missouri or Kansas, a sample is taken of that contained in each car, accompanied by a ticket describing the car and giving the grade, weight and quality of the grain, which is signed by the inspector. This sample is delivered to a grain [71]*71dealer, who exhibits it with the inspection ticket on the floor of the Board of Trade, and upon snch sample the carload of grain is sold. The terms of the sale are placed on the back of the inspection ticket, which is delivered to the buyer and constitutes the written evidence of his purchase. When the grain is sold a written order is made by the dealer directing the carrier where the car shall be delivered; this order is attached to the bill of lading by the dealer and delivered to the agent of the carrier. Upon this order the car is taken from the hold tracks and delivered to the purchaser.

If the place of the delivery of the grain after it is sold is on the line of the carrier it is delivered to the buyer without additional charge, but if it is transferred to another line a reconsignment charge is made for such service by the original carrier and a switching charge is made by the connecting carrier. After delivery the buyer settles with the grain dealer by paying for the grain according to the terms of purchase, and the dealer, as agent for the shipper, pays the carrier the freight charges, including (if the car is delivered by a connecting carrier) a reconsignment and switching charge. When switching charges are due they are paid by the buyer in his settlement with the dealer, and the latter pays same to the carrier for account of the connecting carrier.

An intrastate movement of a commodity is usually to be determined from certain elemental facts common in the majority of cases to all shipments. These are the intention of the shipper as indicated by the bill of lading; the continuity of the movement of the commodity; and its delivery under the contract of shipment. There are adjudicated cases from which some of these are absent. When this occurs other facts are found to be present, due to the nature of the particular case, of sufficient probative force to determine the nature of the shipment.

Applying the elementáis noted, we find that an interstate shipment exists when a commodity has been turned over by a shipper to a common carrier to be transported from one State to another under a contract of shipment, [72]*72the definite character of such shipment being fixed when the movement of the commodity has commenced for the purpose of transportation.

If, however, the commodity has been committed to the carrier by the shipper for transportation from one point to another in the same State, the character of the commerce is intrastate in its nature, subject to certain limitations not in this case, but which we will notice later.

These definitions are sufficient to distinguish generally between the two classes of commerce — the one regulated by Federal and the other by State law. Thus regulated we look to the rulings of the United States Supreme Court and those of our own court to aid in the construction of these statutes and thus determine the classification of a shipment in any given case.

Here it is admitted that the contracts of shipment were from points in the State to Kansas City, Missouri. There is an absence of intention, either express or implied, on the part of shippers to ship the grain beyond Kansas City, Missouri. Intention, while it may not in some instances be controlling, is in these cases important. The owners of the grain, in the exercise of a proper dominion over their property, ship it to said city for sale. It is there delivered to and sold by a consignee of the shipper on the floor of the Board of Trade. The delivery to the consignee completes the contract between the shipper and the carrier (Adams Express Co. v. Kentucky, 214 U. S. l. c. 223; L. & N. R. R. Co. v. Cook Brewing Co., 223 U. S. l. c. 82; Kirkmeyer v. Kansas, 236 U. S. l. c. 572), and the transaction having been confined to this State, no question can arise as to the nature of the shipment, viz., that it is intrastate. The following concurrent conditions confirm this conclusion: (1) The intention of the parties evidenced by the bill of lading naming Kansas City, Missouri, as the point of final destination; (2) the continuous movement of the grain to such point; and (3) its delivery there to the consignee of the shipper on the hold tracks of the carrier. The essential character of the commerce is properly determinable from the presence of these requisites, and while [73]*73influenced by the billing or form of contract, the character of the shipment is not to be controlled by it except when taken in connection with the other essentials in the case. Upon the sale of the grain its further movement is subject to the direction of the purchaser. He may, dependent upon the location of his business or his purpose in the disposal of the grain, direct its shipment to a point outside of the state, but until he so directs the character of the commodity as an article of commerce continues as under the original shipment.

When, however, the movement of the grain begins under the owner’s direction, the carrier commences the performance of a new contract separate from and independent of the original under which it had transported the grain from the initial point of shipment to Kansas City, Missouri. [Railroad v.

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Bluebook (online)
189 S.W. 377, 269 Mo. 63, 1916 Mo. LEXIS 113, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-ex-rel-chicago-milwaukee-st-paul-railway-co-v-public-service-mo-1916.