Tri-State Coach Lines, Inc. v. Illinois Commerce Commission

559 N.E.2d 869, 202 Ill. App. 3d 206, 147 Ill. Dec. 529, 1990 Ill. App. LEXIS 1196
CourtAppellate Court of Illinois
DecidedAugust 14, 1990
DocketNo. 1-89-1233
StatusPublished
Cited by2 cases

This text of 559 N.E.2d 869 (Tri-State Coach Lines, Inc. v. Illinois Commerce Commission) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tri-State Coach Lines, Inc. v. Illinois Commerce Commission, 559 N.E.2d 869, 202 Ill. App. 3d 206, 147 Ill. Dec. 529, 1990 Ill. App. LEXIS 1196 (Ill. Ct. App. 1990).

Opinion

JUSTICE BILANDIC

delivered the opinion of the court:

This is an appeal from an administrative review action in which the circuit court affirmed an Hlinois Commerce Commission (H.C.C. or State authority) cease and desist order issued against plaintiff, Tri-State Coach Lines, Inc. (Tri-State). In the same judgment, the circuit court found Tri-State in criminal contempt of court and assessed a fine of $1,000. Plaintiff appeals the entire judgment of the circuit court.

C.W. Limousine Service, Inc. (C.W.), filed a .complaint against TriState before the Il.C.C., alleging that Tri-State was operating an intrastate bus passenger service between Midway and O’Hare airports without authorization from the Il.C.C., in violation of section 18c — 6103 of the Illinois Commercial Transportation Law (Ill. Rev. Stat. 1985, ch. 951/2, par. 18c—6103). Tri-State responded by filing a motion to dismiss C.W.’s complaint on the basis that its operation was authorized by the Interstate Commerce Commission (ICC or Federal authority) and that the State authority did not have subject matter jurisdiction over the action.

The hearing examiner denied Tri-State’s motion to dismiss and ordered Tri-State to answer the complaint and submit to discovery. TriState opted to stand by its motion to dismiss. After hearing arguments of counsel, the hearing officer issued her recommended decision ordering Tri-State to cease and desist from operating its bus passenger service between Midway and O’Hare airports.

On June 20, 1988, the Il.C.C. adopted the hearing officer’s recommended decision and issued its decision ordering Tri-State to cease and desist. Tri-State petitioned the State authority for reconsideration of its decision, attaching a letter from the Federal authority, dated June 21, 1988, which affirmed Tri-State’s right to tack (join routes at common intersecting points) its interstate authorities for the purpose of operating between O’Hare and Midway airports. Nevertheless, on August 17, 1988, the Il.C.C. denied Tri-State’s petition for reconsideration.

Thereafter, Tri-State filed a complaint for administrative review in the circuit court (Ill. Rev. Stat. 1987, ch. 110, par. 3—103) and sought a stay of the Il.C.C. order. The motion for stay was denied.

On October 12, 1988, the Il.C.C. filed an emergency petition for enforcement of its cease and desist order, attaching affidavits which established that Tri-State was operating the bus passenger service on October 6 and October 7, 1988. The court ordered Tri-State to show cause why it should not be held in contempt for continuing to operate in violation of the Il.C.C. order. The court heard arguments on both Tri-State’s complaint for administrative review of the Il.C.C. order and the Il.C.C.’s emergency enforcement petition.

Tri-State argued that it is authorized to operate the bus route between Midway and O’Hare airports because it holds three Federal certificates issued by the ICC. The three certificates authorize Tri-State to transport passengers in intrastate, interstate and foreign commerce over the following routes:

Docket No. MC — 129038 Sub 1 (Sub 1) authorizes Tri-State to transport passengers between O’Hare International Airport and the Indiana Dunes State Park in Chesterton, IN, with a portion of the route lying over Interstate Highway 294 (IH 294).
Docket No. MC — 129038 Sub 2 (Sub 2) authorizes Tri-State to transport passengers over various regular-routes in and near Chicago. Route 1 travels between Lansing, IL and O’Hare Airport, with travel over IH 294. Route 7 runs between Park Forest, IL and Midway Airport, with travel over IH 294.
Docket No. MC — 129038 Sub 4 (Sub 4) authorizes Tri-State to transport passengers between Midway Airport and Aurora, IL, with travel over IH 294.

It is significant to note that there is no restriction on tacking in any of the Federal certificates issued to Tri-State. Tacking is the act of joining interstate authorities at common intersecting points and operating between those points pursuant to the Federal certificates even though the routes may be intrastate.

On November 23, 1988, the trial court entered its judgment affirming the Il.C.C. cease and desist order, finding Tri-State in criminal contempt of court and assessed a fine of $1,000. It is from this judgment that Tri-State appeals.

I

The principal issue on appeal is whether the Il.C.C. had subject matter jurisdiction to order Tri-State to cease and desist from operating its Midway-O’Hare bus passenger service. Tri-State argues that it was authorized to operate the Midway-O’Hare bus passenger service by virtue of tacking its Subs 1, 2 and 4 ICC certificates at the common point of IH 294. Tri-State contends that the Federal authority that issued its certificates has primary jurisdiction over the interpretation of those certificates. Therefore, the Il.C.C. cease and desist order was issued without subject matter jurisdiction.

The I1.C.C. argues that it had jurisdiction to consider C.W.’s complaint and issue its order against Tri-State because the service at issue was conducted over an intrastate route within the State of fllinois, an area over which the H.C.C. has jurisdiction. The Il.C.C. concedes that Congress authorized the ICC to grant its carriers certain intrastate operating privileges in conjunction with their interstate routes (49 U.S.C. 10922(c)(2)(B) (1988)), but argues that Tri-State’s three Federal certificates do not contain a Midway-O’Hare route. Moreover, the H.C.C. contends that Tri-State may not tack its Federal certificates to establish the requisite authority to operate the route at issue because “[i]n Hlinois, an extension of authority may be applied for but authorities are not ‘tacked’.” (H.C.C. order.)

With the enactment of the Bus Regulatory Reform Act of 1982 (Bus Act), Congress authorized the ICC to grant certificates for intrastate routes that are operated as a part of the interstate operation. (49 U.S.C. §10922(c)(2)(B) (1988).) One of the purposes of Congress in the enactment of the Bus Act was to ease the amount of State regulatory interference with intrastate operations of interstate carriers. The Federal government, through the ICC, has preempted the local governments from regulating these intrastate routes. See, e.g., S. Rep. No. 97 — 411, 97th Cong., 2d Sess. 16, reprinted in 1982 U.S. Code Cong. & Admin. News 2323.

The Il.C.C. erroneously contends that Tri-State’s Subs 1, 2 and 4 certificates do not authorize the Midway-O’Hare intrastate service route. None of these certificates explicitly authorizes a route between Midway and O’Hare airports. However, the ICC allows its certificated carriers to tack their separate authorities at common intersecting points unless there are specific provisions against tacking noted on the certificate itself. (Monumental Motor Tours, Inc. v. Greyhound Corp., 79 M.C.C. 244, 247 (1959).) Tri-State’s Subs 1, 2 and 4 do not contain any tacking restrictions.

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559 N.E.2d 869, 202 Ill. App. 3d 206, 147 Ill. Dec. 529, 1990 Ill. App. LEXIS 1196, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tri-state-coach-lines-inc-v-illinois-commerce-commission-illappct-1990.