United States Ex Rel. Chicago, New York & Boston Refrigerator Co. v. Interstate Commerce Commission

265 U.S. 292, 44 S. Ct. 558, 68 L. Ed. 1024, 1924 U.S. LEXIS 2606
CourtSupreme Court of the United States
DecidedMay 26, 1924
Docket288
StatusPublished
Cited by19 cases

This text of 265 U.S. 292 (United States Ex Rel. Chicago, New York & Boston Refrigerator Co. v. Interstate Commerce Commission) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States Ex Rel. Chicago, New York & Boston Refrigerator Co. v. Interstate Commerce Commission, 265 U.S. 292, 44 S. Ct. 558, 68 L. Ed. 1024, 1924 U.S. LEXIS 2606 (1924).

Opinion

Mr. Justice Sutherland

delivered the opinion of the Court.

By § 209 (c) of Transportation Act, 1920, c. 91, 41 Stat. 456, 464, the United States guarantees, for a period of six months after March 1, 1920, with respect to any car *293 rier with which a contract has been made fixing the amount of just compensation under the Federal Control Act, that the railway operating income of such carrier as a whole shall not be less than one-half the amount named in such contract as annual compensation.

By the same section, subdivision (a), the term “carrier” is defined to mean, “(1) a carrier by railroad or partly by railroad and partly by water, whose railroad or system of transportation is under Federal control at the time Federal control terminates, . . . and (2) a sleeping car company whose system of transportation is under Federal control at the time Federal control terminates. . .

By subdivision (g), p. 466, the Interstate Commerce Commission is directed to “ ascertain and certify to the Secretary of the Treasury the several amounts necessary to make good the foregoing guaranty to each carrier.”

On March 15, 1920, plaintiff in error, hereafter called the Car Company, filed with the Commission its written acceptance of the provisions of § 209, and at a later time applied to the Commission for the ascertainment and certificate mentioned in subdivision (g). The Commission denied the application upon the ground that the Car Company was not a carrier within the meaning of the act. Thereupon, a mandamus was sought from the Supreme Court of the District of Columbia, to compel the Commission to comply with the provisions of subdivision (g), but that court, after a hearing, discharged the rule and dismissed the petition. Upon appeal to the Court of Appeals this judgment was affirmed. 288 Fed. 649.

The single question presented is whether the Car Company is a “carrier by railroad.” Immediately prior to federal control, the Car Company owned 1340 refrigerator cars, which were operated over various lines of railroad under contracts with the railroad companies. *294 The Car Company did not own or control any railroad property or facilities, aside from these cars. The contracts provided for payment of compensation for the use of the cars by the railroad companies on the basis of mileage — that is, a fixed sum for each mile over which the cars were run. The cars were under the control of the railroad companies, subject to the observance, on their part, of the directions of the Car Company as to' the distribution of the cars. The Car Company solicited freight from shippers, for which it was generally paid commissions; and exercised a degree of supervision over the shipment. Sometimes cars containing shipments were delivered by non-contract railroads, from which the Car Company received payment of the mileage charges. Bills of lading covering shipments were generally made by the railroad companies; but a small percentage, perhaps ten per centum, of the shipments originating west of Chicago were re-billed on the forms of the Car Company, subject to tariffs and classifications of the railroad companies, then in effect. Way bills were made out by the railroad companies; and all freight charges were paid to the railroad companies, no payment for transportation being made by the shippers to the Car Company. The Car Company was incorporated to manufacture, sell or rent freight cars, rolling stock and for other specified purposes; but nothing is said in its articles of incorporation in respect of any operation as a carrier. It filed no tariffs with the Commission, as interstate railroad carriers are required to do; nor did it keep its accounts in accordance with the rules of the Commission. The refrigerator cars were taken over and used by the Director General of Railroads during the period of federal control and compensation therefor paid to the Car Company. Upon the expiration of such control the cars were surrendered to the Car Company. The court below accurately summarized the testimony as showing, “ that the Refrigerator Company is not *295 incorporated as a carrier, does not control or use the necessary facilities for performing carriage, does not hold itself out to perform carriage by publishing rates applicable thereto, and does not in fact perform carriage or receive any compensation from shippers whose shipments move in its cars. The cars are rented to railroad companies. They are subject to the control of the latter and are to all intents and purposes their property during the period of the lease. In a word, the Refrigerator Company carries nothing.”

In Wells Fargo & Co. v. Taylor, 254 U. S. 175, 187-188, this Court defined the words “common carrier by railroad,” as used in the Employers’ Liability Act of April 22, 1908, c. 149, 35 Stat. 65, to mean “ one who operates a railroad as a means of carrying for the public, — that is to say, a railroad company acting as a common carrier.” If this definition be applied here, it disposes of the question against the contention of the Car Company, since it is plain that it does not operate a railroad — that is, it is not a railroad company acting as a common carrier. The contention, however, is that this definition was confined to the words as used in the Employers’ Liability Act, and that they are used in the Transportation Act in a different sense. It is quite true that because words used in one statute have a particular meaning they do not necessarily denote an identical meaning when used in another and different statute. But in the Taylor Case, the definition was not made to rest upon any peculiarity in the act under review, but was said to be “in accord with the ordinary acceptation of the words,” and this ordinary meaning was enforced by a consideration of certain provisions of the act, which were enumerated.

In Ellis v. Interstate Commerce Commission, 237 U. S. 434, 443-444, it was held that the Armour Car Lines, which owned, manufactured and maintained refrigerator, tank and box cars, and let them to railroads or to ship *296 pers, was not a common carrier subject to the Act to Regulate Commerce, § 12, c. 104, 24 Stat. 379, 383. The facts in respect of ownership of cars, use, relation to the railroads, etc., were much the same as those in the present case. After reciting them, this Court said: “It has no control over motive power or over the movement of the cars that it furnishes as above, and in short, notwithstanding some argument to the contrary, is not a common carrier subject to the act. It is true that the definition of transportation in § 1 of the act includes such instru-mentalities as the Armour Car Lines lets to the railroads. But the definition is a preliminary to a requirement that the carriers shall furnish them upon reasonable request, not that the owners and builders shall be regarded as carriers, contrary to the truth. The control of the Commission over private cars, &c., is to be effected by its control over the railroads that are subject to the act.

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Bluebook (online)
265 U.S. 292, 44 S. Ct. 558, 68 L. Ed. 1024, 1924 U.S. LEXIS 2606, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-ex-rel-chicago-new-york-boston-refrigerator-co-v-scotus-1924.