Wabash Railroad v. Pearce

192 U.S. 179, 24 S. Ct. 231, 48 L. Ed. 397, 1904 U.S. LEXIS 1019
CourtSupreme Court of the United States
DecidedJanuary 11, 1904
Docket112
StatusPublished
Cited by22 cases

This text of 192 U.S. 179 (Wabash Railroad v. Pearce) 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
Wabash Railroad v. Pearce, 192 U.S. 179, 24 S. Ct. 231, 48 L. Ed. 397, 1904 U.S. LEXIS 1019 (1904).

Opinion

Mr. Justice Brewer,

after making the foregoing statement, delivered the opinion of the court.

Two questions are presented — one of jurisdiction and the other on the merits.

With regard to the first, the decision of the Supreme Court of the State is not controlling. It is not the province of a state court to determine our jurisdiction; and further, the Missouri statute, providing for a review of certain cases by the.Supreme Court, is not identical with but more limited than section 709, Rev. Stat., which prescribes our jurisdiction over final judgments of state courts.

It is contended that the only question determined by the state' court was the applicability of the equitable doctrine of subrogation,"that no statute of Congress was suggested giving a right of subrogation in cases like this, and therefore that the decision of the state court rested upon á matter of general law. But the answer of the defendant, after stating the circum *185 stances of the payment by the several carriers,- alleged that it was “entitled to the first lien on said-goods under the laws of the United States for the amount of said duties.” Although no single statute was mentioned, it claimed a lien on the goods under and by virtue of the laws of the United States, and thus directly called for a determination of a Federal right. Crowell v. Randell, 10 Pet. 368; Bridge Proprietors v. Hoboken Co., 1 Wall. 116, 142; Furman v. Nichol, 8 Wall. 44, 56; Dooley v. Smith, 13 Wall. 604. The question in fact presented and decided was not simply the scope and applicability of the doctrine of subrogation, but rather to what extent, considering the obligations cast by the revenue laws and the duties- of common carriers as between themselves and'the shipper, the carrier was protected by the laws of the United States in paying custom duties exacted under them. When we stop to consider the great volume -of imports handled almost exclusively by common carriers, the owners or consignees being often in the interior of the country, this is obviously a question of supreme importance. And this question is solved not alone upon general principles of law, but involves an enquiry as to the effect of exactions made under authority of the .statutes of the United States. We are, by section 709, Rev. Stat., given jurisdiction over the final judgments of state courts “where any title, right, privilege, or immunity is claimed under the Constitution, or any treaty or statute of, or commission held or authority exercised under, the United States, and the decision is against the title, right, privilege, or immunity specially set up or claimed.” The contention of the railroad company is that payment of duties exacted under the statutes of the United States does not operate simply to release the goods, but also gives in cases like the present, to the carrier, the right and privilege of maintaining possession until it is reimbursed these duties. Is the statute to be considered simply as a demand for money, or does it also carry a grant to one situated as this carrier, of a right and privilege of possession? This right and privilege was specially set up and *186 claimed by the railroad company. Whether it existed was the substantial question presented and decided. And whether rightly or wrongly decided the presentation of the question, the claim of the right and privilege was, when denied by the state court, sufficient to give this court jurisdiction.

We pass, therefore, to consider the merits. Do the laws of' the United States exacting the payment of duties at ports of entry justify the carrier in paying those duties, and give to it a lien therefor as against the owner? It must be remembered that the Government has not prescribed payment simply at the place .-of-delivery, .but has named the ports of entry at which, and at which only, payment can be made. Must the carrier insist that the owner shall be present at the place of entry to himself make payment,' or, after notifying the owner, leave the goods in the hands of the Government officials to be held for the charges thereon, or, may the carrier pay the charges and maintain possession until reimbursed by the owner? It is unnecessary to consider what rights would exist if it were alleged that the goods imported were free from duty, or that there had been overcharges or wrongful conduct on the part of the Government officials. Here the'regularity of the proceedings on the part of the Government officials and the correct amount of the duties collected are unquestioned.

We are of opinion that the custom laws of the United States are potent-to fully protect the carrier in the payment of the legal duties charged upon goods in its possession. In order to fully understand the force and scope of any statute or body of statutes we must have regard to the conditions and circumstances for which the 'legislation was intended and under which it is to become operative. We are not narrowly to read the letter and ignore the state of affairs to which that legislation was intended and is applicable. As we have said, the great body of imports is subject to duties, and payment thereof is by statute specifically required to be made at certain places. These imports are brought in by carriers and distributed by them to the several places of destination.

*187 It is unnecessary to cite authorities to the proposition that it is the common law duty of the carrier to receive, carry and deliver goods; that by virtue of this obligation it is entitled to retain possession until its charges are paid. Nor is this lien confined to the charges for its own transportation. The law is thus stated in Overton on Liens, sec. 135, p. 166:

“The lien attaches not alone for the particular'item of charge for carriage due upon the goods, but for such other legal charges as the carrier, in the course of his duty, may have been compelled to expend upon their care, custody and preservation. As when a railway, in the transportation of live stock, as cattle, horses and swine, has been at expense of labor and money in feeding and preserving them, such expense is a legitimate charge in addition to their transportation. For the carrier is under special obligation to guard and protect such property, hence the propriety of a lien for such extraordinary expense and care. If a carrier, in the ordinary course of the business, pay back charges upon goods due to another carrier in the Gourse of transportation, as they come to him, he may recover for such back charges and freight so paid; and the owner may seek his remedy for any damages done them against the party in whose hands it was done, or under his original contract of shipment.”

See also Hutchinson on Carriers, sec. 478a; Ray on Freight Carriers, sec. 102. In Schouler on Bailments, p. 544, it is said:

“A common carrier, then, may usually retain particular goods, by virtue of his lien right, until the freight and charges due thereon for his whole transportation are paid or tendered him, and he cannot be compelled to give them up sooner.

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Bluebook (online)
192 U.S. 179, 24 S. Ct. 231, 48 L. Ed. 397, 1904 U.S. LEXIS 1019, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wabash-railroad-v-pearce-scotus-1904.