Wood v. Iowa State Commerce Commission

113 N.W.2d 710, 253 Iowa 797, 1962 Iowa Sup. LEXIS 637
CourtSupreme Court of Iowa
DecidedMarch 6, 1962
Docket50563
StatusPublished
Cited by12 cases

This text of 113 N.W.2d 710 (Wood v. Iowa State Commerce Commission) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wood v. Iowa State Commerce Commission, 113 N.W.2d 710, 253 Iowa 797, 1962 Iowa Sup. LEXIS 637 (iowa 1962).

Opinion

Garfield, C. J.

The question presented is whether defendant Iowa State Commerce Commission acted illegally, within the meaning of rule 306, Rules of Civil Procedure, in revoking an Iowa contract carrier permit defendant issued to plaintiff under chapter 327, Code, 1958. This in turn depends mainly upon whether there was substantial evidence before the commission to sustain its order. The trial court held there was and upheld the order. Plaintiff has appealed. We affirm the trial court.

(For convenience we disregard the fact the members of the commerce commission are also made defendants.)

The action is in certiorari, under rules 306 to 319, Rules of Civil Procedure. Rule 306 provides the writ shall only be granted when specifically authorized by statute or an inferior tribunal exercising judicial functions exceeds its proper jurisdiction or otherwise acts illegally. It is not claimed here the *799 writ is specifically authorized by statute. Nor can it be seriously asserted defendant exceeded its proper jurisdiction. It is contended defendant acted illegally in revoking plaintiff’s permit because, it is said, the revocation order lacks substantial support in the evidence before the commission.

The case was submitted to the district court upon a transcript of the evidence the commission heard. No other evidence, explanatory of the matters contained in the return to the writ, was offered (see rule 315, R. C. P.). Most of the record here consists of the evidence before the commission.

Code section 327.1, subsection 5, in chapter 327, under which plaintiff’s permit was issued, defines a “contract carrier” as “any person who does not hold out to the general public to serve it indiscriminately and who, for compensation, engages in the business of transportation of property by motor truck under individual written contracts, thereby providing a special and individual service required by the peculiar needs of a particular shipper, but does not include, (1) a motor carrier as defined in chapter 325, (2) a truck operator, or (3) a person whose transportation by motor vehicle is in furtherance of a private enterprise other than the business of transportation for others for compensation.”

The term “individual written contract” is one “between a contract carrier and a shipper * * * imposing mutual obligations to tender freight and perform transportation, and specifying the charges.” Section 327.1, subsection 5.

Section 327.16 provides, “For just cause, after due hearing, the commission may at any time * # # revoke any permit issued.” It is not suggested plaintiff was not accorded due hearing.

Section 327.1, subsection 5, states: “The presence of goods originating from more than five shippers on one vehicle at any one time shall be prima-facie evidence that the carrier is a motor carrier and not a contract carrier.”

A “motor carrier”, as distinguished from a “contract carrier”, for present purposes is a person operating a motor vehicle for the public transportation of freight for compensation between fixed termini, or over a regular route, even though there may be irregular departures from such termini or route (section 325.1). No motor carrier may operate without having obtained *800 from the commission a “certificate of convenience and necessity” (section 325.6).

An inspector for defendant found on one of plaintiff’s three trucks in Waterloo goods defendant claims originated from eight or more different shippers which were being transported to docks of Arrow Express Forwarding Company (herein called “Arrow”) in Waterloo. There is substantial evidence plaintiff’s driver picked up the goods from at least eight different wholesalers or distributors in Waterloo for ultimate transportation to as many different consignees in as many other cities or towns. The city farthest from Waterloo was Storm Lake, about 160 miles to the west. One shipment was to go to Cedar Rapids, about 70 miles southeast of Waterloo. Another was destined for Decorah, about 75 miles northeast.

Before the goods were to reach these ultimate destinations, however, they were to be unloaded and sorted at Arrow’s docks and then sent on their journey, perhaps in one of plaintiff’s trucks, perhaps in another truck, as appeared most convenient. Plaintiff’s wife is employed by Arrow, takes calls from shippers and directs operation of plaintiff’s trucks. Plaintiff picked up some goods in cities other than Waterloo, e.g., Cedar Rapids, and transported them.

The goods found on plaintiff’s truck were being shipped on shipping tickets which named Arrow as shipper and the wholesaler or distributor where the goods were picked up as “Reference” for the shipment. Transportation charges were paid Arrow and plaintiff received a percentage thereof from Arrow. Several witnesses in charge of shipping the goods found on plaintiff’s truck testified before the commission that the only difference in shipments transported by him and those handled by others, which were common carriers, was in the shipping ticket used by Arrow and the usual bill of lading used by common carriers.

One such witness said his company was the shipper of the goods represented by the shipping ticket, he uses Arrow as he would any other carrier and he had no agent to whom he turned over merchandise for shipment by someone procured by the agent.

*801 There is evidence both plaintiff and his wife solicited business for Arrow and that Mrs. Wood explained to at least one of the eight distributors how to make out the shipping ticket. Plaintiff had solicited business for Arrow from three of the eight. It was not one of Mrs. Wood’s duties as an employee of Arrow to solicit business for it. One of the shipping clerks testified plaintiff’s wife furnished his company a list of towns served and a chart showing the charges for the different weights shipped. Plaintiff’s only contract was with Arrow. He had no contract with any of those whom defendant contends were the real shippers.

From the evidence, much of it above summarized, the commission found as facts: (1) the firms named as “Reference” on the shipping tickets were shippers of the goods enumerated thereon; (2) plaintiff was operating outside the scope of his contract carrier permit in that he was knowingly carrying goods for shippers with whom he had no written contract; (3) plaintiff in conjunction with Arrow was operating as a motor carrier of freight without proper authority; and (4) plaintiff’s truck was found transporting goods originating from more than five shippers. From these facts defendant held plaintiff was operating as a motor carrier in violation of his permit and there was just cause for its revocation.

I. There can be no dispute as to the law governing the principal question presented. Both sides cite Circle Express Co. v. Iowa State Commerce Comm., 249 Iowa 651, 86 N.W.2d 888, our latest precedent of this kind. The commission there revoked a contract carrier’s permit because it found it was in fact acting as a common carrier under the guise of a contract carrier.

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113 N.W.2d 715 (Supreme Court of Iowa, 1962)

Cite This Page — Counsel Stack

Bluebook (online)
113 N.W.2d 710, 253 Iowa 797, 1962 Iowa Sup. LEXIS 637, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wood-v-iowa-state-commerce-commission-iowa-1962.