Id. Copies of freight bills which did not bear signature of carrier's agent did not establish prima facie showing of payment by consignees named therein. (246). GENERAL READJUSTMENT. See DAMAGES (GENERAL READJUSTMENT) GROUPS AND GROUP RATES In General: Under key-point basis prescribed in 164 I.C.C. 314, class rates between New England and trunk-line territories and central territory were not fixed on an exact distance basis from and to key points as centers of groups, but as points from which rates should be blanketed back over intermediate points. That basis was not primarily a grouping of segregated industrial communities but was designed to blanket all points under particular key rates. Manufacturers' Assn. v. Ahnapee & W. Ry. Co., 262 (265). Because of the grouping of rates on petroleum products from southwestern origins to Leon, Iowa, and Missouri points with other rates, the ton-mile earnings to some destinations were higher than those to more distant points in the same groups. That must be the case if groups are to exist, and no reason for disturbing any of the destination groups was apparent. Neely Oil Co. v. Alton R. Co., 343. In group adjustments, situations in which rates to intermediate points are higher than to points beyond are of frequent occurrence and are justifiable if reasonable groupings are maintained under a prescribed basis. That certain pointto-point rates in an established group adjustment exceed rates under prescribed general distance basis is not proof that such adjustment is improper. Lincoln Chamber of Commerce v. Abilene & S. Ry. Co., 461 (463). Comparison of distances from representative points in Kansas and Oklahoma petroleum groups to Kearney, Mo., with those to group A points adjacent thereto, together with other evidence, indicated that that point should be included in group A. Anderson Oil Co. v. Atchison, T. & S. F. Ry. Co., 525 (528). Group rates from north Texas and differential relationship with other groups on refined petroleum products to the Northeast on basis fixed in 171 I.C.C. 286 were as favorable to north Texas group as Commission could require. Similar adjustment sought to Southeast in lieu of quasi-distance basis fixed in case cited, because of changed conditions, would require revision beyond scope of proceeding. Wichita Falls Petroleum Traffic Assn. v. Aberdeen & R.R. Co., 624 (631). Proposed establishment of new group rates on coal from Brookston, Ala., to Georgia points, found not justified, without prejudice to establishment of rates the same as apply from Birmingham, Ala., base group. Coal from Brookston, Ala., to Georgia, 650. Disruption: Where proposed rates would disturb long-standing Alabama coal group relation the Commission had declined to allow the adjustment t› become operative. Coal from Brookston, Ala., to Georgia, 650 (653). Distance: Comparison of group adjustment, using only distances from selected points instead of distances from all points in the group, was not improper when the points selected were fairly representative. Anderson Oil Co. v. Atchison, T. & S. R. Ry. Co., 525 (528). In complying with fourth-section relief and circuity limitations authorized in connection with rates on lumber from points on the Nashville, C. & St. L. Ry., to central-territory points, the average distance to various groups or the distances to centrally located base points might be used instead of the distances to individual points in such groups. Lumber from the South and Southwest, 753 (770). Long and Short Haul: Fourth-section relief granted subject to circuity and other conditions, in connection with rates on lumber from the South and Southwest to destinations in central territory, for purpose of maintaining rates from lower-rated groups over routes operating through higher-rated groups without disrupting long standing and approved groupings. Lumber from the South and Southwest, 753 (758). Public should not be deprived of the use of routes which operate through higherrated groups in transporting property from and to lower-rated groups, where they are not unduly circuitous, and carriers forming such routes should not be deprived of an opportunity to participate in the traffic between the lower-rated groups at rates the same as those in effect over competing lines between the same points. Id. (758). While origin and destination groups on lumber from the Southwest to points west of New York in eastern territory were of a size that had not been prescribed or approved by Commission as reasonable grouping, carriers and shipper were opposed to disturbing adjustment and no reason appeared why routes not unduly circuitous should not be permitted to handle traffic under fourth-section relief. Relief granted to New England and eastern points subject to circuity and other limitations where routes were operated through higher-rated to lower-rated groups. Id. (760-761). Fourth-section relief was not justified in connection with rates on lumber from northeastern Arkansas and southeastern Missouri to New England and eastern territory, on ground that grouping was proper and in the public interest, but relief was granted over circuitous routes, subject to the equidistant clause and circuity limitations. Id. (761). Fourth-section relief granted to maintain rates on lumber from points on and east of Mississippi River and from points adjacent to and in the vicinity of Mississippi River crossings over routes through higher-rated southwestern groups to official territory points the same as the rates from and to the same points over routes operating east of the Mississippi River, subject to circuity and other conditions. Id. (762). Fourth-section departures on routes which operate through higher-rated groups from, to, or between points in lower-rated groups are an inherent part of any group adjustment of rates and it is practically impossible to maintain such an adjustment without them. Id. (771). Fourth-section relief granted, subject to circuity and other conditions, in connection with rates on lumber from origin groups west of Mississippi River to Texas groups, except over routes through Oklahoma because such departures occurred over routes which operated through higher-rated groups from, to, and between points in lower-rated groups and were inherent in any group adjustment. Id. (771). Fourth-section relief denied in connection with rates on lumber from southwestern origin groups to Oklahoma groups and to Texas points through Oklahoma, where the grouping was too inconsistent to be considered a proper adjustment, but relief granted over circuitous routes, subject to the equidistant clause, circuity, and other conditions. Id. (773). Commission could not approve a group adjustment by granting fourth-section relief to continue the same upon the ground that such grouping was necessary or desirable in the public interest, where the adjustment resulted in higher rates from intermediate points that generally, insofar as distance and other conditions affecting transportation were concerned, were located as favorably in relation to the territory of destination as more distant points from which lower rates were sought to be maintained. Id. (774). Preference and Prejudice: Higher rates of long standing to one rate group than to an adjacent group, even where maintained by the same carriers, are not necessarily unduly prejudicial unless the difference in rates is greater than the transportation conditions justify. Dawson Produce Co. v. Atchison, T. & S. F. Ry. Co., 277 (281). HOCH-SMITH RESOLUTION Assignment of fertilizers and materials to a position in the freight-rate fabric of the country somewhat below those they would take if measured by the standards usually applied to traffic resulted from a construction and application of the Hoch-Smith resolution which the United States Supreme Court subsequently held erroneous. Eastern Fertilizer Cases, 483 (486). INCREASED RATES In General: That cancelation of commodity rates might lead to increased purchases abroad, and to movement by barge as well as increased truck movement, were primarily matters for carriers to consider. Barium Chloride between Eastern Points, 451 (453). INLAND WATERWAYS Barge Lines: Cancelation of joint rail-barge rates on rice from Arkansas to St. Louis, Mo., and Cairo and East St. Louis, Ill., made differentially under all-rail rates, in order to preserve traffic to rail lines, found not justified. Rates were voluntarily and lawfully established, traffic was moving thereunder, and substantial increases proposed would preclude participation in the traffic by barge lines. Rice from Arkansas to Cairo, St. Louis, and East St. Louis, 609 (611). INTEREST Carrier using another's terminal should be charged interest equally with proprietary lines on the amounts of additions and betterments properly includible in investment account in the zones it has the right to use, and should share in reduction in investment account made for retirements in said zones. Missouri-K.-T. R. Co. v. Kansas City Term. Ry. Co., 4 (12). INTERMEDIATE RATES. See AGGREGATE OF INTERMEDIATES; LONG AND INTERSTATE COMMERCE. See INTRASTATE COMMERCE Commission is a creature of statute, whose authority is derived from the Act creating it and cannot be extended by implication over other subjects than those defined in the Act. The function and jurisdiction of the Commission is regulation of commerce and not of railroads, except insofar as they are instruments of commerce. The application of the Act and jurisdiction of Commission cannot be limited or expanded by provisions of carrier's charter and the Commission does not have jurisdiction to determine whether carrier's action is ultra vires and cannot require a carrier to cease engaging in a business or activity not within its duty as a common carrier of interstate or foreign commerce. Propriety of Operating Practices-New York Warehousing, 134 (195). INTRASTATE COMMERCE Rates on pulpwood from Ashland to Peshtigo, Wis., over intrastate route, based on distance scale prescribed by Wisconsin Railroad Commission, were applicable and not unreasonable, but applicable combination rates on shipments over interstate route were unreasonable to the extent that they exceeded rates based on the intrastate distance scale. Reparation awarded. Roedter v. Chicago & N. W. Ry. Co., 225. Finding in 181 I.C.C. 259, requiring removal of undue prejudice in rates on grain products from East St. Louis, Ill., to Missouri points by cancelation of intrastate rates from St. Louis, Mo., on lots of 10,000 pounds and application in lieu thereof of class rates applicable to less than carloads, modified to permit establishment of truck-competitive rates, but without approval of specific rates proposed. Interstate Rates between Points in Missouri, 365. INTRASTATE RATES. See INTRASTATE COMMERCE INVESTIGATION AND SUSPENSION In General: In proceeding involving proposed cancelation of joint rates leaving higher combination rates to apply, Commission has authority under sec. 1 to find the higher combination rates unreasonable and to prescribe lower through rates, although not necessarily joint through rates. Routing Grain and Grain Products via Chicago, R. I. & P. Ry., 117 (119). In an investigation and suspension proceeding under sec. 15 (7), where all interested carriers are before the Commission, all provisions of the Act may properly be put in issue. Id. (119). That carriers by reason of order suspending proposed revision of rates were denied the benefit of increases under the revision was no bar to reparation when rates collected were in excess of those proposed. J. T. Baker Chemical Co. v. Lehigh Valley R. Co., 292 (293). Suspension proceeding on proposed cancelation of through and proportional class rates on interterritorial traffic, in order to comply with fourth-section order denying relief, was not appropriate for requiring new rate adjustment. Class Rates between Southern and W. T. L. Points, 581 (584). Investigation and suspension proceedings afford a method by which changes proposed by carriers are postponed pending an investigation as to their reasonableness. The Commission does not by the order of suspension sanction the existing rates nor disapprove those under suspension. Wheeling Steel Corp. v. Alton R. Co., 785 (787). ISSUE In General: In an investigation and suspension proceeding under sec. 15 (7), where all interested carriers are before the Commission, all provisions of the Act may properly be put in issue. Routing Grain and Grain Products via Chicago, R. I. & P. Ry., 117 (119). Complaint returned for correction alleged rate was unjustly discriminatory in violation of sec. 2, whereas it originally alleged that rates were unduly prejudicial. Since facts recited were intended to allege violation of sec. 3 rather than sec. 2, and there was no apparent intention to abandon the original allegation, complaint was treated as alleging sec. 3 violation. Bachman Chocolate Mfg. Co. v. Pennsylvania R. Co., 303. Minimum weight is a necessary part of a carload rate and the Commission may properly consider the minimum as well as the rate, whether the minimum is directly assailed or not. Grant v. Atlantic Coast Line R. Co., 333 (334). JOINT RATES AND FARES. See also THROUGH ROUTES In General: Participation merely in joint rates does not make connecting carriers partners. St. Louis Live Stock Exc. v. Alton R. Co., 73 (91). Aggregate of Intermediates, Exceeding: See AGGREGATE OF INTERMEDIATES. Application: Charges on wheat from Gerald, Ohio, to Pocomoke, Md., and Bangor, Maine, which moved to Detroit where it was graded and forwarded to Loudonville, Ohio, for transit were applicable on basis of local rate to Detroit and joint through rate beyond. While joint rates from Gerald to Pocomoke and Bangor were unrestricted as to routing, movement via Detroit required a back haul and joint rate did not apply. Ryon Grain Co. v. Detroit, T. & I. R. Co., 750 (751). Barge Lines: See INLAND WATERWAYS. Cancelation: Schedules proposing to cancel joint rates on grain and grain products from Oklahoma to Arkansas over routes which include the Chicago, R. I. & P. Ry. as an intermediate carrier, to enable originating carrier to retain its long haul, found not justified. Combination rates which would apply over routes would exceed maximum reasonable rates. Finding in 191 I.C.C. 674, affirmed. Routing Grain and Grain Products via Chicago, R. I. & P. Ry., 117. Where it is proposed to cancel joint through rates to enable originating carrier to force traffic over routes giving it the long haul by making higher combination rates effective over other routes, Commission could inquire into probable results, including comparative length of the joint through routes and lawfulness of the higher combination rates. If it found the through routes unreasonably long or the combination rates over shorter routes excessive, it had authority to find proposed schedules not justified. Id. (119). In proceeding involving proposed cancelation of joint rates leaving higher combination rates to apply, Commission has authority under sec. 1 to find the higher combination rates unreasonable and to prescribe lower through rates, although not necessarily joint through rates. Id. (119). Proposed cancelation of through class rates between western trunk-line territory and Mississippi Valley territory, and of proportional class rates to and from Ohio and Mississippi River crossings on traffic between western trunk-line territory and the Southeast, to comply with fourth-section order denying relief, found not justified. Class Rates between Southern and W. T. L. Points, 581. Establishment: Establishment of joint rates on anthracite coal from Delaware & H. R. mines in Wyoming region to points on Baltimore & O. R. in Delaware, Maryland, Virginia, and District of Columbia was in the public interest. Existing rates placed producers and dealers at a disadvantage in competition with coal from mines on other carriers. Brookland Coal Co., Inc., v. Delaware & H. R. Corp., 287 (291). Public convenience and necessity did not require through routes and joint rates on anthracite coal over lines other than the Reading R. to destinations in northern Delaware for Reading R. and Baltimore & O. R. deliveries when anthracite moving over any tariff route would be switched for delivery by any carrier at line-haul rate. Wilmington Chamber of Commerce, Del., v. Baltimore & O. R. Co., 507 (519). JUDICIAL REVIEW. See APPEAL AND ERROR JURISDICTION. See particular tribunals or functions by name LEGAL RATES. See SCHEDULES (APPLICABILITY AND INTERPRETATION) In General: Commodity rate applicable to less-than-carload traffic is a pronounced departure from the usual practice and should not be required to be established except upon a clear showing of compelling reasons. Rea-Patterson Milling Co. v. Missouri Pac. R. Co., 633 (634). Carolina Carload Ratings, Relation: Although exceptions are numerous, the usual spread between carload and less-than-carload ratings is two classes. Bagging Co. v. Norfolk & W. Ry. Co., 673 (676). LIABILITY OF CARRIERS Participation merely in joint rates does not make connecting carriers partners, since they can be held jointly and severally responsible for unjust discrimination only if each carrier has participated in some way in that which causes the discrimination. St. Louis Live Stock Exc. v. Alton R. Co., 73 (91). |