Document: 379 U.S. 343 85 S.Ct. 419 13 L.Ed.2d 324 ALL STATES FREIGHT, INC., et al., Appellants,v.NEW YORK, NEW HAVEN AND HARTFORD RAILROAD COMPANY al. No. 22. Argued Oct. 21, 1964. Decided Dec. 14, Homer S. Carpenter, Washington, D.C., for appellants. Robert W. Ginnane, United States and Interstate Commerce Commission. Edward A. Kaier, Philadelphia, Pa., Eugene E. Hunt, New Haven, Conn., appellees. Mr. Justice STEWART delivered the opinion of Court. 1 This is an appeal from judgment a three-judge district court setting aside order Commission which had disallowed certain freight rates filed by York, Haven & Hartford Railroad Company (hereafter 'the Haven') other rail carriers. The issue presented whether s 1(6) Act, as amended, requires carriers 'to establish, observe, enforce just reasonable classifications property transportation, with reference to rates, tariffs, regulations, or practices are may be made prescribed,'1 applicable so-called all-commodity rates. Commission, three members dissenting, held that § does apply such section was violated rate schedules here in question. 315 I.C.C. 419. District Court maintenance being class rates' but not prohibit 'competitively compelled departures classifications, within established maxima, absent some violation Act than mere departure classification.' 221 F.Supp. 370, 374. We agree affirm before us. 2 A general word basic distinction between commodity appropriate proceeding specifics present case. Class were at foundation railroad structure time enactment 1887. Such applied traffic through two separate tariffs. One tariff, 'classification,' assigns each many thousand commodities carried one presently 30 categories classes, based upon commodity's particular characteristics.2 companion tariff specifies will carried. By contrast, also existence original passage specifically carriage group designated point another. function generally lower encourage movement bulk commodities, coal grain. With onset rapid growth intermodal competition, railroads increasingly turned effort prevent diversion modes transportation. Since 1932, numerous all-freight have been various points throughout country. Typically, literally all broad number, they often only mixed carload shipments. Today small fraction tonnage moves on rates; far major portion kind. 3 In summer 1958 competing trailer-on-flatcar service. Under this system truck-trailers loaded brought railroad's loading ramp cars destination delivery consignee unloading ramp. type service instituted meet motor carrier competition. Eastern Central Motor Carriers Assn. v. Baltimore O.R. Co., 314 5. physical clearance problems equipment shortages prevented its participation during first months effect railroads, lost equivalent more 350 Boston St. Louis, suffered substantial further losses westward England points. 4 compete cope significant imbalance eastbound westbound over lines,3 become subject litigation. These specified Chicago Louis. Restricted boxcar moving westward, straight carloads, graduated according minimum weight per car. They did kinds traffic.4 5 initially suspended allowed them effective July 6, 1959, remained since date. Various associations their individual protested February 1961, Division report approving them. 313 275. On reconsideration later year, full divided vote Act. 419.5 set Commission's enjoined enforcement, holding rested erroneous interpretation intervening protestants here, we noted probable jurisdiction. 376 961, 84 1122, 11 980.6 6 It clear gives power require maintain conjunction question posed applies well, it No doubt language statute, 'just property' regulations affecting classifications' susceptible construction would embrace here. do single, uniquely identifiable article large could described classification property. But fact terms statute can interpreted broadly enough encompass these without doing violence English settle problem. remains inquire legislative history warrants statutory supports interpretation. 7 At vast preponderance moved classes well varied greatly among different sections When formulated, consideration given empowering prescribe finally concluded provisions bill required publication together regulating unreasonable ultimately prove adequate achieve desired uniformity classifications.7 Beginning First Annual Report, however, expressed concern continuing lack classifications,8 seven years recommended empowered make uniform classification.9 1906 Hepburn gave maximum rates,10 transportation charges still increased changes any commodity. 8 succeeded exercising proceedings under §§ 1, 2, cases declared unreasonable.11 However, halt manipulation thrown into serious case decided 1905.12 9 against background enacted 1910 part Mann-Elkins find future.13 immediate genesis seems special message Congress President Taft recommending '* * commission shall fully empowered, beyond question, pass purposes fixing like manner now respect transportation.'14 10 During course debate proposed House Representatives, Congressman Russell, member Committee Foreign Commerce, said '(T)he shipper extorted from; he pay unjust rate. put classification, rate, if sees fit declare unreasonable, reduce it, declaring what take place, carrying corporation obtain same benefit disadvantages simply changing article.'15 12 Chairman Mann stated 'classification important because another you affect rates.'16 He added 'in undoubtedly control lead greater possibly complete classifications.'17 Senate Report alluded recently cast deal classifications.18 makes apparent object give twin arisen administration rates—the possibility avoid regulation uniformity. Those never affected those competitively reductions whatever otherwise applicable, standardization completely inconsistent accommodating specific particularized competitive conditions. thus conclusion reach confined 14 amply confirmed pattern decisions enacted. has squarely inapplicable. All-commodity came scrutiny 25 ago. 1937 1938, approved four occasions slightest suggestion 1(6). principal inquiry ascertain prejudicial person, locality, description traffic.19 similar 1939, Commissioner Alldredge dissent expressing view lumping single category articles traditionally assigned customary criteria.20 Alldredge's putting applicability 1(6), consciously rejected his position. Two later, taken prevailed two-to-one 3, struck down violative 1(6).21 conflict, problem received year All Freight Pacific Coast, 248 73. There Its stated: 15 'Respondents line governed western involved proceeding, hundreds exceptions including ratings nor rules mixing car-loads. 'Class normally reflect reasonableness goods falling traffic. Commodity established, necessary desirable made, when circumstances conditions suggest basis too high application making, conform I.C.C., 86—87. 16 concurrence, Eastman said: 17 'As known, publish purpose governing latter used no published applying called carry, course, multitude distinct convenient device avoiding *' 88. 18 Thereafter, challenges authority decision,22 decision previously rendered recalled ground.23 followed, regarded controlling, 1(6).24 Finally, Haven's competitors 1958, discern created 1(6).25 19 Thus both clearly impel reaching conclusion, hardly need add that, structured, policing provisions. If high, it.26 unjustly discriminates shipper, discrimination removed.27 results undue preference favor prejudice traffic, adjustments made.28 unreasonably low, increased.29 20 Court's contains, way dicta, considerable discussion concerning validity concept value factor discussed briefs oral arguments extent continue valid element assessing lawfulness decide. decide correct issues 'should framed 1(6).' 21 Affirmed. 22 WHITE, whom THE CHIEF JUSTICE, BLACK BRENNAN join, dissenting. 23 my view, record inadequate support action I vacate below remand proceedings. dissent, categorical ruling bars bears label. 24 Section imposes 'duty transportation.' accept act excluding imperative mainstream functions. great difficulty coming answer task changed mind, modified views, believes best serves policy goal least say intended regulate obviously thinks particularly which, case, enormous range excludes groups thereof. 26 Nor past changed, job should left Congress. view. there Congress, itself performed. dissenting commissioners, essentially agrees, felt constrained acknowledge erosion principles might province defended views vigorous wise realm proper administrative action. Their difference majority policy, precisely area me invades. Our review limited one. due respect, dissent. 'It duty common chapter prescribed, issuance, form, substance tickets, receipts, bills lading, method presenting, marking, packing, delivering facilities personal, sample, excess baggage, matters relating connected receiving, handling, transporting, storing, secure safe prompt receipt, terms, every regulation, practice prohibited unlawful.' 49 U.S.C. (1958 ed.). characteristics considered determining are: 1. Shipping cubic foot. 2. Liability damage. 3. damage transported. 4. Perishability. spontaneous combustion explosion. 6. Susceptibility theft. 7. Value pound comparison articles. 8. Ease unloading. 9. Stowability. 10. Excessive weight. 11. length. 12. Care attention transporting. 13. Trade 14. 15. Competition Carrier Rates England, 47 M.C.C. 657, 660—661; Rate Investigation, 262 447, 508; Investigation Suspension Docket 76, 442, 472—473. Every day dispatching approximately 150 empty boxcars annual capacity 3,000,000 tons. import, export, ex-water addition, excluded, livestock, explosives, scientific equipment, easily damaged goods. spoke 'constituting destructive contravention national policy,' brief pointed out statement 'merely adjunct 1(6),' 'cannot sustained independent disallowing absence additional findings.' appeal. Instead, reopened hearings, entertained adequacy findings. hearings postponed pending resolution merits, agreeing, parties, necessarily agree, nothing our disposition S.Rep. 46, 49th Cong., 1st Sess., 188. I.C.C.Ann.Rep. 30—32 (1887). 38—39. See 33. 34 Stat. 589, 15(1) James Pyle Sons East Tennessee, Virginia Georgia R. 465 (1888); Thurber York H.R. 473 (1890); see National Hay Lake Shore M.S.R. 264 (1902). C.C., 134 F. 942, aff'd equally Court, 202 613, 766, 50 L.Ed. 1171. commanding reclassification hay straw lower-rated class. 36 546, 551, 552, 15(1), 15(7) H.R.Rep. 923, 61st 2d 45 Cong.Rec. 5142. 4578. Ibid. 'Some raised whether, existing act, orders dealing improper classifications. (Judson Ed. 1908, secs. 209, 210.) bill, removed expressly vested commission.' 355, (1910). primarily relied Judson treatise note 12, supra. Hartford, 223 421 (Div. 4, 1937); Commodities Chicago, Ill., Twin Cities, 226 356 1938); Maine Points, 387 Louis Birmingham, 455 1938). Harlem River, N.Y., Boston, 234 673 1939). dissents following cases: Santa Rosa, N. Mex., 243 517 1941); Los Angeles Albuquerque, 28 161 1941). Ports South, 245 207 216(b) Commissioners Johnson El Paso, Tex., 727 Butte, Mont., Spokane, Wash., 251 291 1942); Points Southern Territory, 253 I.C. 623 (1942). 361 Freight, Straight Carloads, 258 579 1944); All-Commodity Calif. Ore., 293 327 1954). 5, 48—49. unlike rule requiring lading consist exceed 60% total volume lading. satisfied whenever trailerloads, containing commodity, tendered platform even though consigned shippers destined consignees. 1(5) 27 3(1) 29 1(5), 15a(2), 15a(3).

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