Ellsworth American. [volume] (Ellsworth, Me.) 1855-current, 1874-01-15
VOL *: Whole No. 900. No. 3.

tions just responsibilities and restraints;
and ON the other hand, properly protect IN
vested capital, and inspire that public con-
fidence which Is SO essential to the true i'll
terests OF railroads, as well as of commu-
mites.
Inasmuch as railroad corporations are
. granted extraordinary powers which par
take Of the nature of sovereignty, it is ONLY
after many limitations and restrictions that
they can be said to be private corporations
at all. Railroads should not and can not
be regarded simply, or even principally. AS
the property of individuals, to be managed
as they please. They are public works, no
matter by whose capital built; and while
the rights of property in them may not be
violated. yet it Is the right and duty of the
State to see to it that they are so managed
AS to serve the public. so superior are
they to every other means of land trans
portatiOn, and 80 expensive is the construc-
tion of competing lines, that railroads are
practically, and not necessarily in any Of
fensive sense, monOpolies along their re-
spective lines Of business; and unless the ere
Is some power to restrain them expressly
or impliedly reserved In the control of the
state, as there always is in other grants of
exclusive privileges, they may not only
impose such freight and passenger tax on
strOy or build up communities. but they
may discriminate between citizens at pl cas- =
ure. Valuable and even indispensable as
railroads may be to community so 10 ng
as these corporations are servants, vet, in
view OF the tendency to a combination of
their interests and aggregation of their
capital in the hands OF q few, if they are
allowed to become masters, large part of
the benefits, which the public have right
to expect from them, will be lost, and the
corporations become sources of oppression
and public peril.
In authorizing the formation of railroad
corporations Observation-Disclosures by special
legislation or as is preferable, by general
law-care should be taken to include such
provisions as will remove all doubts as to
the right of the State to exercise such su-
pervision as the pablic interests may re-
quire. The question as to how far the leg
isature may exercise control of the rail
road corporations which it has heretofore
chartered-the most of them with peculiar
privileges and powers,-is still in some i'm
portant aspects an open one, although jul
dicial decisions are gradually developing
Legislative rights which these corporations
have steadily denied. 1t has been held by
the Supreme Court of the United States
that railroad corporations are common
law.-at least so far as to require them to
provide sufficient and convenient methods
of transportation, and to carry passengers
and freight for all persons without distinc-
ton and without unjust discrimination;
even if not on such terms as may be deter
mined to be reasonable. 1t has also been
held that a railroad corporation may be ju-
Ideally deprived of its franchises Tor Il nom
use or misuse of them; and that notwith-
standing the ownership of a railroad may
be private. yet the use is public, and the
road itself u public highway. And as Il
necessary consequence OF this, the court
added by the way of argument that 1.-THE
legislature is the exclusive Judge of the
mode of use, and this carries with il the
right to make such provisions and impose
such restrictions as the legislature may
think necessary Tor public convenience, As
well "a safety.
While the Importance of this subject de-
man,ls a careful preliminary investigation
uffd inquiry into such facts relating to the
railroad systems of this and other States,
rs will furnish the dqtd for Il judcious and
intelligent revision OF our railroad laws
which inquiry. either through the Railroad
Commissioners or some other commission.
| most earnestly recommend--yet there
are some features of such legislation of SO
immediate aud obvious necessity, a. il
seems to me, that they need not be defer
red.
/ OF this character is n general law for the
formation of railroad corporation. and con
struction OF railroads. Hitherto this has
been done by special charter, and has in
volved not only all the evils incident to or
dinary special legislation, but also, at least
IN some other States, in cases where pro-
posed roads were supposed to conflict with
existing railways, those fearfully demor-
allzlng practices to which great corpora
tions sometimes resort to defeat or pro-
mote legislative measures. These evils
would be entirely avoided by a general
law authorizing suitable number of per-
sons. under restrictions which carefully
protected private as well as public inter
ests. to construct railroads between such
points as they desired, and could obtain
the means to build, BY thus putting the
construction of railroads on Il free basis.
subject to the same laws of trade that reg
ulate other business transactions, they
would be built wherever the demands of
transportation Justified, or communities
could furnish the requisite means. AL
though, on account of the expense of the
construction of railroads, even free rail-
roadng will by no means secure the same
competition in this as in other business, yet
its tendency would be in that direction, and
its influence healthy. 1t would serve, on
the one hand, to moderate the demands of
railroad corporations from a knowledge
that competition might spring up; Oh the
other hand, to some extent relieve such
corporation from the odnm which attaches
to monopoles sustained by law.
Existing laws, as it seems to me, fail to
confer upon the Railroad Commissioners
powers which are essential to secure the
convenience, even if they do the safety of
the public. These commissioners should
have power to order that additional station
or transportation facilities be furnished by
a railroad to any town through which it
may pass, where, after hearing and inves-
tisation, they may regard these facilities
insufficient. They should have authority
to require railroads to connect at such
points as they may judge the public inter
est requires; and when the roads cannot
agree upon connecting terms, should have
power to adjust such differences 1t is un-
just to the public that they should suffer in
consequence of disagreements between
different roads preventing such cOnnec-
| ton Of their lines as is necessary to secure
| the public convenience. Without such a
provision, it will be in the power of exist
| irg trunk lines to compel new roads seek
ing an outlet, to submit to such severe
terms as may seriously impare the value OF
the latter, and prove prejudicial to the pub
lie interests.
There are other directions in which.
sooner or later, legislation will be found
necessary. While railroad corporations
are clearly required, as common carriers,
to transport passengers and freight for all
persons, without distinction, and without
unjust d scrimination, yet as the remedies
for breach of these duties all rest on the
common law and not on statute, there are
grea. difficulties in the way of any private
individual enforcing his rights against a
powerful corporation, unless there shall be
! legislation to facilitate.
: Inasmuch as it must ever be the aim of
: the managers of a railroad corporation to
t make the net earnings sufficient to pay the
interest on the bonded Indebtedness and
, stock of the road, the law should guard
: against the serious evils which have re-
suited in some States from what is popu-
) larly known as watering stock by
absolutely prohibiting the issua of any