Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1880-12-04
RAILROAD RATES.
Judge Blsox on the Power and Duty
Congress and the states.

Comma,ss on Rnirood Transportation ot
ne Ns,r York Gurm5sr oj' Commerce:
GEsrLKNES-Iou propose move
ment in favor of some legal regulation
which will compel railway companies to
perform their duties to the public on
proper terms.
will answer your questions as direct.
lv IA possible, but without observing
the order in which You put them.
You desire above all things to be just.
The le,ally vested rights Of railway
companies, like other rights OF property,
are sacred, and no violation OF them
comes within the scope OF your design.
But on this question railroad men
misunderstood their situation. They
believe, or pretend to believe. that rail-
wavs are the property Of the companies
authorized to run them, which Is car
dinal error, and the parent OF much
false argument.
A public highway cannot he private
propeity. and railroad laid ont and
built by the authority Of the State fsr
the purposes Of commerce Is rs much
public highway as a turnpike road, ca
ma, or Eavigab,e river.
IL tisthe duty oi the State 10 promo te
intercourse and trade, by making high
WAYS Ct the best sOit through her terri
tory. To this end she may take land
and materials, which Is an exercise oi
the power of eminent domain. She can
bnlld a railway at her own expense,
using the direct agency OF her own OH
GERS, and alter it is built she can make 1t
Free TO all Corners.
or reimburse the cost by special tax on
individuals who have occasion to use II.
She can delegate the making anu
the taxing powers 10 cor
porat;On or natural person; and that
II what she ALWAYS does when she grants
a railroad charter. But in either or any
case the road belongs to the State, and
all the people have right to use II upon
compliance with necessary regulations
and payment OF the proper tax.
The corporations who have got into
tho habit OF calling themselves the own
ers oi the railroads have no proprietary
right, title or claim to the roads them
selves. but mere franchise annexed
thereto and exercisable thereon. They
are the agents OF the State for the per-
formance Of public duty. IL the iran
chise be forfeited or surrendered, or II l,
expire by effiux OF time. the State takes
possession of the road and runs II her
self. or EMPLOYS new agent. The COM
many cannot keep TIE road any more
than an outgoing collector OF aport can
appropriats TO himself the custom
house where he did his official work.
The state, having need for public
highway at particular place, makes
contract with a corporation to open and
mt il i'm condition To be used; and, by
way of reimbursing the builders and
operstors, she authorizes a tax upon
those who travel or carry merchandise
over il.
But this tax must be reasonable, just,
uniform, prescribed. and fixed, so that
every citizen may know beforehand ex-
actly how much lie must pay, AMI so
that when I've pays or tenders the proper
amount he will acquire an absolute and
perfect right to the use OF the ROAD. The
amount OF the tax, tol', or freight III any
case IS
Not Subject OF Bargain
between the shipper and the corpora.
tion. but a thing To be settled, fixed, and
prescribed by public authority. III the
company may charge what II pleases,
then the road is not a public highway /;
the public has no right i'll II Al all. and
the character which authorizes the TAX
iny OF land 10 build il is demonstrations
al and void.
These principles were stated by Judge
Baldwin i'm BOnaparte against the Cam
den and Amboy Railroad Company
II Bald. Rep. 252l. You will tind Il
more extended discussion OF them by
tie supreme Court OF Pennsylvania, Ia
Casey against the Erie aud Northeast
Railroad Company - Casey's Rep. 2SI J..
| DO not think they are opposed by any
high authority, but no doubt they have
oi,en been overlooked in Judicial deci-
sions and forensic arguments.
The railroads being public property IN
which all the people have equal rights
ami the companies tina. run them being
public agents, il is absurd TO say that
The Stare las no right to regulae ami
control them in the periormanceot their
functions by such laws AZ will prevent
partishty, plundsr, and extortlon. This
il a power Of whicI no free STATE can
disarm itself hy any act of its Judicial,
lrcislatiyc, or executive Ulcers.
They could sS lawfully sell the State
out and ont and deliver up the entire
popul uion 20 sack and piIlage.
But are not the franchises property in
which the company has vested
right Yes, The privilege OF taking
"A certain fixed, prescribed. uuliorn, rea-
sonab,e rate oi toll IRON all persons
alike, according to the Use they make OF
the Ioid, is a power that the State may
bestow upon any person, natural or
artificial. But no lawful franchise TO
take tel, on a public highway can exceed
those limits. \ charter that goes be-
yoGd this Is void.
Those companies will oppose any e..
fort Ia bring them down TO reasonable
rate with the argument that such reduc-
tion il
A Violation Of tins Contract
between them and the State. But OIL
the principle lail down by Judge Bald.
win in the case above mentioned, q
charter is imperative which authorizes
a maximum OF toll or fare so high that
the company is able, without exceeding
il, to exclude tue people from using
their own road In the granger cases
from Iowa and Wisconsin the bargain
was that the companies might fix their
own rates. Bu; the Supreme Court OF
the United States held that a subsequent
law to restrain them within reasonable
limits was no violation OF the original
contract. This principle applies to a
company whose naxinum rate is un-
reasonably r high, because such rate is
practically the same thing IS no limita-
tion. at all.
The conclusion that all the railroad