The clarion. [volume] (Jackson, Miss.) 1883-1888, 1885-04-22


because it Is across the state boundary, {
i cannot he said that there Is an uu-
warranted Interference with commerce
among the States
The Railroad Commission : not a re-
striction or bindrsnee of the freedom OF ;
commerce, but is intended TO facilitate
it aud smooth its way by removing
hindrances The fear is professed that
the commission will cripple or destroy
the instruments of commerce. If there
is danger of this, that cannot make any
difference so far As relates 10 the ques-
ton now being discussed, because the
creator may at pleasure destroy the
work of its own power, unqaestioned b
TO the right 10 do il.
In Peik r. Raji,rGg Co., "a I. :, l64, /
it was held, that the Legislature of the /
State of Wisconsin had the power 70 +
prescribe maximum of charges 10 be /
made by a railroad company whose /
road was connected by means of a
bridge and a consolidation Of compa
MES. with railroad in another State, for
transporting persons or property within
the State or taken up outside the state
and brought within 1t, or taken up IN
side the state and carried without. Inc
right of the State was put on the ground
of the absence of action by Congress on
the subject, and. because of this, it was
said, the State could provide for the
people within the State, even though II
might indirectly affect those without
OF course, this reasoning implies the
existence of power in Congress to regu-
late charges, which we questson.
Congress has not attempted to regu-
1 late charges to be made by railroad com
panies; and if the right of the State 10
/ act with reference TO fares and freights
carried across the boundaries of the
State depends on the absence of Com
gressional action the right of the State
must be upheld.
The authoritative declaration IS that
the power to regulate commerce among
the several States is exclusively in Con
gress and denied to the States, in all
/ those cases, where, from the nature OF the
subject uniformity of regulation Is re
/ quired and that, as to these subjects, the
labseuce of Congressional legislation Is
equivalent to a declaration that there
shall not be any regulation; and any
State legislation in such cases must fall
before the silent but efficient power of
the Constitution.
We think that regulating rates for the
/. transportation of persons and property,
does not fall within the class of matters
requiring or admitting of uniformity.
= Perhaps, no subject admits of, and de
mands greater diversity with varying
localities, and circumstances Justly
affecting the value of service.
If State should build and operate a
railroad connected with the railway sys
TEN, and navigable waters of the coun.
try, for revenue, might Congress pre-
scribe charges over it for persons and
: things en- route beyond the limits of the
State? May Congress regulate tolls anC
5 charges on the Erie Canal connecting
| the navigable waters of the lakes Will
? those in the East?
2 Section of the charter of the appellee
2 confers on the company powe
: to fix, from time to time, by it.
board of directors the rates at which i
j. will transport persons or property owe
/ Its railroads, Pro7ded, they shall no
: exceed a maximum specified in the
I act.
e The power to contract is an .assentia
a attribute of sovereignty, and is Of prim
n Importance. Its exercise has bee
n productive of incalculable benefits t
/. society, however great may be the evil
5 incident to its injudicious employment
e 1t cannot be denied merely because o
o its liability TO abuse. The power /
|. contract implies the power to make
V valid contract. Chartering railroa
>, companies and other similar association
l. has long been an acknowledged and a f.
= vorite exercise of legislative authority
;, The right to grant charters includes tn
,e ri ght to grant such, as will be upheiC
l. Comforting power on the grantee Of th
e franchise to fix rates of compensation
n at discretion or within prescribed limit
e fixed by the charter, has been tn
Re common practice of the Legislatures {
o the States of the United States from u
lie early period of their history. The RICH
1T of the corporation to exercise th
N powers conferred by the act of incorp,
sc ration, whether to fix rates then
lie selves or to take those fixed b
n their charter, and to rest securely q
st its provisions in this respect, has hithert
'r been generally regarded as indisput,
in BILE.
n A grant in general terms, Of authorit
rs to fix rates, is not a remuneration of tn
y right of legislative control so 'as
IF secure reasonable rates. Such a graz
er evinces merely a purpose to conf,
he power to exact compensation, whic
r shall be just and reasonable. it is onl
" where there i an unmistakable man
" festatiOn of a purpose to place tt
m unrestricted right in the corporation,
re determine rates of compensation tn;
t the power of the Legislature aiterwarC
$ to interfere, can be denied. 1t is not
$ be presumed that the right of legislatiy
" control was intended to be renounce,
Is Every presumption is against that.
d, the grant can be interpreted with0r
n ascribing to the Legislature an intent
N part with any power, it will be done Onl
what is plainly parted with, is gone
J., Fixing rates in character Is a speci1
Of cation of what is reasonable-an excl
is sion of tacit or implied conditions on ii
lie subject. 1t is an essential part of I'll
" contract of Incorporation mo-
ut important condition of its existence
Iy the inducing cause of its acceptance.
ut That it was the legislative intent
lg vest in the appellee the unrestricte
:. right to fix rates, within the limI
es prescribed by the charter,is clear. Tn;
Of this was a valid contract by the Stat
is obligatory and inviolable by it, v
It, regard as settled authoritatively /
er Federal and State decisions too hume
ours Tor citation.
it If anything is or ever can be settle
E. in American Constitutional law. Il
ID sanctity and inyiolability of a contra,
in between a State and individuals, in Il
is shape of a Charter for business ente
as prise, accepted and acted on by the co
- pOratOrs, on the faith of its terms an
Id provisions, must be so regarded.
es The appellee has the unquestionab
Of right, from time to time, by its board
re directors, to fix the rates at which
Id will transport over its railroads; pr
IN Uided, those rates shall not exceed Il
to maximum prescribed by the charte
to That is the contract. These terms we
lie expressly made. On the faith of the
v capitol was invested, and the enterprit
Sc set on foot. 1t is not allowable now. f,
I'd one of the contracting parties to int
te fere with the exercise by the other
s. its plainly granted rights They al
lie secure beyond the reach of Legislation
he and cannot be impaired. The Stai
at cannot, by an act of It's legislature, add
ID cate the right to govern artificial as We
Sc as natural persons; but it may crea
. corporations, and, where they are not
is part of the machinery CT government
the franchise cannot be resumed by IL
y legislature, or its benefits be essential
al impaired, without the consent of I'll
Sc grantee. To hold otherwise would |
10 revolutionary, and disturb the found
al tions of society as moulded by the iud
ls cial utterances of half a century of COZ