The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1886-06-13
ThsA. 81. and s. P. r. b.

CHICAGO, June 1.-THE three arbltra
tors-E. B. Thomas, Hugh Riddle and
e. T. Vining-who for the past few days
had been hearing both sides in the con
troversy between the Atlantic & Pacific
and Southern Pacific Railway Com
panies growing out of the trans-con-
unental var, rendered their decision
this afternoon. The Atlantic Il Pacific
Company 8 lines terminate at Majove.
ana Tor the past two years there has
oetn n'ract between that company
ana the Southern Pacific. by which the
Atiantlc q Pacific Company was al
lowed 20 do San Francisco business, using
the southern Pacific line from Mojave
20 that CITY. A dispute arose after the
olsru ption of tie Trauscontinental
pool in February. and il was over a div
ision Of the earnings Of the through
line between the two compan-
les The contract governing
this business was made in 1884. and pro-
vided that the Southe. n Pacific Com-
pany should have for its share of the
through freight and passenger rates its
mileage pro rata OF such through rates
as may be established from time to time
By any of the through lines competition
for through traffic" Wien the trans
continental pool broke up, the Atlantic
g. Pacific company claimed the right 70
meet any rate which its competition
might make. and that the Southern
Pacific compEnv was obliged, under con-
tract. to take It's mileage pro rata of any
low rate that might be made to meet the
competition OF other lines. THIS claim
the Southern Pacific refused to allow.
claiming that only the established rate
contemplated by the contract was the
one established by the Transcon'inen-
tai Association. Acting on this con-
struction of the contract, the Southern
Pacific compelled the patrons and Gus
TONERS of the Atlantic and Pacific
through line to pay back to these peo-
pie the difference between the cut and
the old established rate The board OF
arbltrators, in their decision, sustain
the position OF the Atlantic and Pac &c.
holding as follows: The clause, such
through rate as may be estab-
lished from time to time. for
any of the through traffic. means
and was intended to mean. such a rate
as may have been given, accepted or
permitted BY the members OF any other
through line, it being the decision of the
aroitrators that the Atlantic & Pacific
Company has right to make any rate
that may be given, accepted or per
mitted by members of any other
through line, and such rate. are to be
divided between the Southern Pacific
Company and the Atlantic & Pacific
Company, upon the Kansas City ana
San Francisco mileage as provided in
the contract"
The decision makes it necessary to
have an accounting between the two
rrTn - rfarr he
to be paid by the Southern Pacific TO
ness since the disruption of the pool.
The Atlantic & Pacific was backed in
the dispute by the Atchison. Topeka &
Santa Fe and the st. Louis & San Fran
cisco companies. who are joint
owners oft he line The arbitration
has attracted unusual attention
among railroad men, because it was
believed the settlement OF this question
Will aid in the final adjustment of the
trans continental difficult es. Among
the prominent officials OF the different
Companies present at the arbitra-
ton we're General Tra1ic Man
sger Stubs, General Passenger
Agent and Assistant General Solicitor
Hayman, of the Southern Pacific.
The Atlantic & Pacific was represented
by General Manager Robinson. Cen
eral Freight and Passenger Agent Bis
sell and Solicitor Hazledine and Judge
Henry A. Waldo, of New Mexico. From
the st. Louis & San Francisco was
John o. Day and G. w. Smith
General Manager George &. Peck,
General Solicitor, and George w.
scented Atchison. Topeka and Santa Fe.