The great West. [volume] (St. Paul, Minn.) 1889-18??, 1890-02-28
VOL. I, NO. co.
Tbs Granger Case:


the U. S: Supreme Court has not been.
decided at this writing. Iteis>not SO
important:s case as at first regarded.
1t really concerns, not the right of
the state to control railway tariffs,
but the right of the railway to go ina
to court and prove a. loss thereby
and get relief from the orders fthe.
Commission. 1t is, however, an. en-.
1tering wedge to break. down.. the,
force OF the old granger ,decis;on,. and
the opinion OF the Supreme. Court isl
looked for with some anxiety. We.
give here some of the points in the.
Atty Genrs brief:
"The plaintiff in error was the own
er OF a. short line of road at the CITY
Of Minneapolis, Minnesota, engaged
at all the times herein mentioned in,
operating the same as a common
carrier.
For some time prior to, the 7th day
Of August, 1887, the plaintlffin error
had maintained q schedule. of rates
for switching cars over its lines in
said city, varying from $1.25 per
lear, for empty cars, to $3.50 per car
for loaded cars. On said day this
Board OF Commissioners made an Or
der or recommendation OF schedule
OF rates which the plaintiff. company
might charge for switching cars by
which the rate was fixed at one dol
per car whether empty or. loaded.
The company refusing to comply
Herewith, an alternative writ OF
mandamus was issued by the. Su-
preme Court.
Plaintiff in error by It's return
claimed that until September, 1882,
it only charged one dollar per car
(the rate fixed by the commission)
since which time it has charged 81 so
per car, which it claimed to be fair
and reasonable rate.
That down to June 3Oth, 1887, it's
earnings were less than the interest
on it's bonds and it's operating ex-
penses combined, by $21, ,223.76.
That the earnings in excess OF oper-
ating expenses were applied to the
payment of the unsecured indebted
ness. That on November 3Oth, 1880,
there remained of the unsecured in
debtedness 81, ,211. .O2 and the unpaid
interest on it's bonds amounted to
$1O5, 100000.
We shall consider in their order the
several contentious thus urged by
the railway company:
!
That the Law, under which the
Company was organized, SO far as it
relates to rates, amounted to con-
tract between the State and the Com
pany.
The constitutional and statutory
provisions in existence at the time
the company was created are as fol-
lows: Gan corporations being COM
mon carriers, enjoying the right Of
way in pursuance OF the provisions of
this section, shall be bound to carry
mineral, agricultural and other pro-
ductions of manufacturers on equal
and reasonable terms" Section four
az, Article ten (1O,of the State
Constitution.
''That any railroad company or
corporation, organized under the
title to which this is an amendment,
may charge and receive, for the trans
portation OF passengers and freight
on their road such reasonable rate as
may be from time to time fixed by
said corporation or prescribed by
law" Section 63, Clap 81. of the
General Statutes 0f1888. =
Chapter 1O3 of the general laws of
1875 contained the following pro-
vision: Section 8. "No railroad COM
pany shall charge, demand or receive
from any person, company or cor
poration, an unreasonable price for
the transportation of persons or
property, or for the handling orstor-
ing of any freight, or for the use OF
it's cars. rfor any privilege or service
afforded by it in the transaction OF
it's business as q railroad CORPORA
tion."
1t will be seen that this is, practi-
cally a repetition of the constitutions
al provision above referred to-.
| Upon a case being brought to this.
court, the validity of the act was.
again sustained.
Winona 6 st. Peter Railroad. Co.
VS.. Blake, "a y. s., 18O.,
In the case of the Wi1Ona e. st.
Peter X. r. Co., vs.. Blake, it's char
ter contained the provision that the
company should be bound to carry
freight and passengers upon, reason
able terms, and this Court held that
it was subject to- the low of 1871,
which fixed the naaximuna rate; and,
in commenting upon the statutory
provisions THAT the company shall
be bound to carry fresghts and pass
engers upon reasonable terms" and
the constitutional provision >'that all
corporations being common carriers