The San Francisco call., 1895-11-19
They Must Be Maintained by
the Railroad Company as
Congress Directed.
AGREEMENTS ARE ANNULLED'
Important Decision of the Supreme
Court Relating to Government.
Aided Roads.

WASHINGTON, D. c., Nov. 1S.-The
long-pending case of the United States
against the Union Pacific Railroad Com
pany and the Western Union Telegraph
Company was settled to-day by the unani-
nous decision of the Supreme Court, an
nounced in an opinion delivered by Mr..
Justice Harlan.
The decision is one of the most Important
that has been made by the Supreme Court
affecting the relations of the Government
and The Pacific railroads, declaring as it
does that Congress has the right to add to,
| amend, or alter the acts of 1S62-64, granting
aid in bonds and land to the company for
construction of its line. The proceeding
involved in the present decision was
brought by the Attorney-General in pur-
suance of provisions contained In the An
derson act of 1885, which required all COM
panies engaged in operating railroad or
telegraph lines which had been aided by
the Government to maintain and oper-
ate, through their own respective corpo-
rate offices. telegraph lines for all pur-
poses, and to exercise by themselves all
the telegraph franchises conferred upon
them.
The suit was brought in the Circuit
! Court for the Eighth Circuit and origin
ally heard by Associate Justice Brewer,
who declared the agreements between the
Western Union and the Union Pacific
Telegraph Company, by which the former
held exclusive rights to operate the tele-
graph lines along the railroad of the lat
ter, to be null and void and of no effect,
and directed the Union Pacific to at once
put an end to all relations between it and
the telegraph company and to operate its
own line OF telegraph. The case went to
the Circuit Court of Appeals and Judge
| Caldwell and Judge Thayer reversed Judge
! Brewer in modified decree, but holding
generally that the end sought by the Gov
eminent could be secured only by other
| legal meahs and dismissing the bill for
want of Jurisdiction.
The Supreme Court by its decision to-
| day reversed the decree of the Court Of
Appeals, and affirmed that of Judge Brew
er. Justice Brewer took no part in the
consideration of the case before the Su-
preme Court. In his opinion Mr.. Justice
Harlan said. in reference to the object and
scope of the Pacific railroads acts, that the
first eight sections of the acts of 1S62-64
are wholly inconsistent with the idea that
the Union Pacific Railroad Company
could have fulfilled its obligations to tie
Government by simply constructing rail-
road without making any provision what"
ever for the construction or operation of
telegraph line, thereby leaving all COM
munication by telegraph along its route to
the absolute control of private corpora
tions deriving no authority from the Ma
tional Government, and whose operations
would not ordinarily be subjected to Ma
tional supervision. AS to the power of
Congress to alter or amend the acts of
1S62-64 after discussing their provisions at
length, Justice Harlan said:
"We perceive no escape from the con-
clusion that it is entirely competent for
Congress to add to. alter or amend those
acts so as to require the Union Pacific
Railroad Company (having the rights and
exerting powers of its constituent COM
,, panies), to maintain and operate by and
through its own officers and employees
telegraph lines for railroad and other pur-
poses. and to exercise itself and alone all
the telegraph franchises conferred upon it.
1t is enjoying the bounty of the Govern
ment, subject to the condition, among
others, that it would perform those duties
whenever so required by Congress-"
The opinion further holds that since the
passage of the act OF 1868, no telegraph
| company can, by contract with a railroad
company operating one of the powerful
roads of the United States, over which
| interstate commerce is conducted, acquire
an exclusive right to such railroad for
| telegraph purposes.
The cause was remanded to the Circuit
Court, with instructions to make supple
| mental decree enlarging the period IN
which the railroad and telegraph COM
panies may make such arrangements, ad-
justments and changes as shall become
necessary by reason of the anpulling of
the contracts between them to carry out
the provisions of the final decree of that
court.
HApSTZEn TN HEAVV GElg