The record-union., 1895-11-19
TELEGRAPH FRANCHISES.
important Decision Rendered by the
L. >. supreme Court

u. s. supreme Court
WASHINGTON, Nov. 1S-The long
pending case of the United States
against the Union Pacific Railway
Company and the Western Union Tel
cgraph Company was settled to-day by
the unanimous decision of the Supreme
Court, announced in an opinion deliv-
cred by Justice Harlan The decision
is one of the most important that has
been made by the Supreme Court af-
fecting relations of the Government
and the Pacific Railroads, declaring, as
1t does, that Congress has the right to
add to, amend or alter the Acts of
1862 and 1864, granting aid in bonds
and lands to the company for the con-
struction of it's line.
The proceeding involved in the pres
ent decision was brought by the Attor-
ney-General in pursuance to the direc-
tions contained in the Anderson Act of
1888, which required all companies en-
gagged in the operating of railroad or
telegraph lines which had been aided
by the Government to maintain and op-
crate through their own respective cor
pOrate offices telegraph lines forall 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 orig
lnally heard by Associate Justice
Brewer, who declared that the agree
ments between the Western Union and
the Union Pacific Telegraph Company
by which the former held the exclusive
right to operate the telegraph lines
along the railroad of the latter to be
null and void and of no effect, and di-
Iected the Union Pacific to at once put
the telegraph company, and to operate
its own line of telegraph The case
went to the Circuit Court of Appeals,
ana Judge Caldwell and Judge Thayer
reversed Judge Brewer in a modified
decree, but holding generally that the
end sought by the Government could
only be secured by other legal means,
and dismissing the bill for want of ju-
risdiction The Supreme Court, by its
decision to-day, reverses the decree of
the Court of Appeals and affirmed
that of Judge Brewer.
Justice Brewer took no part in the
consideration before the Supreme Court
In his opinion, Justice Harlan said, in
reference to the object and scope of the
Pacific Railroad Acts, that the first
eighteen sections Of the Acts of 1S62-64
are wholly inconsistent with the idea
that the Union Pacific Railroad Com
pany could have fulfilled its obligations
to the Government by simply construct
ing q railroad, without making any pro-
vision whatever for the construction or
operation of a telegraph line, thereby
leaving all communication by telegraph
along its road to'the absolute control of
the private corporations deriving no au-
thority from the National Government,
and whose operations would not ordi-
Earily be subjected to National super
vision.
AS TO the power of Congress to alter
or amend the Acts of 1SG2-64, after dis
cussing their provisions at length, Jus
tice Harlan said: I'VE perceive no es-
cape from the conclusion that it is en-
tirely competent for Congress TO add 70
alter or amend those Acts so as to re-
duire the Union Pacific Railroad Com
pany (having the rights and exerting
powers of its constituent companiesl to
maintain and operate, by and through
it's own officers and employees, telegraph
lines for railroad and other purposes.
and to exercise. itself and alone. all the
telegraphic franchises conferred upon
il 1t is enjoying the bounty of the
Government subject to conditions
among others. that il would perform
those duties whenever so required by
Congress.
The opinion further holds that since
the passage OF the Act of 1868 no tele,
Gl3pn company can, py contract with
a railroad company operating one Of
the powerful roads of the United States
over which interstate commerce is cor
Quoted. acquire an exclusive right FOR
such railroads for telegraph purposes.
The cause was remanded to the Cir
cult Court with instructions to make q
supplemental decree enlarging the pc
riod in which the railroad and teIe-
graph companies may make such ar
rangements, adjustments and changes
as shall become necessary by reason Of
the annuling of the contracts between
them to carry out the provisions of the
final decree Of that court.