The sun., 1897-05-22
THE MAXIMUM RATE CASE.
n DECLSI0N EXPECTED FROM THE
SUPREME COURT on MONDAY.

An Inportant Case That has Been In the
Conrts Nearly Four tYonrs--Deetyiens Here
tsrore Have nsen In Favor Of the Railroads--
Nebraska's Attempt 20 Rxaot Contributions.
A decision in what is known as the Nebraska
Maximum Rate cass is expected from tho
United States Supreme Court on Monday, that
being the last opinion day Of tho present term
Yhe caso has been in the courts for nearly four
years, and It's final determination is awaited
with great interest by railroad men. ThonrEu-
ments before the Supreme Court were, mado
about two months ago by James G. Garter Of
this city for the railroad interests, and William
Jennings Bryan for the Board Of Transportation
of the State of Nebraska.
In tho long course OF litigation the particular
issues involved have been about forgotten by
those in the East who interested in the final
decision. The suit originated soon after the
passage by the Legislature of Nebraska of what
is known as "The Newbcfry Bill" or "Houso
Roll 49," as It is technically known. This bill
was passed on April 12. 1903, and in effect de-
clared that on all local freight business done by
railroads in tho State of Nebraska reduction
In rates equivalent to 29io per cent on the rates
then in force should bo made. 4.
The Board OF Transportation OF tho State was
charged with the duty of enforcing these rates.
and railroad company was allowed an appeal
only to tho Supreme Court of the State Ifit
Coulu SdtlSIy tilaJ COURT IndJ rates Wcr0 un-
Just and unreasonable as concerned IL then tho
Court could direct the Board of Transportation
TO permit tho company 10 raise Its rates to any
sum In tho discretion Of the board not higher
than the rates in force on JAM l. 1893. The act
was to become effective on Aug. l, 1893.
In July, however. Oliver Ames and other
stockholders Of the Union Pacific George Smith
and other Stockholders of the Chicago and
Northwestern. and Henry L. Higginson and
other stockholders OF the Chicago, Burlington
and Quincy Railroad companies, secured a tenn
porary Injunction from Judge Dundy in tho
United States Circuit Court In Omaha restrain
In the reduced rates and the Board Of Trans
portauon from any attempt to compel them TO
do so. The injunction was asked on the ground
that the act was In violation of the Constitution
OF the United States, was confiscation of prop
erty for public use without compensation, was
class legislation. and was not properly enacted.
At the hearing in tho following October Judge
from this decision the Board OF Transportation
appealed to the Circuit Court of Appeals for tho
District of Nebraska. Justice Brewer Of the
Supreme Court, sitting in this court affirmed
on Nov. IL following the decision of the court
below, and the case went to the Unitod States
Supreme Court on an appeal from this decision
Justice Brewer in his opinion did not declare
the act unconstitutional He embodied in the |
opinion tables compiled from the exhibits offered
in evidence by the Secretary of the Board of
Trade and Transportation, which showed that
the rates sought to be enforced were unreason-
able, but said that tho time might come, as the
volume of business increased. when they might
as proviso to his decree. that leave should be-
reserved to the Board of Transportation to
move the court for a reinvestfgation of the
question Of the reasonableness OF the rates.