The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1897-01-17
Claim Made That the People Are
Being Put to Unnecessary
Expense.
VIEWS OF THE ATTORNEYS OF
THE COMMISSION.
No Settlement of the Case Short Of
Complete Surrender Will Be
Considered

There is a strong probability that the
case of the Southern Pacific Company
against the Railroad Commission of the
rate of California will never come 70
Ytriai, but will be dismissed at the instance
of the complainant.
Already an intimation has been given
that all proceedings, so far as the South
ern Pacific Company is concerned, will be
dropped if the Railroad Commission will
consent to a per cent reduction on grain
rates instead of the per cent cut, which
the Southern Pacific is contesting in the
United States Circuit Court.
In conversation with an official of the
Southern Pacific Company, who has au-
thority to shape the policy of that corpo-
ration, he called attention to what he
characterized as the unnecessary expense
to which the State was being put in con-
nection with the pending case, and showed
how, in his opinion, further expense could
be obviated by settling the whole contro-
Tersy out of court.
up to the present time" said this gen.
tleman, ''the State has incurred an ex-
pense of $25, 600 in attorneys fees alone.
This is without counting the services of
Attorney General Fitzgerald, who, l must
admit, has done the most important and
arduous work in connection with the case.
1t will also cost US, in all probability,
similar sum for the legal talent engaged
to aid William T. Herrin. You see. John
CARRIER, who was one of the attorneys for
the railroad, testified that the services of
the gentleman who were of counsel with
Attorney-General Fitzgerald, were worth
this amount and he will, therefore, expect
and claim that the same compensation
should be paid by US.
''rhis would make $50, 000 aside from
costs of court and incidentals, that the
litigation has already cost, and only the
preliminary stage has been disposed of
though year and half has passed since
the litigation began. The actual trial is
to come.
'AlI OF this expense must eventually be
borne by the people, for we undoubtedly
have a right to charge the expenses of
this litigation to operating account, and
thus you will see the burden falls in real
ity on the people.
Should the case come to trial the COM
missions attorneys will be forced TO en-
pIoy experts, and the compensation of
such gentlemen will not fall far short of
$50, 000 AddSto this another 5000 for
additional counsel fees and you have
total of $4,000. which will be taxed to
the people of California.
Now, if the Railroad Commission
should come out victorious in this suit,
and there is not the least chance that they
viii, the per cent reduction will only ef
feet saving to grain shippers of about
Sl60 600 annually. In the face of this why
should the commission not save all the
money, trouble end loss of time incident
to this suit and modify their demands?
Let them accept reduction OF per cent.
This would relieve shippers of the burden
Of paying about $50, 600 each year."
Am l TO understand that the railroad
company would suffer its rates to be inter
fered with to even this extent by the com
mission p asked the astonished reporter
81 should certainly advocate such a
course" was the prompt and evidently
sincere response.
When this conversation was brought to
the attention of the attorneys for the
Railroad Commission, they were simply
dumfounded. After they had recovered
somewhat of their normal condition, one
OF them expressed himself as follows:
There is only one way to explain this
REGULAR attitude of the Southern Pacific
Company. 1t is endeavoring to create a
public sentiment against the course of
the commission in order to prevent an in
spection of its books and the thorough in
lvestigation of its affairs so far as they re-
ilate to its business and career in this
State.
y For years-in fact, ever since the COM
mission was created By the new constitu-
ton-it has held club over the officers of
that body in the threat to wipe the COM
mission out of existence on the ground of
its alleged unconstitutionality. There is
little doubt but that the fear of this
weapon has in the past partly tended to
make previous commissions amenabie to
the arguments of the corporation. The
exis ting body was not in any degree in
spired by a dread of this sword of
Damocles, but simply went ahead and did
what it considered TO be its duty.
"Having been unable to stay or dimin-
ish its aggressiyeness up to the present
time. the Southern Pacific Company is
now seeking to discredit it with the pub
lie. While I am not authorized to speak
for the Commissioners, either as individu-
ais or as a body, feel justified in saying
that they will not for moment consider
any proposition for compromise, which
consider this to be. 1t is true that the
proceedings appear to be expensive, but
when the principle that is involved is con-
sidered the cost is but trihing.
THAT the commission does not propose
10 lose any of the fruits Of its recent vic
tory in being declared a constitutional
body is shown by the bill introduced in
the Assembly by BeIshaw of Contra Costa
the other day. The same is to be intro
iduced in the Senate by Gillette OF Hum
Aboldt. 1t appropriates $4,000 for expert
SEpenses."
Here a copy of the bill was produced.
1t reads as follows:
SECTION 1. Whereas, there is now pending in
the Circuit Court of the United States for the
Northern District of California suit wherein
the southern Pacific Company is plaintiff
ana the Board OF Railroad Commissioners OF