The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1898-10-31
THE JOINT ASSOCIATIONS ARE DOOMED
Railways Want Pooling Law So They Gan
Maintain Uniform Rates.
ALL THE WEAK LINES WILL Be BANKRUPT
LcuisIution Needed to Protect Both
the Roads and the Pubitc-Com-
mission should BE supreme.


cislon Of the supreme court on the traffic
associations gives his opinion as follows;
The decision Of the supreme court neces-
sitates The dissolution Of the Joint Traffic
association as at present constituted
Broadly stated the decisions means that
there shall be no association among rail-
roads by which they will have amy I'M
Outstanding or agreement in regard TO
rates. either the maintenance OF rates or
the prevention of rats cutting, or the pre-
ventior Of determinations against weak
shippers in favor OF strong ones or against
small localities and those along the lines
in favor OF the great terminal facilities.
The object of the Joint Traffic association
was, first, to assist ths interstate commercs
act; second, to prevent secret rate cutting,
AID. third. to prevent the favorltism 10
great cities and 10 great shippers which
are gradually wlping out Intermediate
towns and the small business men.
All the railways ask is that under some
form OF voluntary agreement or pooAng
law they may be permitted to arrange
among themselves SO that there shall be
uniform ratss.
In other words, as the railroads are SEMI
public corporations, then the public should
be treated on lines the same as the gov
| ernplent treats people who use, the postot-
| fee. viz: Uniform rates AMI equal treat
nleUt to every one Tor like service. The
ggat error OF the people who framed the
| interstate commerce act Is In suppps .ns
that IA preventing the railroads from agree
Ing on rates and having a pool they were
goutng lower rates FOR the purpos. ami pee
| venting DETERMINATIONS. Their leg.sla
ton procesdcd upon the thought that there
is but one line, for instance. betwe.n New
| York aud Chicago, whereas there are eight
! lne'. Now II is possible for Il combiaA-
| zion OF capital to take the weak line ana
| ship ITS product over tiat Inns, upon an
| agreement much below the CURRENT rates.
| Tho weak line may DO in the haads OF a
receiver and have no obligab.ons TO pay
| eN-n upon the Invested capital which Blu Ii
it. The o;her lines can not afford to go
I'M . bank Uptcy by following this rate.
The effect Is very soon evident. The rates
! which these big shippers get over this
| bankrupt line enable them 30 make tho r
product so much cheaper THAN the people
| Who are situated upon the other liaes or
who send 10 market from other places than
the terminus of the bankrupt line. that
they drive them out of business Then the
anti trust, anti corporations. antl-combina-
| ton people, by their own device have Gre
! ated combination and a trust. This process
! has been going or ever since the Inter
s,eJ2c commerce act and the anA-poollaG
! PROVISIONS were enforced. If the process.
! continues, the present RAPID progress o.
the consolidation OF every product into THE
hands OF one concern or few men will
/ continue UNTIL both the producer and tn
consumer In the country will have ihei.
prices fixed by the combinations OF the va
llous products of the peaple. II he sigh
lines, however, We're in a position wher<
they could protect each other and the pub
ic giving equal rates ard equal o5por.uni-
I'ties by all lines, then the enterprise ann
energy and natural facilities of ntsrme.
date places, with smaller expe sses and less
/ capital In their business, With the owners
attending to hsir own affairs, would result
In Wide distribution OF Independent busl-
ness in the farmer finding many compel
tors for the product of his farm and tn,
| railways having thousands OF customers
instead of very few
The object Of a pooling law has always
been that the railroads would combine tc
raise prices Ii Is apparently useless 70,
| railroad men TO say, what they know to be
a fact, that The demands of the different
markets, the competition OF railways and
the condition of the different center, al
which freight is gathered, make it impos-
sibe for the railways to raise rates But
The railways are not only willing but anx
ious. that this danger should BE- obvlat I'd
| by giving the government supervision and
r'adt ask 70. no pooling law except upon
control over all pooling rates The road.
ask for no pooling law except upon these
Nondilors: FRS, that tine pooling con-
hNact shall not be made until 1t has been
approved by the interstate commerce. com.
mlssVon; and second, that II HE rates
| Prov oppressive or unjust on the trafl,
which is subject to the pool the interstate
commerce commission shall have the righ,
to step IN and right me wrong, IL there Is
any, or ahroSate the pools The only OBJ
| lection have ever heard is that the goy-
errment can not be trusted. Certainly,
there has been nothing in the conduc Of
Ine ih'ersiaee commission since its forma
ton which justifies such a charge. II
sum charge Is true then all goye9a,nen;
is a laglure where great responsibilities de-
volve upon st.
The rallrot's are anxious that the inter
| state commission should be as strong n d
judicial as possible The nearer Il an
prosehes the absolutely independent form
OF the supreme court of the United States
tte better II will suit the railroads. Fail
ins. however, IN Legislation on the subie,,
and suprossng thai. the law rema MS as this
supreme court has decides against rallroa,,
pooilns ana agreements under present stat
ives. The natural tendency Of tho railroads
VIII be to follow me general trend CT Inc
other business Of the country. This viii
not De q rapid process, hut the tendency
WIZ be sure, The weaker Ines VII h,
unable 70 stard the strain OF ir-egula,
rates aTl wholly uncertain or unremunerI
| tive compensation which follows. The,
WI not be able 10 raise IRE morey whlri
the stranger linss can to take ADVANTAGES nj
every Snvertior, every improvement Which
; tan obsaprA the cost OF carving. So Tho,
VIII te bankrupted AMI rl'imatelv ahsorbai
" nm s'rof g. lines ems III bn lrsss Z,
ne COUNTRY viii be In thu hams Of tss
hfter Jhe CONSEQUENT formatir. of fan
gigantic corporations TO do Tho c,rrvi,c
o. the cc'wtrv would fhrea ,t,T sno,ha,
rafwSv ay'tet.on whs-h r. wlsa ~
an 2 long peraod Of general dst rb,rc,
Of bnslr ess-that sort ~ detn-bGnc WI,
ma hrS tn'rr, brsihse tho h,,s'n,.s -, .
5 has tciors 70 deal with IA lssislst,on ana
! u'ce,fafN rats which make h, ,rros AZ
: Tor ihe wiSsss head to forecast the f,,,,,rs
{ Ths decision VIII be fortunate docu
nest Y coreress, In a calm hrraa ~,
, NH Toxic up the whole question ana e.
I isgsilfs fhs ri,bl,c carriers and raiJwers
Al ~. ih' investors arr shsi. er,nlovs. ~ /,
oe ,uily protected; that large freedom "a,
ageemeas may be granted the raIlways
amcng themselves under the str,c, s,,nar.
Vision s0d rigid control Of the goverr Sns1