The record-union., 1898-03-08
So Declared by the United States
Supreme Court.
An Important Opinion Handed Down by
Justice Harlan.
Declares That the Law is in Viola
ton of the Fourteenth Amend
ment, and Deprives Person Of
Property Without Due Process
of Law,

of Law.
WASHINGTON. March 7.-Justice
I Harlan to-day delivered his opinion in
: the Nebraska maximum freight rate
case. He held the Nebraska law to be
contrary to the Fourteenth Amendment,
in that ii authorized the taking of prop
erty without due process Of Law. and was
/ therefore invalid. Hence the railroad
won. Justice Harlan's opinion affirmed
! that OF the Circuit Court of Appeals fer
| the Eighth Circuit, which was against
the maximum freight rates law and fav-
rabie TO the railroads.
This case was instituted 70 test the
validity Of a law passed by the Ne
braslla Legislature in 1898 prescribing
the maximum rates for the transporta-
ton of freights by railroads within the
State. The Act applies specifically TO
freight whose transit begins and ends
in the State, and there was no effort in
its enactment TO control interstate
freight. 1t affected all the railroads in
the STATE and the railroad companies
instituted proceedings, which were ter
minated by to-day's opinion by fling
bill in the Nebraska Circuit Court
(
object OF the bill was to secure an or
der restraining the State officials from
putting the law into force. The law was
attacked on the ground Of it's unconsti-
tutionality 1t was charged that. mas
much as the Act applied only to State
freights, it was a discrimination against
them and therefore antagonistic to the
spirit Of the fourteenth amendment to
the Constitution. The railroads con-
tended that the maximum rate fixed
was unreasonable and ruinous to the
roads. 1t was also asserted that the
Act interfered with interstate COM
merce. The State met these allegations
with argument in support of the valid
ity of the law.
The decision in the Circuit Court was
delivered by Justice Brewer of the Su-
preme Court, who sustained the conten-
ton IF the railroad companies and held
against the validity of the law. His
opinion was based largely upon the
charge of unreasonableness. He made
a computation showing that the reduc-
! i;io1saffe~ted in freight rates amounted
on an average to .91a per cent, which
he held was too great a change. The
! case has been twice argued in the Su-
prem Court Hon. w. J. Bryan appear
ing as one of the counsel for the State
at the last hearing
Much interest has been manifested in
the decision ever since the case was
docketed. because of the probable in
fluence a result favorable to the law
would have upon legislation in other
States.
The contention that the State was
the real party in interest and that there
fore the Federal Courts could not take
cognizance of it under the Eleventh
Amendment to the Constitution was
overruled, the court saying that the
Federal Courts had jurisdiction because
both of the diverse citizenship or alien
age of the parties and also on account
OF the fact that the Act is attacked. as
contrary to the provisions Of the Federal
Constitution
Justice Harlan then took up the con-
stitutional questions involved. BY the
Fourteenth Amendment" he said. 1T IS
provided that no State shall deprive any
person of property without due process
ion of law. nor deny to any person with
in its jurisdiction the equal protection
of the laws. That corporations are per-
sens within the meaning of this amend
nIent is now settled"
Justice Harlan said that the follow
ing principles must be regarded as set
tied:
First. A corporation is a person with
in the meaning of the Fourteenth
Amendment, declaring that no State
shall deprive any person Of property
without due process of law. nor deny
tC any person within its jurisdiction
the equal protection of the laws
Second. y State enactment or regu-
laton made under the authority of a
State enactment establishing such rates
for the transportation of persons or
property by railroads as will not admit
of the carrier earning such conlpensa-
ton as under the circumstances is Just
to ii and to the public. would deprive
such carrier Of its property without due
process OF law and deny to it the equal
protection of the laws. ard wculd
therefore be repugnant TO the Four
teenth Amendment 20 the Constitution
of the United Staets.
Third. While rates for the traaspor-
tation of persons and property within
the limits of a State are primarily for
its determination, the question whether
they are so unreasonabiy low as 10 de-
prive the carrier of its property with
out such compensation as the Consiitn-
process OF law cannot be so determined
BY the Legislature Of the State or by
regulations adopted under its legisla
ton that the matter may not become
the subject of judicial inquiry.
This last proposition Justice Harlan
said covered the case in point. He then
proceeded to make an exhaustive eN-
animation into the effect of the enforce
ment of the rates described upon the
business of the different Nebraska lines
showing the reduction to amount To
29.a per cent. for the years 1891, 1S92
and 1892. The result was to show that
each of the roads involved would for
this period have conducted their busi-
ness at loss with only one or two ex-
ceptions, and those for only short time.
Chief Justice Fuller and Justice Nc
Kenna did not participate in the hear
ing or in the decision.
Steamer Catalonia Disabled.
HALIFAX On. 81. March THE
steamer Delaware. from Liverpool fer
Ebila 6e1phia iS coming in with the