Rocky Ford enterprise., 1898-03-10
THE LAW INVALID.
NEBRASKA RAILROADS SUSTAIN.
ED.
Tho Supreme Court of the United States
Supports Every Contention of tho Roads
Against the Law.

Washington, March S.-The Supreme
Court to-day rendered an opinion In
the Nebraska maximum freight rate
case. The opinion was handed down
by Justice Harlan.
Justice Hnrlan's opinion held the Ne
brnskn law to be contrary to the four
teenth amendment In that 1t authorized
taking property without due process OF
law, and was therefore invalid. Hence
the railroads won.
Justice Hnrlnn's opinion affirmed the
opinion of the Circuit Court Of Ap-
peals for the Eighth circuit, which was
against the maximum freight rates
law and favorable to the railroads.
This case was instituted to test the
validity of II law passed by the Ne
braska Legislature In 1903, prescrib-
Ing the maximum rates for the trans
portation of freights by railroad with
In the state. The act applies specific
ally 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 We're terminated by tO-day's
opinion, by filing bill In the Nebraska
Circuit Court soon after the law was
enacted. The object of the bill was to
secure an order restraining the state
officials from putting the law into
force.
The law was attacked on the ground
OF its constitutionnlity. 1t was charged
that innsmuch as the act applied only
to state freights. 1t was n discrlminn-
tion against them, and therefore an
tagonlsitc to the spirit OF the four
teenth amendment to the constitution.
They cOntended that the maximum
rate fixed was unreasonable and ruin
GUS to the rOads. 1t was also asserted
that the act Interfered with Interstate
commerce. The state met these nlle-
cations with argument In support OF
the validity OF the law. 1t withdrew
the counter Charge that the case was
one OF which the federal courts are
not properly ndjudicatOrs.
The decision In the Circuit Court
was delivered by Justice Brewer Of the
Supreme Court. who sustained the con.
tentiOn OF the railroad companies and
held against the validity OF the law.
His opinion was based largely upon
the charge of unreasOnnblcncss. He
made u computation showing that the
reduction effected In freight rates
amounted on an average TO 29i4 per
| change. The case has been twice ar
gued In the Supreme Court, Hon. W. ].
Bryan appearing ns one OF the counsel
for the state mt the last hearing. Much
interest has been manifested In the
decision ever since the ease was dock.
cted. because Of the probable influence
result favorable to the law would
have upon Legislation In other states.
Justice Harlan said that the follow.
Ing principles must he regarded ns set
| tied:
First-A corporation Is n 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
TO any person within Its Jurisdiction
the equal protection of the laws.
SecOnd-A state enactment or rcgu-
lntion made under the authority of n
| state enactment. establishing sucl,
rates for the transportation OF persons
or property by railroads as will not al.
nit OF the charter earning such COM
pcnsatiOn ms under the circumstances
IL just to II, and to the public. would
| deprive such carrier Of Its property
without due process Of law. and deny
to II the equnl protection OF the laws
:ssd would, therefore. be repugnnnt ia
the fourteenth amendment OF the con.
stitution of the United States.
Third-Whilc rates for the transpor.
tntion OF persons and property within
the limits of n state are primarily for
| Its determinations. the question wheth.
er they nre 30 unrensonnbly low M to
deprive the carrier OF It's property
without such compensation as the con.
stitution secures. and. therefore. with.
out due process OF law. cnnnot he 40
determined by the Legislature OF the
| state. or by regulations adopted under
Its regulations that the matter may not
become the subject OF judicial inquiry.
This last proposition. Justice Harlan
said. covered the case In point. lie
then proceeded to make nn exhaustive
examination into the effect OF the On.
forcemcnt' OF the rates prescribed upon
the business OF the different Nebraska
lines. showing the reduction TO amount
to % per cent. FOR the years 1891. 1902
and 1893. The result was to show that
each OF the ronds involved would for
this period have conducted their bus.
mess mt n loss. with only one or two
exceptions. and those for only short
tIvnn