The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-03-03
Court Review of Railroad Rates.

The railroad rate bill now in the SEN
ate will pass. 1t has that pros
poet not because it Is q White House
measure, but because it has such enor-
nous backing in the country. The rail
road senators are anxious to do it to
death, and they would strangle 1t joy
fully if it We're only the president who
would be grieved. But senators do not
like to anger the whole country. A SIX
year term is long time, but 1t is not
eternity, and one-third Of the senate
is renewed every other year The SEN
ators who have but two years or four
years left are generally most amenable
to reason. ..:
The senate, however, will not sur
render without brave effort to 'mod-
ify'' the bill. The controversy RACES
now around that provision Of the Hep
burn bill which limits the courts to
passing upon the law and does not in
clude an invitation to roam over the
whole field of facts in determining
whether the commission did right. 1t
the bill is passed as it stands, there
might be many rates fixed by the COM
mission which the courts will not inter
fere with, because they are not at all
confscatory. and the proceedings have
been regularly taken. AS a matter OF
fact, however, the commission would,
in this realm Of discretion, make very
few rates. The railroads knowing that
the commission had the power to make
| and enforce reasonable rates, would
save their face by making the reason
able rates themselves. On the other
hand. if the senate succeeds in emas-
| culating the bill so. as to provide that
every rate made by the commission
shall start a new lawsuit, the railroads
will have no incentive to make reason:
able rates. They will make unreason'
able or discriminating rates, as they
choose, and figure on reaplng the re-
ward Of their industry while their law
yers are carrying suits thru the courts
TO guard this feature of the revue"
business, Mr.. Spooner has suggested al
amendment which provides that in case
Of an appeal by railroad from com
mission-made rate. the railroad shal
put up in court for each shipper the
difference between it's rate and the com
mission rate, to be turned back to thu
shipper or the railroad when the cas-
is finally adjudicated. The weakness
of this scheme is that the complication
would be endless, and the cases Of join
rates beyond human ingenuity t.
fathom. The significance of all thes
amendments is that the railroads seen
to prefer some sort of court to pas
upon their matters than the commits
sion. Perhaps this is because, with til
commission, it would be one short
sharp businesslike decision, while in
court many subsidiary questions, coul
be lugged in to prolong the interestin
proceedings and make the shipper wis
he had never gone to law.
Under the court-review plan, it
the shipper who makes the rate b
making the legal fight. Under the HeI
burn bill, it is the commission whic
makes the rate by making it. The raj
roads seem determined to shift tn
burden to the shippers because the
know how to handle them. The esseI
tial injustice of the government pr
tending to regulate rates and the
shunting the whole burden upon tn
already dropping shoulders Of the shil
per is what sticks out in all these 81
called court-review amendments.