The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1906-04-06
Voice OF
the People: '.
Rate Review BY the Court

Rate Review BY the Court
/ Editor Of The Times Dspatch;.
slr,--Your excellent editorial published
on Mnrcll ed on Senator Bnlley's amend
ments to the railroad rate bill very proper
| " emphasizes the Importance of amend
Ing that bill so rs to pro speciiicaiy i1 Or
| the judicial review OF orders lssund "
| the Interstate Commerce Commission,
but does 1t not also suggest the aucslloll
| as to whether the courts should not DC
| permitted to exercise their usual power on
s,ispcnding an administrative order pcna-
| Ing its review?
Tho Bailcy amendment seeks 70 taho
from the courts this right az rsnspfh-
! sion but 1t seems that such an aDie
| lawyer rs MIR. Bailey can hardly. have
thought out carefully what the conse-
aucnccs OF such II provision would be, or
| lie wonld hardly advocate 1t. one serious
! question that Is raised Is whether OF
not, taking into consideration other pro
| visions or the bill. tho denial OF the rigi,,t
or suspension would not almost ccrtalhiy
| make the entire measure unconstitutional.
The eighth amendment to the Constiti-
| ton OF the United States provides that
| excessive ball shall not be required nor
| excessive fines imposed. nor cruel ana
unusual punshmcnts inflicted" Ono or
| the provisions Of the Hepburn bill Is that
amy carrier, any officer, representative
| or agent oil II CARRIER, Ut my tcISiiis'i'
tl.tlstcp lcssee. or agent or either OF them.
| lwlio knowingly fails or neElects to obey
| any order made BY the provisions Of sec
| tions fifteen Fof this act. Shall forfeit to
| the United States the sum of 5000 for
each offense. Every distinct violation shall
| be a separate ofrense, and In case OF a
| continued violation each day shall 10
deemed n separate offense. Under TINS
| provision. tho penalty of 5000 would be
multiplied by the number Of days and
ltby thea number OF rates embraced III the
| order. The order in the maximum ratio
1 case ( one i.tl,at Would have Injured the
\ city @ofu Riclunnd everyday tlnttit liau
4 bconfy In sforoe, specincallyunicntio toned N.
/ fates.pI6!the Hepburn bill With q pro
vision prohibiting suspension pending re-
| view had then been on the statute DOCKS
| each road involved ana each responsible
| officer OF each road would have been
subjected to fines Mt the rate OF Siso,c9
a day. or $l75,200001 n year. Such Il fine,
1t is needless to roint out. wo'lu, IN y
short time, bankrupt any railroad, not 70
speak OF It's effect on the responsible OF
Gcers Of the road. Tho Hepburn Bill with
such n provision would give 10 Il raj
road company the choice between putting
into effect an order prescribing rates 80
low as to he conscatory or goiilS mo
court for review and running inc FISK,
If the court should SUSTAIN the order, OF
having its property contlscntcd by the
accumulated fines. There Gun DE littie
doubt that the Supreme Court OF the Unit
cd states would hold such Il law to be I'M
constitutional not only on the ground thst
1T provided for the imposition or eSccs
siyo fines, but also OIL the ground thit
II wns an ATTEMPT to deny to the car
riers the right to go into court TO have
tie Question Of the const .,utlona!.y OF an
order OF tile commission passed upon. IN
tie maximum iate ,cnsc the order OF ne
commission would have subjcc,ed tho
railroads of the Southeastern States 10 NJ
loss Of moro than 0,oO0 year, without
taking into account the reductions Lhitt
1hcy would have been under the necessity
of making to adjust related rates 10 those
reduced by the order. In view of tho
financial condition of these roads t that
time there can he little doubt That INC
courts, II the question could have beer
gotten before them would have held ms
reduction to be contisc ltory. ~ INC
| same time, when confro ltrd with the
question of whether they sholid accept
the loss to which this order would hive
subjected them or take the risk Of Icing
conpclled to pay tho cnor nous fl,e mat
would l,nvo accumulated While tn" t,lse
was in court, the roads would T""bahly
have thought It wise to put the rlier mo
effect Tho result would ha1o nenn IRE
pul.blo loss to the roads tina: woEid ccr-
tainly have reduced or wlo #nlt thor
diyidends and that would probably Lave
forced reduction in wages, and another
result would have been thats;l'lcEnlond
and 4 many O lelL Southern conmulillf"
lswould certainly }l,uvs l,san subl,s'"l 70 II
rcpnrable damage during al OF lhe tllne
that the case was pending IN court.
This question Of wheher or not tho
courts shall 30 permitted to exercise their
usual power of enjoining thc> enforcement
or an administrative order pending review
So as to prevent the possibility OF an n
rcparablc wrong being done Is not one
that is of Interest to he railroads alone
| ii is of Vital interest to every shipper
for, with a law on the statute books per-
hitting the Interstate Commerce Commits
sion to prescribe transportation charges,
no shipper can know what day an order
may DO issued that would injure OF de-
strdy his business by giving his rivals IN
other communities more advantageous
|lntcs. For instance, Interstate Commerce
Commissioner I'routy, IN his recent lsos-
| ton speech, intimuted that If tho conmis-
sion had tho power proposed TO be given
| it by the Hepburn bill 1t would reduce
rates on cotton piece goods so as TO give
| the New England mills more favorable
rate to Chicago and to all 1hat VAST
| territory for which Chicago rs the uls-
| tributing point, than are enjoyed by tho
| southern mills competing In that market
! rho roads running from New England to
| Chicago would he interested IN having
sca, an order reviewed, hut cotton piece
goods comprise such u, small proportion
| OF their total tonnage and tho lower rates
would probably stimulate shipments to
suoh an extent that it,would make com
| naratiyely little difference to them wheth-
| nr the order was suspended pending the
review or not, but 1t would make a great
deal of difference to the Southern mil
owner, who would find himself shut out
OF the Chicago market. II the courts
| should finally SET the order aside there
| cover tho damages that lie lad suffered.