Watertown weekly leader. [volume] (Watertown, Jefferson County, Wis.) 1906-1908, 1907-06-21
TELLS |LWAYS
TO THY Low FARE
IF CONFISCATORY FIGHT 1T IN
COURTS, SAYS JUDGE
MCPHERSON.
DECISION IN MISSOURI CASE,
Two-Cent War Is Nations Problem and
He Claims Jurisdiction to
Rule on Law.

KANSAS CITY, Mo-, June H.
Judge Smith Mcpherson of Red Oak,
Ia, in the United States district court
here this afternoon, handed down an
opinion growing out of the conflict be-
tween the circuit courts at Kansas City
and st. Louis, and the federal court
here over the enforcement of the Mis-
souri, maximum freight and 2-cent pas
senger laws.
Judge Mcpherson retains and main
tains jurisdiction to adjudicate the val
idity of the freight and passenger laws
of Missouri, including the amendatory
freight laws of 1907. Whether the tenn
porary injunction asked for by the Mis-
souri, railways, to restrain the state Of
ticials from enforcing these statutes,
shall be issued. and if issued, whether
it shall enjoin the enforcement of either
the passenger or freight laws, one or
both, will, the court says, be considered
week or more hence.
Judge Mcpherson said that his pres
ent view is that the 2-cent law should
be put in force until it can be ascer-
tanned by actual experience whether >
cents will be remuneratlve.
Roads Accept Suggestion.
After Judge Mcpherson had rendered
his decision the railways and the state
agreed TO Il statement of facts, as fol
lows:
That the railways application for a tenn
porary injunction as to maximum freight
laws of 1907 is sustained, and until further
order of court the state officials are en-
Joined from attempting to recover any pen
atty or seeking to enforce that law.
AS to the 2-cent rate act, the order here
tofore entered by the court, enjoining the
railways from obeying that law, shall re-
main in effect until June 10, next at a.
M, at which time the rates fixed by said
act shall be put and kept in force for three
months without prejudice to the rights of
ing more definitely the extent that expert
ence will show that the rates under said
act reduce or increase earnings of complain
ant
The decision was rendered in the case
of the Wabash Railway company VS..
Herbert S. Hadley, attorney general, and
other state officers and seventeen like
cases.
Judge McPherson's Decision
Judge McPherson's decision in part is
as follows:
The real question here is has this court
jurisdiction over the passenger fare law of
1907 of the Missouri Legislature declaring
1t unlawful to charge lnore than two cents
a mile?
That the fixing of rates by the Legislature
Is preSumpt.yeIy correct, all concede. That
it is q legislative act all agree. But that
such rates must be reasonably remunera-
tive, cannot longer be discussed. The rail-
ways are entitled to cost and a REASONABLE z
Rights of the Railroads.
How to arrive at the cost and reasonable
profit is a most difficult problem But it
can only be by judicial proceedings The
supreme court in the end must have the
evidence, with the right to make the ulti-
mate findings of fact. No local tribunal
federal or state, can foreclose the fact as
would be done if the case goes to the
supreme court on writ of error to the state
no method of review but by writ of error
One Course in Courts.
There is but one orderly and seemIy way.
and that is III equty with the right of ap,
peal to the supreme court as has been
said by that court over and over again
decide as to the validity of the laws of the
states as well the United States
courts will not be argued by any federal
judge, but Will be conceded Those courts
are as high minded and as learned as are
the federal courts, but chat is not the ques-
ton. 1t is a questicl of jurisdiction. And
this court has jurisdiction and will main
tain its jurisdiction
Rates Must Be Remunerative.
That the states have the right to MANAGE
their own local affairs will even be main
tanned. But it is too late to talk about
state debating to the government, or to
riding down its courts This is Il nation
Its commerce will not be interfered with
by any state, because, for that almost
alone, we adopted our constitution. The
commerce clause will always be upheld
and the rights of the citizen, including cor
porations, will ever be protected in their
just rights under the fourteenth amend
ment. These are national questions, and
the supreme court Will hold the scales of
justice with the evidence before them
do not know and, of course, do not
state that the state Legislature has
on its merits. But the railways say they
are being wronged, and they must have a
hearing, and a hearing on the evidence
and that evidence with the record to the
supreme court. And if upon the evidence
they are being compelled to transact bust
ness at q loss no need doubt that the
supreme court will nullify the statute. If
the rates fixed are remunerative the stat
utes will be upheld.
Give Law a Trial.
The orders heretofore made will stand
until vacated or modified. The cases will
be set down for hearing as to whether
temporary injunctions shall issue, and il
issued, what shall be the scope? Shall they
restrain enforcement of the recent freight
rate statute! Shall they restrain the en-
forcement of the recent cent passenger
rate statute? Tentatively, subject to argu.
ment, and subject TO change of opinion if
l should hear the cases, my present view is
that the cent passenger fare statute
should be put in force and kept in force
for some months at least, with the right OF
the railways later on to renew their mo
tons to enjoin the enforcement of the stat
ute.
Quotes Wisconsin Decision.
One class of people claim that with n >
cent fare travel will so increase as TO
make it remuneratiye Others deny this
The Wisconsin commission but lately de-
clared after months of investigation that in
that state cent fare would be confisca-
tory; and Gov. Hughes, by recent veto
message so declared in the po3ulous state
of New York. How is this question TO be
determined: Is it not all speculation and
guess work: OF what value will be thn
testimony Of an ordinary business man?
And OF what value will he the testimony OF
railway experts?
Such are my present views, hurriedIv
stated, and without time to place them in
the shape of q formal opinion Nor would
it be of substantial benefit TO any one to
review the many authorities. They are
known to the profession and to the cour:s
But l have stated what the law is as I IN
derstand it 10 ne