Daily press. [volume] (Newport News, Va.) 1896-current, 1908-12-01
TWO CENT FARE RATE IS INvtLvEo
Circuit Judges Decision is Reversed,
But Not Upon Merits Of Case-Opin-
ion is in Rebuke Of Corporations
fer Appealing Directly to the FED
eraI Bench.
(By Associated PreSs.)

WASHINGTON. u. G.. NV. 60
Justice Holmes today announced tn"
decision of the Surrcmr Court o. the
United Stale: in III" case fIhc Viz
GINA Railroads vs.. the State Corpora
ton Comm'$Sif # Virginia calling
into question III" order of In" com
mission FIXING uniform rate of >
CENTS a mile fer carrying passengers
in the State.
The decision reversed the judg-
mcnt of thc United States Circuit
G; urt fer tn Eastern district of Eir-
sinia. bat Gniy Oh tn" narrow ground
TIA; the railroads should have al;-
pcalcd from the commissioners order
to the Supreme Court of Virginia be-
f"rc seeking The intervention of tn"
Federal courts.
Back to State Courts.
In effect. the court directs that the
railroad companies take their case To
the State court of last resort and that.
in order to prevent injustice through
the possible application Of the stat
tie of limitations. the case be retain
&c on the docket of the United States
Circuit Court by which it was O:igi-
nally decided favorably to the roads.
1t is not the intention of the de-
cision that the railroads should resort
TO the Virginia Supreme Court Of APP
peals and after its decision is render
ed. appeal to the Federal Supreme
c, urt. but that if the verdict of the
Virginia court is not satisfactory. the
roads may resume the proceedings in
III" United States Circuit Court. On
this point the court said:
If the rate should be affirmed by
tic railroads still should regard it as
cOnfiscatory they will be at liberty
10 renew their application to the Cir
cult Court without fear o: being met
by plea of res adjudicata 1t will
not be necessary to wait for prose-
cution by the commission"
In this case the Virginia commits
sion had fixed a rate of two cents
per mile and was proceeding to pub
fish the rate and was taking he mi
tial steps TO enforce it. ThcTeupo1
the railroads went into the Circuit
Court Of the United States and OBJ
tanned an Injunction against the com
mission enforcing the rate on the
Virginia Commission Oemurred.
To the bill in this case the mem
bcrs Of the Virginia Commission de-
INJURED. rot raising the question OF
the merits of the two cent rate but
claiming that the commission in fix
ing the rate had exercised the au-
thu rity and jurisdiction of court and
that its order was. therefore res ad-
judicata. and could not he inquired
into or interferrpd with by the Cir
cui; Court Of the United States and
denied the Jurisdiction Ot the Circuit
Ccur. Of the United States to inquire
into and cnjcin the rate even though
II might be confisCa'ory
OverruIe7 Demurrer.
The Supreme Court ov"rruied This
tO'tenIlon. on lne C!o1nG 'ndl IH'
commission Is not court when max
ing a rate bu, acting icgis!atively.
and that it's action Is NJ; res adult
Ca'a and is not beyond tho reach OF
tho Federal courts If 1t violates any
provision Of the constitute If the
United States. Under the Virginia
system. however. an appeal IL given
as OF right from tho action OF III"
commission making The rate 10 IN"
Supreme Court Of Appeals f that
State.
The decision further held that IN"
action of the Court Of Appeals "f Viz
ginia on such appeal from The com
misgion in making tho rate. is itself
legislative and not judicial. and that
u likewise l. subject to bc inquired
into. and " IL violates any constitu'
iional right " the carrier. Is subject
to bc enjoincd in the Circuit Court OF
The United States
State Grants Safeguard.
The Supreme Court further held.
however. that as tho state Of Virgil
mia had given this right of appeal