The San Francisco call., 1908-10-06
GRANTS INJUNCTION
AGAINST RAILROADS
Hill and Hartman Enioined on
Rates for Lumber Shipped
From Coast
Matter Is Now Up to Supreme
Court or the Interstate Com
merCe Commission

The injunction granted the Pacific
Coast lumber manufacturers associa-
ton against the Hill and Hartman
lines from enforcing certain rates for
the transportation of lumber from
California and Washington to the east
and southwest was sustained by the
United States circuit court of appeals
yesterday. Judge Gilbert handed down
the decision of the court and it is or
dered that the injunction shall remain
in force until the interstate commerce
commission makes some order, or until
the injunction is set aside by the SUI
preme court. This is distinct victory
for the lumbermen of the northwest.
and the injunction issued by the circuit
court of Washington has been affirmed
by the court OF appeals.
The lumber manufacturers associs-
ton alleged IN its complaint that tlfe
several railroads mentioned in the bill
are controlled by the Northern and the
Southern Pacific companies. The lum-
bermen also asserted that the increase
in rates was decided upon by both com
panies; that there was no composition
between the two great lines, and that
they both acted in concert. Both the
Hartman and Hill lines, according to
the lumbermen, agreed to increase the
rate Of transporting lumber to the east
and southwest 10 cents a hundred
pounds and five cents a hundred pounds
on shingles. This rate was to have
gone into effect November 1, 1907.
According to the complaint, the en-
forcement of the increased rate would
ruin the business of about a score or
more large lumber companies which
furnish employment to about 10000
men. Plaintiffs assert that their annual
pay roll amounts to $50, ,O00, 900 and that
fully 100000 persons are depending
upon them for living The advanced
rate whichNthe railroad companies tried
to put into effect would add s4S a car
on lumber and s36 on shingles to the
cost OF shipping car to St. Paul, Den
Yer, chicago and other eastern cities
The court further stated that the in
junction simply suspends the collection
OF the increased rates until after a de-
clslon has been made by the Interstate
commerce commission.
Ihe same decision was handed down
by the court in the appeal of the Union
racine ct al versus the Oregon and
washington lumber manufacturers as
soclatlon ct al This appeal involved
the same issues as the appeal of the
Hill and Hartman lines Judge Ross
rendered a dissenting opinion in this
case.
In the case of the appeaI of the
Great Northern railway company ct al
against several lumber companies In
Flathead county, Mont, the United
States circuit court of appeals reversed
the decision Of the circuit court of Mon
tana by which an Injunction was
granted against the railroads Claims
were made that the rates established
by the railroad companies were ex-
orbitant and that they We're made with
the intention of making it impossible
for the lumber companies in that
county 70 compete with a lumber COM
pany which was owned by the Great
Northern.
The court said: THE argument that
the enforcement of the newly estab-
lished rates will work irreparable in
jury If injunctive relief is denied loses
Its cogency when we taken into view
that the interstate commerce act re-
Quires that 80 days notice be given of
a proposed change in the rates, thereby
affording shippers ample opportunity
TO resort to equity to prevent estab-
lishment of the proposed rate
The court expressed itself as being
OF the opinion that there was no evil
dence to show that the rate as estab-
lished was illegal. The court further
stated that this was different from the
action of the Northern Pacific company
versus the Pacific Coast manufacturers
association in that the bill was not, filed
until after the new rates had been
established. An Injunction was applied
for in the Northern Pacific case by
the lumber companies before the rates
were scheduled to go into effect.