Union County courier. [volume] (Elk Point, Union County, D.T. [S.D.]) 187?-1913, 1909-08-26
EhE INTERSTATE COMMERCE
II COMMISSION GETS MAJOR
iTY DECISION
Judge BAKER DISSENTS
HlNkS CONGRESS OUGHT TO
HAVE EQUAL RIGHTS
WITH CARRIER

VI iitory lying between Buffalo, Pitts
burg and Parkersburg on the east,
and the Mississippi river on the west
are regarded as the greatest benefic-
Iarles by majority decision of the
united States circuit court here today
permanently enjoining the interstate
commerce commission from enforcing
III seaboard- Missouri river through
rate in the famous Missouri river rate
case.
Ihe opinion of Judges Closeup and
hohlsaat (Baker dissenting) if sus-
tanned by the supreme court of the
United States. will greatly curtail the
power of the commission over trans
portatlon rates. restricting it to sort
81 police court adjudication of speci-
TIC cases of alleged discrimination.
Inc rate-making power remains in
the hands of the railroads.
THE TWO CASES
The Missouri river cities which
would have profited. had the COM
missions order been allowed to go in
70 effect, benefit by the courts ruling
In the Denver rate case. In the lat
ter temporary restraining order was
issued
This case and the Missouri river
case are similar in principle the for
mer concerning the commissions or
DER Of new and reduced through
rate between Chicago and st. Louis
to Denver.
Ine commissions order of June "a.
1908, reduced the rates on first-class
freight from the seaboard to Missouri
river points from $1.4S to 1888. This
order was issued upon representation
OF Missouri river business interests
that the seaboard rate of $1.15 to
Minneapolis and st. Paul was a dis
crlminatlon against them, inasmuch
~ the Twin Cities, using the cheaper
water rate of Missouri boats were
able to undersell them in their own
territory on articles coming originally
from the seaboard. The seaboard
shipper shared in the profit, as seen
IN the commission order, over his
competitors in the central traffic ter
ritory, who would not share in the re-
dpced rate.
RANK DISCRIMINATION
according to the aroused sentiment
IA Chicago, Milwaukee, Detroit, St
Louis and other central traffic cities
the order was a rank discrimination
calculated to ruin their industries.
They were not aroused, however, by
the Denver case. This case was the
missouri river case over again. save
that the central traffic points and
Denver would reap the benefit of a
ascent reduction in through rate
which Missouri points woul not
enjoy. The Missouri river interests
were to be protected against the mid
Ole west and Denver against the Mis-
souri, river. The seaboard had an
advantage in both rates.
In their opinion Grosscup and Kohl
saat held that congress in creating
the interstate commerce act had not
intended to place the power in the
hands of few men to build up one
c"aiimunity, or to ruin another. They
held that in ordering the through
rates at issue the commission had
greatly exceeded it's powers.
BAKER DISSENTS
In dissenting Baker discussed this
point at length, declaring the conn
mission, in ordering the through rates.
70 done nothing more than the rail-
roads have always done. AS the rail-
roads were extended west, he said
new through rates We're constantly
made, and these rates were less than
the joint rates. When railroad
from New York to Buffalo was ex-
tended, say to Syracuse, the through
rate from New York to Syracuse was
less than the sum of the rates be-
tween New York and Buffalo and Buf-
ialo and Syracuse. So the rates had
been continued to be made as the
railroads worked to the Mississippi.
the Missouri and beyond. The COM
mission. he said, merely attempted
70 make new rate on the same time
shonored principle. moving the basing
line from the Mississippi, to the Mis-
souri, river.
He declared that had the commits
sion not acted, the railroads wo,lId IN
/ time, with the growing wealth OF the
trans Missouri country. have follow
ed their own precedent and made a
through rate from the seaboard to
@the Missouri
CONGRESS HAS RIGHTS
& Sr)ely, if the railroads have this
power, Baker argued. the commission
likewise had it If this power is too
dangerous to be in hands of the COM
missioners, bound by the sanctity of
their oaths. did congress desire 10
leave it in the hands OF unbridIed cor
porations?
If congress cannot CONSTITUTIONAL
~ make a general declaration that
rates shall be reasonable. Baker con-
tinued, land not unjustly discrimina-
tory. and then trust an executive bodv
TO hear the evidence
the power Of congress over rates
would be worthless. for II would be
utterly impracticable for congress II.
seelf to make enactmsnts to cover spe-