New-York tribune., 1909-03-09
MISSOURI ROADS WIN
SITE TO T4kE 4PPEAL-
T7oo-Cen Passenger and MoI7mum
Freight La5cs Declared InUalid.


Kansas city. $50. Marcn 2.-Missouri.s 2-oent
Passenger and maximum freight laws were nulIItled
l,y 2 decision handed down to-day in the United
States District count by Judge Smith Mcpherson
al F-5 Oak Iowa. A. result. II is believed.
there vii ne a quck return in Missouri 10 .
cent fares Frank IIaSorman for the elsilteeh com
rauiee involved asserted to-day that the decision
sounded the death kneu of the --ceht Ta'e III
every state ia the Union
Judge Mcpherson held that both tie commonly
and passenger laws were couhscatory anG uhcoh-
s,itutionaI and Nj HaEerman declared that It Is
NOT .ancei1 able that Il the 2-cent rate Is con
fscatory in Missouri it can he compensatory III
other states
The railroads contended that the rates fixed ny
tle statutes the state were not renlunerdtl'e ou'
tory, and asked that the enforcement OF Jhe
Aetutee he enioined The state brought Tl oceei's7
To have tuern enforced
.-rl- question said Judge Mcpherson in his de
c5siou lis whether the traffic wholly within the
State Of Missouri, generally referred TO IN the eHi
dence a. local traffic. can be carried u'lder me
freight rate statute OF 1897 and the passenger lao
statute 1e97 such profit as viii give d reason
ste return after paying expenses upon the invest
1net or whether such traffic Is carried AZ d 'oSS
or less than such reasonable profit me oo,-l
has reached the conclusion that upon TINS qu'S''l
the statutory rates hxed by either and both stat
utes are not IemuneTative-
REASONS FOR CONCLUSIONS
IN giving tie reasons for these conclusions the
decision says:
The unorestioned and undoubted rule is that
faToT ~ n the vaIi4y of every legislative enactment
in ans TTesl1pticn and showing that The statute
clearly-Cr some courts say; pSlpdtls &c in
others say, beyond a reasona-o-e oounL,-S r1iz-sd
valid In these cases the court mas ti foT,I1
el4S i li and I,r51oen line With the single eXcep-
tton of the majority opinion IN tIS s-s Aud
that one authority is not persuasive .,,,o, the
All festimonv and argument bearing nIoIIl .-o nLe
10 u "a
Of Missouri gave TO these eLaCtnlents Il ~! ~
message Of Governor Hughes of New York two
years ago in declining to aPIIoHet tbe 3e had the
moral couraze 10 veto measure Of popular faHor
mn Sens7ere5 But the relations OF Governor
10 proposed legislation and those o. ,es- a e9qr' u
legislation ConSumnlated are entirely dlIIeItNi -,
The Supreme Court during the present year IN me me
case dsz o. Is MY II q New Yo1S decfded that per
fair and right 10 he gwen 10 me. tLe bfIa a9s
T;suf is ir some respects different from a ran
read, railroad property pToPe5y per sbnIs P SS eSpenses
make return Of per cent per annun, AND con con-
So M az II III 4ass Toa 4s were properly and
II-iel u -. - go being rroperiv ard
Jenses Tor maintenance and operation, there Is
less tran per cent Of returns and not more [aI3 IN
then deficit. taking the property IS "lore S7Iu
n is absolutely necessary that many trains. boJh
pssssPgr 5fr and isa en tho e 3S5 fsSt trains stopping a.
only few stations in the state carr state psS-
true as o freight trains carrying freight. both in
carload and less than carload lots
EARNINGS UNDER 2-CENT LAW.
The passenger earnings Under the 2-oegt 6srs law
stafa business give no return whatever the Rock
Island St Louis 8 Hannibal k5llS5E ,liZ; % 9l m
companies VIII have the following: The = Dn3is
& san Francisco between and por cent: the
San3s Fe- between ans 7er cent. the Kansas
CIty SfIfheL1' 2 S'-ai. II 4'll' .- D. ,s . 1,ar
cent: the Burlington. between and ) per @ t-el,L,
,e4 81 Service But to add the extra cost for freight
aRd Isseree- there ere no , -sI.Iiffa n -
r being legislative act and not q judicial one:
,5iz court csnnoL o VIZ he exss for the stronger
roads and s for the others But thaf Is Tor ne
srato er7rl,yed these cases, or through q com
mission with like assistance.
Judge Mcpherson SAYS - the abolition Of
masses that the evidence shows the passenger rev
,le Is increased bv reason thereof less than per
cent
The maximum freight Law involved reductions
ranging from . per cent 70 20 Per cent on heaF%
fairnr in carload lots. The raflWaEs secured
court order temporarily restraining the state off
Gals from putting this act into effect and on June
Il 1sr7. Frank Hsgerman. Of this city. represent
i-g she various railroads. petitoned the court %
make this order permanent. BY mutual agreement
and ~ the suggestion Of Judge Mcpherson, who
desired to have practical test, thu tWo-cent pas
seueer rate law was put into effect or june L.
7e n run three months At the end Of that period
both sides egreed 70 continue the rate in effect. as
the results obtained had not been conscered SUI
ficient and the law Is stil being enforced
While several railway attorneys lntimated that
the railroads would soon go back 70 the three-cent
passenger rate. none was able - say speclhcally
tha1 this would be done or. e done. when the &C
ton would he taken. Frank Hagerrnan made
statement for the railroads. in which he said IN
part
The o-cent rate IS the subject Of pending huga55
fin55 in Minnesota. South Dakota. Nebraska and
Kansas II Is not conceivable that if the rate IS
conhscatoTy in missouri II can be conlpe tory IN
sny sIlcE states. what II anything Viii De done
of the thorough tons ar1 1e DECISIONS n
17e Fsef,rSvlEllrIa and the Missouri cases Il Is
eoo n y fH-a cent fsre law OKLAHOMA makes
provision therefor in its constitution. which may ne
difficult 10 change
Governor 5edley did not appear surprised when
informed that the c-cent passenger fare law had
been knocked out by Judge Mcpherson. His com
ruent follows;
All can say At this time IS that the dicsion does
not end the tight While the decision is simply the
opinion of one Judge, il must be accepted as the
court of the United States That think the de
Cision is wrong goes without SAYING. -. -, -
reneS common and interstate traffic should
be 61ylaea IN - trs7c F S Win an a3e5 in
crease Of cost for doing state business seems to me
higher the rate and the greater lne revenue pro pro
amount OF expenses assigned to that traffic
Elliott MAJOR. Attorney General, said.
We won't give UP the fight for lower railroad
fSozernor FIadley left II on and shall continue the
stand he has taken in the matter -he LEGISLATURE
IS session. and viii enoeavoT TO have some
action taken il possible during the present session
We are allowed -Wo years in which 10 appeal the
case o the United states Supreme Court
jefferson city. Mo March s-FouoTing the ad-
ver=e decision at Kansas City. Speaker speer Of
.o Missouri House Of REPRESENTATIVES introduced