Daily press. [volume] (Newport News, Va.) 1896-current, 1909-03-09
MISSOURI UNOAUNTED
BY RATE LAW DECISION
Decree by Federal Judge. Might
Result in q Return to Three
Cent Fare System.
STATE WILL CONTINUE IyE FIGHT
Attorney General Says Appeal Will
Be Taken and Governor Confirms.
Legislature Will &c Asked to Pass
New Rate Laws That viii Stand
Tests of Courts.
NV Associated PreSs.1


KANSAS CITY. MO-. March s.
Mis- souri's twn-ccnt passenger ana
minimum freiehi laws were nullitied
~ Il decision handed down today VI
the United States district court by
Judge Smith Mcpherson, OF Red Oak,
Iowa
As result. i, is believed, Their"
will be- quick return IN Missouri to
ihrrc cent fares.
Franl, Haeerman. for the eighteen
conlEan!Cs involved. asserted TODAY
that the decision SOrnded the death
krell of the two cent rate in every
state in the Union.
Judge Mcpherson held that ho,h
the commodity and passenger laws
were conf:catory and demonstrations
al. and Mr.. Haserman declared that
it is not conceivable that If the two
cen, rate is confiscatory in Missouri
it can be compensatory in other
States.
FIGHT Has Just Begun.
The State. on the other hand. de-
clares emphatically that MISSOURI 5
fight for lower rates would continue
Elliott w. Major. attorney general
who was in court today when the De
cision was read. said an appeal would
be taken and that the present leg
islature would be asked to pass new
rate laws that would stand the tests
'of the courts.
Governor Hadley made similar
statement
What Decision Means.
Tho railroads commended that the rate
fixed bv the statutes c: the State
we're not rcmunerative but confisca
torv and that the enforcement CT the
statutes be enjoined. The state
brought proceedings to have them
enforced.
The question" said Judge McPhcr
son in his decision. lis whether inc
trafic wholly within the State Of
Missouri generally referred to in the
evidence as local traffic. can be car
ried under the freight rate statue
Of 1907 and the passenger fare statute
OF 1907 at such profit as will give
return after paying expenses up"i
the investment. or whether such trai
fic is carried at a loss or less thai
such reasonable profit The Cour
has reached the conclusion that upcI
this question the statutory rates hXet
by either and both statutes are no
remuncrative.
Presumption Of Facts.
In giving the reasons for such con
c!usicns the decision says: The un
questioned and un,loubted rule is ina
there is i presumption both OF tac
and of law in favor CT the validity G
every Legislative enactment IN
railway companies have the burdel
OF removing this presumption. ant
showing that the statute clearly. 8
some courts say. paipably. and ether
saw beyond a reasonable doubt. tina
;hc sta;rte IS invalid. In these cast
the Court has recognized this ruiz
Tho authorities upon this question
.CIm a long and unbroken line. Will
the single exception OF ;be maj9ri',
crinion in tho Pennsylvania case de
ciGcd a year ago t6S Att. Rep. SO
And that one authority is NOT PERSIA
S!vc
All testimLny and argument bear
ing upon the question as 10 what con
sidcra;iOn the lcCislatur" Of Niss,UT
gave TO thcs" cnactments. is u'tert.
immate:ial Much was said in arsu
mon, as 70 tho messaae Of Govern"
Hughes Of New YSTk two years az
lin declining ia Apr vc III" tao cen
| fare statute Of that State. Govcrro
Hughes had tho moral coC'aS' q
veto a m"1sur" of popular favor be
cause rs he believed. the question
had net boon fully considered. Bu
tho relations e governor - pro
foscd legislation. and those OF a cour
TO LEGISLATION contaminated. are 81
iirciy different
Burden Is Upon Congress.
Most of iaymcn and many lawyer
bcIicvc That tho question is whctht
the railway company as a system
IL earning sufficient rercnuc upon tn
/ value Of the property of the system
I They bcIicvc that " the burlington
santa Fe. Wabash. CT any other rail
road system IL earning such none
as viIl pay al charges and cxpenSes
i Including taxes and interest. Wit
reasonable dividends 10 the sioch