The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1909-01-23
Makes Argument in Two Cent
Fare Case, Claiming
LAW is ARBITRARY.
He Declares Because It Ex-
cludes Certain Short Lines.
Declares Penalties Are Drastic
and UncOnsciOnable.

re To-Day, IN summing up the two
cent fare case, on the part of the rail-
roads, submitted the following rea-
sons why an injunction should issue
against the enforcement of the Mis-
souri, rate law, the presentation be-
ing of great Importance to Kansas
and bearing en- the two-cent railway
rate now in force in that state:
1. The two-cent passenger law is
| void on it's face. Its exclusion of
roads less than As miles in length
makes an arbitrary classification
without any just basis to sustain it.
The service which these roads per-
identical with the service performed
| by roads over forty-f1ve miles in
length and by trunk lines.
2. All trunk lines and all roads over
forty-five miles in length constitute
one class, which is required to trans
port passengers at two cents per mile.
If the law is conf1scatory as to any
one road, and consequently invalid, it
falls as to all because all belong to
the same class and it cannot be pre-
sumed that the legislature would have
passed law if it had known that it
was invalid as to any road belonging
to the class.
8. All of the railroads of the state
of Missouri are so correlated and so
interdependent that to sustain the law
as to the strongest road. even if it
IL, u,
would force all the other roads to
obey it even though they did business
under it at a loss. Hence, for the
purpose of the case, if it should be-
railroads should be considered parts
of one great system, and if the
aggregate expenses of conducting the
same should show that a just and
all of the roads considered a whole
under the state laws, in question, the
same must be held invalid.
A. The penalties for a violation of
the state laws are so drastic and un-
considerable that for that reason alone
an injunction should be granted.
Affect Interstate Traffic.
5. The laws directly and sub
stantially affect Interstate commerce
and for that reason they are void.
Geographical and commercial condi-
tions are such that any changes of
imm mediately and inevitably effect cor
responding changes in interstate rates,
not only in Missouri but practically
throughout the whole country east of
the Rocky mountains.
The rates between ST. Joseph and ST.
Louis If sustained as to the Burlington,
which runs wholly within the state,
would compel the Missouri Pacific to
through Kansas and Missouri between
ST. Joseph and ST. Louis, and is, there
fore an interstate road. If the state
rates between ST. Joseph and Kansas
CITY should be sustained as to the
Burlington and st. Joseph and Grand
Island which run wholly within Mis-
souri,, the Missouri Pacific and Chicago
Great Western would be compelled to
put in the same rates, although they
run through the states of Missouri and
Kansas between St. Joseph and Kansas
City, and are, therefore, interstate
roads If the Missouri Pacific should
N,rw-1 1.1fH II
between Kansas City and Joplin, which
runs wholly within the state, the Frisco
and Kansas City Southern would be
compelled to adopt the same rate, al
though they run through Missouri and
Kansas in going from Kansas City to
Joplin and are therefore, interstate
roads. The adoption of the state rates
by the interstate roads would be forced
by competition in order for them to do
any of the business; and competition
has been recognized by the courts as
controlling principle in the making OF
rates Rates between the points above
named put in by the interstate roads
were in accordance with published
tariffs filed with the interstate COM
merce commission under the REQUIRE
ments of an act of congress, Whlcn
tariffs had all the force and effect OF
law. Interference Herewith as the dl-
rect result of state legislation is just as
unlawful as though the state laws were
in direct conflict with the constitution
of the United States
Law Is Confiscatory.
6 The evidence clearly shows the
laws to be conflscatory as to all of the
roads in the state as shown by their
statements of earnings and expenses in
Missouri.
The extra cost of state over inter-
state business. both freight and pas
senger, is not only proved by the evil
dence of witnesses, but is also con-
clusively shown by the actual checks
made of business done on the Santa
Fe road both as to freight traInc ana
as to passenger trafnc
The statistics show no unique
stimulation of travel under the two
cent passenger rate over its normal
Increase from year to year. but they do
show a substantial falling off of reVe-
nue..
Q. Because the railroads prefer to
have branch line and other business
which does not pay a profit on its stock
ratber than not have it at all, is no
argument in favor of their being COM
neIIed by law to do the business at un-
rero1neratiVe rates. The reason why
the railroads prefer to have such bust
ness provided it yields anything in ex-
cess of the actual cost of the movement
is because such excess contributes to-
ward the payment of part of the eX-
penses of operating the railroads.
10 The revenue basis for dividing ex-
peuse between state and Interstate bust
ness is correct in principle, and supported
by authority. Ih1S is the oasis adopted by
IL The ten mile basis for the apportion-
'nent of expenses is primarily defective in
that it reduces all commodities to a com
mon basis 1t takes no account of space
volume. whether carload or less than car
load, cest of handling, accounting, liabil-
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