Evening star. [volume] (Washington, D.C.) 1854-1972, 1910-04-01
FREIGHT RATE WAR
Interests of Shippers Involved
in Litigation.
CASE IN SUPREME COURT
Brief Filed in Final Proceedings
Against Railways Operating
Across the Continent.
CASE IN SUPREME COURT

The biggest freight rate fight since the
passage of the Hepburn rate bill entered
it's final stage today when the govern
ment filed in the Supreme Court of the
United States a brief in the so-called
Missouri river rate cases. They involve
the interests of manufacturers. jobbers,
merchants and railroads from the Allan
tic seaboard to the Rocky mountains.
The two cases which have attracted
the most attention are those concerning
the through class rates through ship
ments originating at Atlantic seaboard
points and destined to the Missouri river
cities. The third case involves the class
rates from Chicago and from ST. Louis
TO Denver.
Alleged Discrimination.
The first two cases arise out of an or
der issued by the interstate commerce
commission to become effective November
10. 1908. This order directed a reduction
of the rates for the transportation of va
rious classes of freight originating at
Atlantic seaboard points, from Mississippi
river crossings to the Missouri river
cities
Ihe order was the result of complaints
filed with the commission by Rurnham,
Hanna, Munger Dry Goods Company. and
large number OF individuals, partner
sn1ps and corporations, as shippers, job
pers and wholesalers at Kansas City, St
Joseph and Omaha They claimed that
the rates charged by carriers operating
between the Atlantic seaboard which in
Guides cities east of Pittsburg and north
OF the Potomac and Missouri river cities
were UNJUST. unreasonable and dscrimi-
natory.
It was particularly specified that the
rates Disseminated in favor of St Paul
and Minneapolis. Finally the commits
sion disposed of the case by ordering "a
reduction of the charges for TRANSPORTS
ton from the Mississippi river crossings
to the Missouri river cities as part of
the through rate. The commission de-
nled that the rates Disseminated in favor
of the Twin Cities.
BEFORE the rates went into effect the
matter was taken into the courts by the
railroads. The result was that the circuit
court of the United States for the north
ern district of Illinois held the order nm
laWfui and beyond the power Of the com
mission because 1t was the exercise of
authority not specifically granted by the
act to regulate commerce and resulted in
artincially apportionng the country into
zones tributary to given trade centers
one appeal by the commission and an
other by Missouri river Shippers were
taken to the Supreme Court
Other Shippers Intervene.
As the fight had progressed, additional
parties had entered the fray The Kansas
City. St Joseph and Omaha s..4ppers in
tervened to fight for the order Sioux
City asked the courts for the same beue-
fits as given Kansas City, ST. Joseph and
Omaha. st. Paul and Minneapolis bust
ness men entered the controversy in be-
half of their trade. Chicago. ST. Louis.
Detroit, Cleveland and Milwaukee ship
pers joined with the railroads to oppose
the reduction.
Most Of them are fighting to the bitter
end, and on the outcome of the contest
one side claims justice will come to long
sufferers On the other hand it is claimed.
will flow disastrous results to their busf-
ness.
Meantime the government is seeking to-
maintain the order Of the commission.
Even II 1t is successful. the order will
die, by reason of the two-year limitation
on the life OF interstate commerce COM
mission rate orders. November 10, 1910.
However. a victory for the government
will settle many important questions, in
Guiding the point as to whether the order
is legislation on the subject of general
adjustment of the relationship of rates,
such as the commission cannot decree
Same Questions in Denver Case.
The Denver rate case raises substan-
TALLY the same questions as to the DOW
ers of the interstate commerce commission
as is done in the other cases. Upon com
plant OF Denver shippers concerning al
legged discriminatory rates in favor of
Kansas City and other Missouri river
cities, the commission issued an order for
reduction of the rates from Chicago and
from ST. Louis to Denver, thus obliterat-
ing as far as these shipments were con-
cerned the Missouri river basic line for
the computation Of rates.
All the cases will be argued at the same
time. The arguments are set for Monday
but they probably will not be reached UNI
til later in the week.