The San Juan islander. [volume] (Friday Harbor, Wash.) 1898-1914, 1911-04-14
LOSES
IN RATE CASES
JUDGE ~. =. sANsoRN pecIs.
AGAINST CONTENTION OF
STATE coMmlssIoN.

Ordered Would 6s Substantially "a
Burden and Thereby Regulate Int.,.
state Commerce.
st. Paul, April 10.-Judge Walter u
Sanborn. in the United States Circ,,.
Court, in an opinion handed down \.
cided the Minnesota rate cases asa,r..
the members Of the Minnesota Stat.
Railway Commission.
Judge Sanborn held that the neces
sary effect Of the reductions ordered
was substantially to burden and A,
rectly to regulate interstate com.
merce, to create unjust discrimin..
tons between localities in Minnesot.
and those in adjoining states, in viz.
lation Of the commercial clause of tba
Constitution. and to take properties ~
the railroad companies without mat
compensation.
Judge Sanborn in his ruling says:
R1oulative Power Exclusive.
"The power to regulate commerce
among the states as granted by the
people to the Nation in the Constitu.
ton Is exclusive. may be exercised to
its utmost extent by the use Of all
means requisite to its complete exer.
else, and no state by virtue of it's DO
lice power. or any other power It
possesses. may restrict this grant or
the plenary exercise Of this power, for
these inhere in the supreme law Of
the land and are paramount to the
powers Of the states. =. 4
1.-THE fares and rate in transports.
ton in interstate commerce are Ma.
tional in character, susceptible of uni.
form regulation, and so far as the
Nation has not regulated them are
free from regulation by virtue of the
commercial clause of the Constitution.
ITO the extent that it does not sub
stantially burden or regulate inter-
state commerce, state may regulate
intrastate commerce and the fares and
rates therein within its borders, but
no farther. It may enforce regula-
lions of intrastate commerce and its
fares and rates, which only incident.
ally or remotely affect interstate COM
merce. But state laws, orders and
regulations concerning intrastate com.
merce, or the fares or rates therein,
which substantially burden or regulate
interstate commerce, or the fares or
rates therein, are beyond the powers
of the state, unconstitutional and void.
constitutional Power Supreme.
Where the attempted exercise of the
power of state to regulate intra-
state comme1ce or the attempted exer-
else OF any of its other powers, in
fringes upon or conflicts with consti-
tutional power of the Nation to pro-
tect the freedom of, and to regulate
interstate commerce and the fares and
rates therein, the latter must prevail,
because that which is not supreme
must yield to that which is supreme.
but when, after fares and rates
have been tried by actual use for
months. after plenary proof of their
effect and other facts determinative
of the issue have been made before
master learned in the law, the legal
or judicial presumption that his find
ings are just and right, while not con-
elusive, is superior to the original
presumption that the rates we're just
and reasonable.
"A net income of per cent per an
mum on the value of railroad property
in Minnesota devoted to the public use
OF transportation is not more than the
fair return to which a railroad COM
pany is entitled under the fourteenth
amendment to the Constitution"
stockholders Bring Suits.
The suits were brought by stock
holders of the Northern Pacific Rail-
way, the Great Northern Railway ana
the Minneapolis & st. Louis Railroad
against those companies, the Attorney
General and the members of the Rail-
road and Warehouse Commission, 10
enjoin the reduction of the passenger
rates in Minnesota from cents to
cents q mile, the merchandise rates
20 to Is per cent and the COMMONLY
rates 7.37 per cent. :.
The railroad companies had put al
these reductions, except that on com-
modify rates, into effect and the cases
were commenced and tried after inc
effect Of the reductions had become
provable.
Full proof Of the facts was made De
fore Charles e. Otis, special master.
who recommended DEGREES in favor u
the stockholders.
Judge Sanb6rn rendered DEGREES
which affirm the report Of the master
and nniOin the enforcement OF the to