The Washington times., 1911-05-06
RAILROADS ACTION
SPELLS VICTORY FOR
INTERSTATE BOARD
Their Failure to Appeal
Makes Freight Rate De-
cision Final.
NO INTERFERENCE
BY COURTS SOUGHT
Commissions Most Important Rul-
ing Allowed to Stand Without
49, Legal Fight.
BY JUDSON C. WELLIvER.

More than sixty days having passed
SINCE the decision against the railroads
in the freight rate cases, by the Inter
state Commerce Commission, 1t is stated
that there will be no appeal.
Thus the most important decision ever
rendered by the commission becomes
final, without the interference of any
court. Neither the new Court of Com
merce nor the Supreme Court will be
called upon to decide the important set
of questions involved in these cases.
The railroads determination not TO
appeal, leaves the legal questions open
to be raised at some future time: per-
haps at time when the roads will feel
that they are prepared to present a
stronger case in favor Of increasing
their charges.
For all practical purposes. however,
the failure to appeal leaves the commits
sion master of the field, and comedies,
in substance, the claim that it is IL
complete control of rates, save only the
requirement that they must not be con-
fscatory. That the roads do not be-
heve they could have proved the con-
flscatory character of the rates involved
in these cases is indicated by their
failure TO appeal.
No Order Made in Case.
Now that it is assured that there will
he no appeal, it is noted as of especial
interest that the commission made no
order in this matter. None was ever
required. The commission held that the
advances were unjustified, and suggest
ed that the roads withdraw the tariffs
that had been filed. II explained that it
ba L..
would Withdraw the rate sheets within
reasonable time. This was done, and
the necessity for an order was avoided
With this big issue decided. probah ahIy
lor all time, there is soon to come from
the Commerce Court an opinion that
VIII indicate the views of that body as
10 the largest remaining question con-
cerning the power of the commission
over rates. This is the question whether
the courts are entitled TO substitute
their own judgment as to a reasonah BILE
rate for that of the commission.
Decision on this point will be reached
IN the case of the Omaha Commercial
Club against the Chicago Missouri
southern lines, involving lumber rates
from the South. The Commercial Club
protested against the rates to Omaha,
claiming Shey were unreasonable. The
hearings resulted in an order for GER
tain specific reductions, the commission
Omaha and Des Moines, considerably
lower than those formerly charged The
railroads had defended the former rates
as reasonable, and attacked the new
ones as unreasonably low.
Must Prove Conhscation.
On this, the matter was appealed. The
Commerce Court has heard the argu-
ments and will decide soon whether II
believes it has authority to substitute
rate Of its own making for one made by
the commission. The Supreme Court
has held in favor of the narrow court
review. leaving the power to fix rates TO
the commission, and requiring that the
railroads must prove Confiscatory char
eCter before the rates thus fixed can be
overturned.
If the commission wins this Omaha
case. it, together with the acceptance of
the decision in the rate advance cases,
will amount TO establishing the cont
plete Government control Of all rates.