The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1912-03-25
RATES FOR SHIPMENTS OF
FREIGHT MUST HARMON|zE
Interstate Commerce Commits
sion Says State Lines Must
Not Prevent Square Deal

WASHINGTON, March 25.--Tne IN
ter-state commerce commission, IN an
opinion made public today, established
the far-reaching principle that a rail-
road must SO adjust its rates that JUS
tice will be done between communi-
ties, regardless OF state lines. IL q
railroad makes a low rate upon trdlIlc
wholly within state, even when
forced TO do so by a state commission,
IL must accord the same rate tC inter
state traffic moving under substantial
~ similar conditions.
The principle was laid down by a
vote of to 5. The minority held That
the powers of congress were u3urped
by the majority opinion and that the
remedy for such a situation should be
applied through additional legislation.
The decision was in the case OF the
railroad commission of Louisiana
Against the st. Louis & Southwestern
railway and other carriers operating
between Louisiana and Texas.
The case practically precipitated a
conflict between federal and state gu
thority over the control of interstate
traffic The opinion OF the majority
VI lht llltlSldlC commence NOtiLhAS
sion. prepared and handed down by
Commissioner Lane, is definite as
sertion of the supremacy OF national
regulatory authority over the powers
exercised by any state. IL is the first
time this assertion mas been made dis
tinctly by the commission. In max
ing 1t, Chairman Prouty and Commits
sioners Clark and Meyer concurred
with Commissioners Lane, and Com
missione:s Clements, Harlan anG Me-
Chord dissented.
The proceeding brought by the
Louisiana commission placed in issue
tile right of interstate carriers TO dis
criminate in favor of state traffic and
against interstate traffic.
The gravamen of the complaint"
the opinion says, lis that the carriers
defendant make rates out of Dallas
ard other Texas points into eastern
Texas which are much lower than
those which they extend into Texas
from Shreveport. La. \ rate Of 60
cents carries first-class traffic to The
eastward from Dallas, a distance OF
100 miles. while the same rate OF 60
cents will carry the same class OF
traffic only 50 miles into Texas from
Shreveport. !"
The low rate within the state OF
Texas was forced upon the railroads
by the Texas railroad commission In
of policy TO protect and
promote the jobbing interests OF Tex
as The Louisiana commission and
that states commercial interests de-
clared that Louisiana was being dis.
against because OF the ex-
action OF the higher rates from Snreyc-
port westward and demanded an ad.
justment of the rates The conten-
tions of Louisiana were sustained by
the commission absolutely The ma
jority held:
That the present class rates from
10 Texas points were Un
and prescribed lower
rates which must be put into effect
by May J
That the present relation OF rates.
castbound and westbound. from
shreveport gives an undue prefer
ence 10 Dallas and Houston and other
Texas cities aud the carriers are or.
dered TO establish the same rates on
as OH eastbound traffic.
That II a state, by the exercise o.
its lawful power. establishes rates
which the interstate carriers make
effective upon state traffic. tina. car.
rier does so with the full knowledge
that the federal government requires
Il 10 apply such rates under like con
ditlons upon interstate traffic. TO sag
that an interstate carrier may discrim-
mate against interstate commerce lie
cause OF the order OF state commits
sion would be 20 admit That state
may limit and prescribe the flow OF
commerce between the states.
The conclusion of the majority o2in-
ion is a vigorous assertion OF the
paramount authority Of the national