The Watertown weekly leader. [volume] (Watertown, Jefferson County, Wis.) 1912-1917, 1913-06-20
US. COURT UPHOLDS
STATE RAIL RATES
Principles Laid Down in Minneso-
ia Ruling Adhered to.
TWO-CENT FARE SUSTAINED
Supreme Tribunal Declares Missouri
Arkansas, West Virginia and Ore
CON Laws Are Valid-Juoge
Hughes Gives Decision.

Washington, June 18-The SUI
preme court of the United States up
held state railroad legislation in Mis-
souri,, Arkansas, Oregon and West
Virginia Monday. The principles laid
down were exactly the same as IN
the Minnesota rate cases.
This legislation included two-cent
passenger laws in Missouri, Arkansas
and West Virginia; maximum freight
rate laws in Missouri and Arkansas,
and freight rates out of Portland in the
Oregon cases The only exception to
the sweeping approval of state statutes
was in the case of several weaker
roads in Missouri.
The Kentucky case was not decided.
1t involves an attack upon state rates
from river points TO inland distillery
cities, and involves, in addition, an at
tack on the constitutionality of the
form of the McChord act, enabling the
state railroad commission to fix rea-
sonable rates on intrastate business
a decision in this case may be forth
coming when the court meets again in
October.
Justice Hughes announced the decl-
SIGN in the rate cases, as he did in the
Minnesota cases a week ago. Wher-
ever the point was raised that the
state laws interfered with inters late
commerce the justice referred to his
Minnesota rate decision. He disap-
pointed any who believed the court
might, in some way, modify that deci-
sion.
The Oregon and West Virginia cases
were decided in favor of the states in
a few words, the only point raised by
the railroads being that the laws inter
fered with interstate commerce.
Justice Hughes went fully into an
examination of claims in the Missouri
and Arkansas cases that the property
of the railroads devoted to interstate
business would be confscated.
AS result, the state rates will be-
come operative on the Chicago, Bur
lington & Quincy, the Atchison, Tope-
ka & Santa Fee, the Kansas City South
err, the Missouri, Kansas & Texas, the
Chicago, Rock Island & Pacific Gnclud-
ing the ST. Louis, Kansas City & Colo
rado), the st. Louis & San Francisco,
the st. Louis Southwestern, the Mis-
souri, Pacific, the st. Louis, Iron Noun
tain & Southern, the Wabash, the Chi
Chicago & Alton.
\ For the present the rates will not
become operative on the st. Louis &
Hannibal, the Kansas City, Clinton &
Springfield. the Chicago Great West
ern. the Quincy, Omaha & Kansas
City and the ST. Joseph & Grand is-
land.
Coming to an apportlonment of ex-
penses, Justice Hughes said the plan
adopted by the lower court of applying
the revenue basis was open to the
same objection as in the Minnesota
cases.
However, as to the st. Louis & Han
nibal and the Kansas City Clinton &
Springfield he said the experts of both
the state and the railroads united in
stating no basis could be found upon
which the proposed rates would yield
an adequate return.
AS to the Chicago Great Western, he
said the errors of valuation and appor-
tionment were not sufficient to war
rant a reversal of the finding of the
lower court that the rates were confis-
catory.
The rates as to the Quincy, Omaha
& Kansas City and the ST. Joseph &
Grand Island were annulled because of
stipulation between the state and
railroads that the finding as to the
Chicago Great Western should control
them.