Bisbee daily review., 1914-06-26
LONG AND SHORT HAUL
RATES WILL EFFECT
ARIZONA TRAFFIC
Shippers viii no Longer Have to
Pay on Consignment Redirected
From Coast Terminals.

WNNN A0ANN " NNNNNNAANaa
WASHINGTON, June 24-The in
terstate commerce commissions so
called inter-mountain rate orders
which were sustained as valid by the
supreme court decision Monday are
suu subject Of much interest The
court held at the same time, that the
long and short haul clause Of inter
state commerce law is constitutional.
Both had been attacked by the trans
continental railroads The defunct
commerce court. passing over the con
suuuonal question had annulled the
orders on the ground chat the com
mission had no authority to issue
blanket or zone" orders and might
act on only the reasonableness of spe-
cific rates.
In overturning that contention and
holding that the commission had such
power, the supreme court decided a
point which lawyers and close observ-
ers of the interstate commerce com
missions procedure say ifs of equal
importance TO the inter-mountain rate
case itself if not greater Opposition
to the five per cent increase in
freight rates being asked by eastern
railroads. upon which the interstate
commerce commission Is expected to
announce its decision at any day, has
been based principally upon the con
tention that the commission would
not have authority under law to
grant such blanket" increase. Cop
les Of the courts decision today were
sent Immediately TO the commission
for it's guidance What the effect If
any. of the decision upon the rate
case may be. can only be a subject
of conjecture. There are those a.
mong the yen informed i'm the conn
missions procedure, however who
say that the decision I'm the DISPOSE
ton of the railroads application has
been delayed awaiting the supreme
courts decision upon That important
point
AS TO the intermountain rate orr
ders themselves. however. their effect
/ Is that such western cities west of the
Rocky mountains as Reno. Spokane
and Phoenix viii not be forced to pay
upon their freight from the east, the
regular rate through to the Pacific
coast and then also another rate from
/ the Pacific coast back to their station
! because the railroads are competing
with waterborne traffic around Cape
Horn or through the Panama canal
They will. however. pay certain i'm
creases over the normal rates from
! certain zones. Thus the railroads
may charge no more than the regular
rate on shipments originating in the
| territory west of a vertical line drawn
! through ST. Paul They may how
1 ever. charge an increase of seven per
| cent on those originating between St.
| Paul and Chicago. not more than fif-
| teen per cent on those between Chi
cago and Pittsburg and not more than
! twenty-five per cent on those between
/ Pittsburg and the Atlantic seaboard.
! These increases the commission pre-
! scribed as reasonable because of the
/ condition of the water competition.
AS a result of the decision an ques-
ttion is removed as TO the right of the
| commission not only TO pass on the
/ reasonableness of lower rate for a
| haul To- a more distant city than to O.
! nearer one i'm the same direction but
! also TO fix how much the difference
may be. are removed 1t recognizes
/ the power of the commission TO fix
such rates by zones. as distinguished
from taking up the conditions sur
rounding esch point Of shipment i'm
the United States.
Chief Justice White announced the
unanimoI decision of the court He
said the ease turned largely upon the
construction and validity of the long
and short haul clause in the fourth
section o1 the interstate commerce
! act as Amended I'M 1910