The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1919-05-10
Rate Question in Court
Railroad and Telephone Cases
Up For Judicial Decision

| the director general Of railroads and
the postmaster general to increase IN
tra-state railroad, telegraph and tele-
phone rates throughout the country
was argued today in the supreme
court in connection with appeals from
proceedings originating in a number
of States. Hearings on the railroad
case was finished today but argu-
ments in the wire rate cases will not
be concluded until tomorrow.
The appeal in the railroad case
came from North Dakota while the
telegraph and telephone rate cases
arose from proceedings in South Da-
kota, Kansas, Massachusetts, and H.
| linois.
Briefs as arnici curiae were filed in
the two cases on behalf of the Nation
al Association of Railroad and Public
Utilities commissioners representing
about 35 States and separately by
the States of Pennsylvania, Ohio and
Wisconsin, the city Of Detroit and the
Protective Telephone Association OF
Baltimore.
The proceedings attracted wide at
tention and attorney generals from
many States were in the court room.
Arguments for the railroad admins
istration were made in the railroad
case by John Barton Payne and
Charles Donnelly while Frank E.
Packard of Bismarck, n. D., and w.
V. Tanner of Olympia, Wash, former
attorney general of Washington, ap-
peared for the North Dakota authorl-
ties. In the telephone cases arguments
were opened by Socilitor General
King, who was followed by w. Il.
Hitchcock of Boston, assistant attorn-
ey general Of Massac achusetts.
Arguments in both cases today cen
tered principally on the contention of
the States that the governments ac-
ton in fixing intrastate rates was an
interference with the State police
powers. Solicitor General King and
Mr.. Payne denied this contention but
asserted that Section 10 of the rail-
road control act, as well as the joint
resolution by which the government
took over supervision Of the wires
clearly gave the president this au-
thority.
The solicitor general argued that in
increasing telephone and telegraph
rates the postmaster general was act
ing on behalf of the public as the cor
porations which own the wires
through government control had ceas-
ed to operate them, and acted solely
as the government agents. He &C
cused the States bringing the pro-
ceedings with attempting to inter
fere with government operations OF
these facilities and asked for the dis
missal of the wire cases on the ground
that they were suits brought against
the government without it's consent.
IF the government did not fix the
Reynolds during the course of Solici-
tor General Kings argument.
Il suppose the States would" the
solicitor general replied.
We'll. if the States fix the rates SO
that there should be loss who would
pay it?" the justice asked.
THE government would" Mr.. King
replied.
That's what have been trying to
| ltHO Oul. y JQSlICc MCIleN lOlUS odAO.
Mr.. Hitchcock argued that the po-
lice powers provided for in the wire
resolution applied to the States in a
| broad sense as congress intended to
inclu le the right Of the States to regu-
| late intrastate rates. He accused the
! postmaster general Of exceeding his
powers in interfering with telephone
rates and with unlaWfully invading the
State powers. The Massachusetts at
torney denied that the States were at
tempting to interfere with the gov
ernment's operations Of the telephone
| c1-Stern