Source: https://supreme.justia.com/cases/federal/us/262/70/
Timestamp: 2019-04-22 04:24:15+00:00

Document:
on account of increased weight of mails resulting from the parcel post law, the decision of the Postmaster General upon the mount of compensation to be allowed within the limit fixed was conclusive, and a railroad company, which accepted payment, under protest, of amounts so fixed cannot claim more from the government upon the ground that they were inadequate. P. 262 U. S. 73.
2. Transportation of additional mail matter, resulting from the parcel post, even if not requirable under contracts existing when the parcel post system was adopted, did not give the transporting company a right to additional compensation when it was done voluntarily during a period (January 1, 1913, to June 30, 1913) for which Congress has failed to allow such compensation. Act of March 4, 1913, supra. P. 262 U. S. 73.
Appeal from a judgment of the Court of Claims dismissing the petition upon demurrer.
were being carried by claimant under these contracts, the parcel post system was established pursuant of Act Aug. 24, 1912, c. 389, § 8, 37 Stat. 539, 557-559. From the inauguration of the service, on January 1, 1913, to the end of the contract periods, claimant carried the parcel post together with the other mail. For rendering this service, during the first six months, no additional compensation has been paid claimant. For rendering it during the remainder of the contract periods, claimant received, under later legislation, sums in addition to the compensation provided by the contracts. These sums it deems inadequate. On February 1, 1919, this suit was brought to recover, as reasonable compensation for the service rendered, the several amounts which it insists should have been paid. The government demurred to the petition. The Court of Claims dismissed it on the ground that there was neither a contract express or implied in fact nor a law of Congress to support the claims for additional compensation. The case is here on appeal.
"readjust the compensation of star route and screen wagon contractors if it should appear that as a result of the parcel post system the weight of the mails handled by them has been materially increased,"
on and after July first, one thousand nine hundred and thirteen, for the remainder of the contract terms"
not exceeding five percent thereof per annum "on account of the increased weight of mails resulting from the enactment of" the parcel post provision of the preceding year. The Postmaster General allowed claimant, under this act on some routes the full five percent, on some, less, on some, nothing additional. But the latter act also contained no provision authorizing additional pay to the railroads for carrying parcel post matter from January 1, 1913, to June 30, 1913.
First. That no recovery can be had for the period after June 30, 1913, is clear. Before that date, Congress had made express provision for the additional compensation, and in so doing had limited the amount payable. The power to grant or to withhold was, within the limit set, vested in the Postmaster General, and his decision as to additional compensation was conclusive except upon Congress. [Footnote 2] The protest alleged to have been made in August, 1913, against the amounts proposed to be paid for this period cannot avail claimant. New York, New Haven & Hartford R. Co. v. United States, 251 U. S. 123.
United States v. Knox, 128 U. S. 230. But unless there is such legislation, claimant cannot recover without showing a contract, express or implied, in fact to pay the extra compensation. Compare United States v. North American Transportation & Trading Co., 253 U. S. 330, 253 U. S. 335; Sutton v. United States, 256 U. S. 575, 256 U. S. 581. No basis for such a contract is afforded by the further allegation that, when the Act of 1912 was passed, and when the parcel post system was established, railroads, high officials of the Post Office Department, and members of both houses of Congress in charge of postal legislation understood that Congress would provide additional compensation to the railroads.
was no protest by the contractor against assuming the additional service, and there was no duress. The service was undertaken voluntarily, no doubt, in the expectation that Congress would provide additional compensation. It made some provision, but concluded not to make any for the first six months. We may not inquire into the reasons for this refusal, or undertake to revise its judgment. The obstacle to recovery is not strictly lack of jurisdiction in the Court of Claims. There was an express contract between the parties; there was also legislation, and on these the claim is founded. The obstacle to recovery is lack of legal merits. The government did not in fact promise to pay for the extra service, nor did the legislation give to claimant a right to compensation. In other words, the petition fails to set out a cause of action.
United States v. Atchison, Topeka & Santa Fe Ry. Co., 249 U. S. 451; New York, New Haven & Hartford R. Co. v. United States, 251 U. S. 123; The Mail Divisor Cases, 251 U. S. 326.
Some further compensation was in fact made after the expiration of the contracts, under later legislation. By Act of July 28, 1916, c. 261, 39 Stat. 412, 425 (passed after both contracts with claimant had expired), the Postmaster General was authorized to make an additional payment not exceeding one-half of one percentum per annum on account of the increased weight of mails resulting from his order effective August 15, 1913, raising the weight limit to twenty pounds and additional payment not exceeding one percent on account of the increased weight resulting from his order effective January 1, 1914, raising the weight limit to fifty pounds.
"Much the larger part of the mails on petitioner's routes and on the routes of the other important railroad companies were carried in post office cars, for which cars arrangements were made between the Post Office Department and the railroad companies independent of the contracts for mail transportation, and, under such arrangements, such cars were in operation on petitioner's said routes at the time when the parcel post was established and at the times when the increases in weight of the parcel post matter became effective. The greater part of the mails carried in such cars were loaded into and out of the same by contractors or other persons employed by the Post Office Department, over whom petitioner and the other railroad companies had no control, and the Postal Laws and Regulations (sec. 1583) forbade that railroad employees should enter the post office cars when in motion for any other purpose than the operation of the trains. Moreover, the parcel post matter was so confused with the other mails that the employees of petitioner and the other railroad companies could not possibly have distinguished them and removed them from the post office cars, if otherwise they had had opportunity."
"Mr. Moon, of Tennessee (manager on part of the House, submitting Conference Report): No; we do not add anything until after July, 1913."
"Mr. Murdock: That is my question -- do we add five percent after July, 1913?"
"Mr. Moon: Yes; weighed before January 1."
See Senate Report Committee on Post Offices and Post Roads, July 23, 1912, No. 955, p. 25, 62d Cong.2d Session; Conference Report, August 23, 1912, H.R. No. 1242, 62d Cong.2d Sess.; Message of President, December 19, 1912, Sen.Doc. 989, p. 6, 62d Cong.3d Session; Senate Report February 11(17), 1913, No. 1212, pp. 2, 4, 62d Cong.3d Sess.; also Vol. 49, Cong.Rec. part 2, 62d Cong.3d Sess. pp. 1409, 1411, 1412, 1466, 1476, 1506, 1509, 1511; Vol. 49, Cong.Rec. part 4, 62d Cong.3d Sess. pp. 4012, 4013, 4014; Vol. 48, Cong.Rec. 62d Cong.2d Sess. part 5, pp. 4675, 4989, 5068, 5075, 5227; Vol. 48, Cong.Rec. 62d Cong.2d Sess. part 6, pp. 5439, 5473, 5504, 5649.

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