Opinion ID: 423893
Heading Depth: 2
Heading Rank: 5

Heading: issues

Text: 42 WTA, supported by intervenor Eastern Coal Transportation Conference (an association of coal producers), raises again the question of statutory construction it raised before the ICC: Can a rail carrier acquire a water carrier prior to the full hearing required by § 11,321 if it places the water carrier stock in a temporary ICC-approved independent voting trust pending the § 11,321 hearing? WTA concedes that the voting trust prevents CSX from controlling American Commercial Barge Lines. It argues, however, that CSX still has a financial interest in the barge line that, absent ICC approval after full hearing, is within § 11,321(a)(1)'s ban on a railroad's owning, operating, controlling, or having an interest in a competing water carrier. 12 43 The ICC, supported by intervenors CSX and Texas Gas, argues that it reasonably interpreted an ambiguous statute to comport with modern business conditions. The Commission emphasizes that CSX agreed to acquire Texas Gas under the threat of a hostile tender offer by Coastal Corp., and the acquisition must be completed quickly if at all. For the Commission to hold a full hearing before approving the voting trust would, as a practical matter, kill the deal, thus depriving CSX of its right to a hearing under § 11,321(a)(2) and § 11,321(b) on whether it competes with American Commercial Barge Lines and if so, whether the purchase nevertheless is in the public interest. 44 The United States Department of Justice, named as a respondent, neither supports nor opposes the ICC's position nor explains its own view of § 11,321. 45