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[ADMINISTRATIVE RULINGS AND OPINIONS.]

Includes vegetables.-The Commission is of the opinion that the term "fruit" in this connection includes perishable vegetables when shipped under conditions that render caretakers "necessary.”

63. Free passes and free transportation (issued October 12, 1906).—The provisions of the act relative to the issuance of free tickets, free passes, free transportation, or free carriage to employees of carriers apply only to persons who are actually in the service of the carriers and who devote substantially all of their time to the work or business of such carriers. Land and immigration agents, unless they are bona fide and actual employees, representatives of correspondence schools, agents of accident or life insurance companies, agents of oil or lubricating companies, etc., are not within the classes to which free or reduced fare transportation can be lawfully furnished.

Business or duty of the carrier.-But the Commission does not construe the law as preventing a carrier from giving necessary free transportation to a person traveling over its line solely for the purpose of attending to the business of or performing a duty imposed upon the carrier, nor from giving free carriage over its line to the household and personal effects of an employee who is required to remove from one place to another at the instance of or in the interest of the carrier by which he is employed.

Contract work on carrier's own line.-Nor does the Commission construe the law as preventing a carrier from giving free or reduced-rate carriage over its line to contractors for material, supplies, and men for use in construction, improvement, or renewal work on the line of that carrier, provided such arrangements for free or reduced-rate carriage are made a part of the specifications upon which the contract is based and of the contract itself.

Ministers of religion-Their families-Government officials and families.-The provisions of the act relative to the issuance of free or reduced fare transportation to ministers of religion do not apply to or include members of the families of ministers of religion. Neither do the provisions of the act relative to the issuance of free or reduced fare transportation admit of including therein officers of the Government, the Army, or the Navy, or members of their families, or other persons to whom such considerations may have been extended in the past, unless they are within the classes specifically named in the act.

Reduced rate or fare transportation.-Reduced rate or fare transportation may be granted to such persons as are specified in the law as those to whom free transportation may be given.

Granting reduced rates or fares without providing tariff for same.-Section 22 of the act authorizes carriers to grant free or reduced rate transportation of property for the United States, State, or municipal governments, or for charitable purposes or for exhibition at fairs and expositions. It also authorizes free or reduced fare transportation of certain specified persons. This special provision and the words "reduced rates" are construed to be special authority for carriers to depart from established tariff rates or fares; and for such transportation as is provided for in said section 22 it is not necessary for carriers to provide tariffs or observe tariff rates or fares and regulations excepting in the issuance, sale, and use of mileage, excursion, or commutation passenger tickets, and joint interchangeable mileage tickets. As to these the provisions of section 6 with regard to publishing, filing, posting, and observing tariffs must be complied with.

Reduction may not be made through a third party.-Reduced rates or fares may be granted to the United States, State, or municipal governments only in instances in which the transaction is directly between the carrier and such government and may not include those in which a contractor or other third person or party is interested. 64. Transportation of men or property for telegraph companies-Exception (issued June 3, 1907).-In its decision on the petition of the Western Union and Postal Telegraph companies, issued December 27, 1906, the Commission held it would be unlawful for a carrier subject to the act to contract or stipulate with a telegraph company for the carriage of its officials, employees, or property for any greater or less or different compensation than that specified in the regularly published tariffs in effect at the time, except in connection with the construction, operation, and maintenance of telegraph line and service on its own line. It was held that a

[ADMINISTRATIVE RULINGS AND OPINIONS.]

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group of separately incorporated roads, recognized as a "railway system, may be considered as one in the making of contracts for telegraph service on that system. This definitely differentiates between the employees of the telegraph company who are actually engaged in constructing and maintaining a telegraph line along the line of a railway, or in operating such telegraph line as a part of the actual operation of that railway, and those who are engaged in the commercial business of the telegraph company. The fact that railway officials may, by use of D. H. franks, send messages on railway business from or receive such messages at a commercial office of a telegraph company does not constitute that office a part of the operation of any of the lines of railway which such officials represent, nor bring that telegraph office into such relationship with the business of the railways as to warrant treating it as part of the operating facilities of such railways. Practically all telegraphing so done is off the line" business and is to be considered as commercial business. The same distinction is to be observed in the hauling of materials and supplies for telegraph companies with which the railway company has contract for telegraphic service.

File copies of contracts-(Effective November 15, 1907).-This rule applies also to telephone service, and carriers that have not already done so are hereby requested and called upon to promptly file with the Commission copies of all contracts for telegraph or telephone service on their lines.

65. Transportation of newspaper employees on special newspaper trains.-In its decision of January 21, 1907, on the petition of certain newspapers in New York City, the Commission decided that a commodity rate may not be applied to the transportation of passengers or a passenger fare to the transportation of a commodity, and that therefore employees of the newspapers riding on special newspaper trains can not lawfully be transported under a commodity rate established for the carriage of newspapers or at any rate other than the one specified in the regularly published schedule of passenger fares.

66. Free transportation of officers or employees of omnibus or baggage express companies Exception. In its decision of March 25, 1907, on the petition of the Frank Parmelee Company, the Commission held that a carrier subject to the act can not lawfully give free transportation to officers, agents, or employees of an omnibus or baggage express company, except, as authorized in the act, for baggage agents who meet passenger trains at some point near the larger cities and go through the trains to arrange for transfer of passengers and their baggage.

67. Payment for transportation (issued September 15, 1906).-Nothing but money can be lawfully received or accepted in payment for transportation subject to the Act, whether of passengers or property, or for any service in connection therewith, it being the opinion of the Commission that the prohibition against charging or collecting a greater or less or different compensation than the established rates or fares in effect at the time precludes the acceptance of services, property, or other payment in lieu of the amount of money specified in the published schedules.

68. Party fare tickets (issued September 29, 1906).—The tariffs and regulations governing the issuance and use of party fare tickets, together with the rules relat ing to the allowance of free baggage to persons using such tickets, must be regu larly filed and published. The privileges so extended must not be limited to any particular class or classes of persons, but must be open to all. Regulations governing issuance and use of party fare tickets must not be such as will operate to evade or nullify any provision of the law. The Commission suggests that the rules should provide that the party shall travel on one ticket and consist of not less than ten persons.

(Issued November 15, 1907.) Carriers may provide in their tariffs as follows: "When a party of ten (10) or more persons are traveling on a party fare ticket and require the exclusive use of a baggage car, and such baggage car is not forwarded upon the same train which bears the passengers, and where it is necessary that one or more men of the party shall accompany the baggage car, a separate ticket may be issued for the use of such men as members of the party, provided such ticket is indorsed as a part of such party fare ticket and for, and limited to, the train upon which the baggage car is hauled.''

[ ADMINISTRATIVE RULINGS AND OPINIONS.]

It is not, however, lawful or permissible to permit person or persons to go in advance of or to follow the party as passengers and be computed as a part of the party or as entitled to the party fare. All tariff provisions to such effect are unlawful and must be withdrawn at once.

69. Transportation of circus outfits-Rates effective one day after filing with Commission (issued March 18, 1907).-The Act to regulate commerce, as amended June 29, 1906, applies to the transportation of circuses and other show outfits, but the Commission recognizes the peculiar nature of this traffic and the difficulty of establishing rates thereon in advance of shippers' request describing the character and volume of the traffic offered, and has therefore entered a general order authorizing carriers to establish rates on circuses and other show outfits by tariff, to become effective one day after filing thereof with the Commission, and relieving them from the duty of posting such tariffs in their stations. Such tariff may consist of a proper title-page reading "as per copy of contract attached," and to it may be attached a copy of the contract under which the circus is moved. As far as practicable general rules or regulations governing the fixing of such rates should be regularly published and filed.

70. Routing and misrouting freight (issued March 18, 1907).-Alleged neglects or errors on part of agents of carriers in misrouting shipments lead to numerous claims of overcharge, many of which are meritorious. The lawful charge on any shipment is the tariff rate via the route over which the shipment moves. No carrier can lawfully refund any part of the lawful charge except under authority so to do from the Commission or from a court of competent jurisdiction. That thorough understanding and uniform practice may be had in this connection, the Commission issues the following administrative ruling:

Shipper may direct terminal routing or delivery and choose between available allrail and rail-and-water routes-Shipper may not be subjected to more expensive route or to inferior route.-In order to secure desired delivery to industries, plants, or warehouses and avoid unnecessary terminal or switching charges, the shipper may direct as to terminal routing or delivery of shipments which are to go beyond the lines of the initial carrier; and his instructions as to such terminal delivery must be observed in routing and billing such shipments. The carriers may not disregard the instructions of shippers as to intermediate routing, except when tariff of initial line reserves the right to carrier to dictate intermediate routing. When such reservation is made in tariff, (1) where all-rail rates and rail-and-water rates are available the agent of carrier must have the shipper designate which of the two he wishes to use; and (2) the agent must not route shipment via a route that will be more expensive to the shipper than the one desired by him, or that does not furnish substantially as good and expeditious service. If carrier is not willing to observe the intermediate routing instructions of shipper it must not execute bill of lading containing such routing. Carriers will be held responsible for routing shown in bill of lading.

Of designated class of routes-all rail or rail and water-shipper is entitled to cheapest route in absence of specific instruction-Use of car confined to particular line-Correct quotation of rates and routings. In the absence of specific through routing by shipper, which carrier is willing to observe, it is the duty of the agent of the carrier to route shipment via the cheapest reasonable route known to him of the class designated by the shipper-that is, all-rail or rail-and-water—and via which he has rates which he can lawfully use. If a foreign car is available which under rules as to car service must be sent via a particular line or route over which a higher rate obtains, agent must explain to shipper that fact and allow shipper to elect whether he will use that car at the higher rate or wait for another car. If shipper elects to use the car at the higher rate, agent should so note on bill of lading. If agent is in doubt, he should secure information from proper officers of traffic department. It is important that agents at initial points be able to, and that they do, quote correct rates and give correct routings.

Refund of overcharge caused by misrouting through error of carrier's agentAuthority to adjust overcharges does not extend to cases in which soliciting or commercial agents induce shippers to route via more expensive line. If a carrier's agent misroutes a shipment and thus causes extra expense to the shipper over and above

[ADMINISTRATIVE RULINGS AND OPINIONS.]

the lawful charges via another available route of the class designated by shipperthat is, all-rail or rail-and-water-over which such agent had applicable rates which he could lawfully use, and responsibility for agent's error is admitted by the carrier, such carrier may, as to shipments moving subsequent to March 18, 1907, adjust the overcharge so caused by refunding to shipper the difference between the lawful charges via the route over which shipment moves and what would have been the lawful charges on same shipment at the same time via the cheaper available route of the class designated which could have been lawfully used. Such refund must in no case exceed the actual difference between the lawful charges via the different routes as specified, and must in every instance be paid in full by the carrier whose agent caused such overcharge and must not be shared in by or divided with any other carrier, corporation, firm, or person. This authority is limited strictly to the cases specified and to the circumstances recited and does not extend or apply to instances in which soliciting or commercial agents of carriers induce shippers to route shipments over a particular line via which a higher rate obtains than is effective via some other line.

Rule limited to bona fide cases of error or oversight.-The rule is intended to apply to cases in which the agents who bill or actually forward or divert shipments through error or oversight send the shipments via routes that are more expensive than those directed by shippers or available in the absence of routing instructions by shippers. It must not be used in any case or in any way to "meet" or "protect' a rate via another route or gateway via which the adjusting carrier has not in its tariffs at the time the shipment moves rates which are available and lawfully applicable thereto, nor as a means or device by which to evade tariff rates or to meet the rate of a competing line or route, nor to relieve shipper from responsibility for his own routing instructions.

Carrier admitting responsibility for misrouting may adjust with delivering carrier if shipment has not been delivered or if it has been delivered undercharged (issued November 15, 1907).—The prerequisites to any refund under this rule are admission by carrier of responsibility for its agent's error in misrouting the shipment, and such carrier's willingness to bear the extra expense so caused, without recourse upon any other carrier for any part thereof. If, therefore, the error is discovered before the shipment has been delivered to consignee or before charges demanded upon same have been paid, the carrier acknowledging responsibility for the error may authorize the delivering carrier to deliver shipment upon payment of the charges that would have applied but for the misrouting and to bill upon it for the extra charge; or, if the shipment has been delivered undercharged before the error is discovered, the carrier that acknowledges responsibility for the error may pay the undercharge to the carrier that delivered the shipment instead of requiring it to col lect the undercharge from shipper, to be refunded to shipper.

Distinct from cases under Rule 74.-Complete distinction must be observed between cases to which this rule applies and those provided for under Rule 74.

Coöperation by and responsibility of shippers and consignees.-Shippers must bear in mind that there is a limit beyond which an agent of a carrier could not reason ably be expected to know as to terminal delivery or local rates at distant points and on lines of distant roads to or with which he has no specific joint through rates. Consignors and consignees should coöperate with agents of carriers in avoiding misunderstandings and errors in routing and must expect to bear some responsibility in connection therewith.

71. Maximum rates and fares not specific rates and fares (issued March 18, 1907). -Rule 4 and Rule 34 prohibit including in a tariff any rule or regulation which in any way or in any terms authorizes substituting for any rate or fare named in the tariff a rate or fare found in any other tariff or made up on any combination or plan other than that clearly stated in specific terms in the tariff of which the rule or regulation is a part. These rules are intended to bring about entire discontinuance of tariff rules which provide that rates or fares named in tariff will apply to certain points "as maxima," or that if a combination on some gateway or basing point makes less than the rates or fares named in tariff such combination will apply, or for equalizing or protecting any rate or fare via another line or route or gateway, etc. The intent is that as rapidly as tariffs can be reconstructed in ac

[ADMINISTRATIVE RULINGS AND OPINIONS.]

cordance with the regulations issued by the Commission they will state in specific, clear, and unambiguous terms the rates and fares and their application.

Combinations of lawfully published bases of rates or fares instead of maximum rates or fares-Specific joint through rate or fare must be invariably applied.—The Commission decides that, pending the complete elimination of such rules, a rate or fare that is stated in a tariff as applicable to a certain point as a maximum is not a specific through rate or fare to that point, and that a rate or fare made up under Rule 5 or Rule 36 may be used in preference to such maximum rate or fare if there is no applicable rate or fare via the route over which shipment or passenger moves, other than the one made by such maximum rule. In every instance where there is a specific joint through rate or fare from point of origin to point of destination it must be applied to through shipments or passengers regardless of possible lower combinations. (See Rules 5, 36, and 55.)

72. Combination of joint rate or fare to common points and local rate or fare beyond (issued March 18, 1907).-In order to secure uniformity in practice and understandings and to remove the cause of many complaints, the Commission decides that when a joint through rate or fare is the same to two or more points and rate or fare on through shipment or passenger to local station to which no specific joint through rate or fare applies is made up by combination of such joint through rate or fare to common points and local rate or fare beyond, the rate or fare for through shipment or passenger must be determined by calculating the joint through rate or fare to the point from which the lower local rate or fare applies to point of destination and adding thereto such local rate or fare. For example: Joint through tariff names the same rates or fares from certain eastern points to Chicago and Milwaukee. If shipment or passenger is destined to a point to which the local rate or fare is less from Milwaukee than from Chicago, the rate or fare applied should be the joint through rate or fare to Milwaukee plus the local rate or fare from Milwaukee to destination, and unless the lines of delivering carrier reach both Chicago and Milwaukee the shipment or passenger should move via Milwaukee. If the local rate or fare from Chicago to point of destination is lower than from Milwaukee, the rate or fare should be the joint through rate or fare to Chicago plus the local rate or fare from Chicago to destination, and unless the lines of delivering carrier reach both Milwaukee and Chicago the shipment or passenger should move via Chicago.

Rates or fares for outbound through movements from such local stations and under like circumstances must be applied on the same basis where the joint through rates or fares are the same from two or more points.

Rates and fares must be those in effect over routes by which shipment or passenger moves. This does not authorize any carrier to apply to transportation over its lines any rate or fare except those stated in its own lawfully published tariffs or in the lawfully published joint tariffs in which it has concurred. If a carrier desires to "meet the rate" of a competitor, it must do so by lawfully including in its own tariffs such specific rates or fares, proportional or otherwise, as may be necessary so to do.

Assistance by shippers.-It is suggested that shippers can assist in avoiding mistakes and misunderstandings by calling attention to the rate that should apply in such cases as come under this rule by indicating it on shipping bill in connection with routing instructions; for instance, "Rate on Milwaukee." This is, however, merely a suggestion, and does not relieve the agents of carriers from the responsibility of quoting and applying the correct lawful rate.

Rule applies to reconsignments only when provided for in tariff. This rule does not apply in case where shipment has reached its destination as originally given by shipper and has been reconsigned, except when tariff contains reconsigning rule that provides for such application.

Rule does not apply where joint through rate or fare to destination is in effect.This rule must not apply in any case where there is an applicable specific joint through rate or fare from point of origin to point of destination. (See Rule 55.)

73. Carriers may not be given preferential rates (issued May 6, 1907).—In answer to inquiries the Commission expresses the opinion that under the law a carrier, or a person or corporation operating a railroad or other transportation line, cannot, as a shipper over the lines of another carrier, be given any preference in the application

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