and it was made its duty whenever, after full hearing upon a complaint made as provided in Section 13 of this Act, or under an order for investigation and hearing on its own motion, it shall be of the opinion that any of the individual or joint rates, or charges whatsoever, demanded, charged, or collected by any carrier or carriers, subject to the provisions of this Act, for the transportation of persons or property as defined in the first section of this Act, or for the transmission of messages by telegraph or telephone, or that any individual or joint regulation or practice in respect to such transportation is just, fair, and reasonable to be thereafter followed; to make an order that the carrier shall cease and desist from such violations, to the extent to which the Commission might have found the same to exist, and further to require that the carrier should not thereafter publish, demand, or collect any rate or charge for such transportation in excess of the maximum or minimum rate or charge so prescribed, and should conform to the regulation or practice so prescribed. The power was also given the Commission to require the establishment of through routes and to fix joint rates and to open terminals for joint use on terms to be prescribed, to prescribe an allowance, which must be reasonable, for a service or instrumentality furnished by the owner of property transported.

All awards of the Commission, except orders for the payment of money, take effect within a reasonable time, not less than thirty days, and continue in force as prescribed unless suspended, set aside, or modified by the Commission or a court of competent jurisdiction; and it is the duty of every common carrier, its agents and employees, to observe and comply with such orders under penalty. The Commission is, by Section 9 of the Act of 1910, amending Section 6 of the old law, given power to reject schedules under certain circumstances, and schedules so rejected are void, and the failure to comply with regulations adopted and promulgated by the Commission, is a criminal offense.

§ 76.

Switch Connections.-Under Section 1 of the Act of March 4, 1887, as amended by the Act of June 29, 1906, the Supreme Court held that the Interstate Commerce Commission had power to compel switch connections with lateral branch roads only at the instance of shippers, and that it had

no power to compel switch connections on the application of a branch railroad. This decision of the Supreme Court would not be applicable to the Act of 1910, as the "owner" of such lateral branch road has now the same rights as a shipper.

§ 77. Damages and Penalties for Misquoting a Rate.Prior to the Act of 1910, a shipper, who had been damaged by the error of a common carrier in misquoting a rate, had no remedy. The Act of 1910, unchanged in 1920, amends Section 6 of the prior Act by providing a penalty against the carrier for giving a shipper the wrong rate. As the statute, in Section 8 gives a shipper the right to recover damages for any violation of the Act, it is believed that, upon requesting a quotation of a rate as the statute requires, the shipper suffering damage in consequence of an erroneously-stated rate, may recover such damages by suit against the carrier in any court of competent jurisdiction.

§ 78. Penalties.-Section 10 of the old law is amended by the Act of 1910; paragraphs (1), (2) and (4) of the old section are unchanged. Paragraph (3) of the original Section 10 is amended and enlarged, in line one, by adding after "person" the words "corporation or company;" after the word "package" in the old law, the new law adds "or the substance of the property;" "officer" is added to "agent" in the new law; and an "attempt" to obtain transportation at less than the legal rate is now illegal. Imprisonment is specifically made inapplicable to artificial persons, and this new language, making illegal other acts, is added: "or who shall knowingly and willfully, directly or indirectly, himself or by employee, agent, officer or otherwise, by false statement or representation as to cost, value, nature, or extent of injury, or by the use of any false bill of lading, receipt, voucher, roll, account, claim, certificate, affidavit, or deposition, knowing the same to be false, fictitious, or fraudulent, or to contain any false, fictitious, or fraudulent statement or entry, obtain or attempt to obtain any allowance, refund, or payment for damage or otherwise in connection with or growing out of the transportation of or agreement to transport such property, whether with or without the consent or connivance of the carrier, whereby the compensation of such carrier for such trans

portation, either before or after payment, shall in fact be made less than the regular rates then established and in force on the line of transportation."

§ 79. Investigations by the Interstate Commerce Commission.-Section 13 of the original Act is enlarged by the Act of 1910, the principal change being to extend the power of the Interstate Commerce Commission to make investigations on its own initiative. The language of this Amendment would seem to be broad enough to meet the decision of the Supreme Court in the Harriman case,445 because, after giving power to investigate "any matter or thing concerning which a complaint is authorized," this is added: "or concerning which any question may arise under any of the provisions of this Act."

§ 80. Reports of Carriers.-Paragraph (2) of Section 20 of the Act of 1906 is stricken by the Act of 1910, and in lieu thereof a new paragraph is enacted, giving the Commission power to require annual reports for the year ending either June thirtieth or December thirty-first of each year, instead of June thirtieth only, as was provided by the old law, and also giving power to the Commission, in addition to the annual and monthly reports, to require of carriers "periodical or special" reports.

The Transportation Act, 1920, uses some more words in describing what the Commission may require as to the forms of accounts, records, and memoranda kept by the carriers, specifically regulates charges for depreciation, and gives the Commission power to require annual reports for the year ending June 30th, or December 31st, as the Commission may direct, and to require the production at any time of special reports, including all documents, papers and correspondence now or hereafter existing, and kept or required to be kept by carriers. 446

§ 81. Court Procedure with Reference to the Orders of the Commission. The Commission is given power to apply to the

445 Harriman v. Interstate Com. Com., 211 U. S. 407, 53 L. Ed. 253, 29 Sup. Ct. 115.

446 Sec. 550, post; Smith v. Int. Com. Com., 240 U. S. 33, 62 L. Ed. 135, 38 Sup. Ct. 34.

courts to enforce its orders. Writs of mandamus may issue from the District Courts of the United States to compel the movement and transportation of freight without undue discrimination, and to compel the furnishing of cars and other facilities of transportation. Suits to enforce orders for reparation, after an order therefor has been granted by the Commission, may be brought in the federal or the state courts. Under certain circumstances, courts may suspend or set aside the orders of the Commission. What these circumstances are will be discussed hereinafter in Chapter IX.

The Transportation Act, 1920, further amends Section 13 by prescribing a procedure where rates imposed by a state are involved. The Amendment also specifically authorizes carriers to file petitions attacking such rates.

ALL CHARGES FOR SERVICES RENDERED BY COMMON CARRIERS IN

THE TRANSPORTATION OF PERSONS OR PROPERTY

OR IN CONNECTION THEREWITH MUST

BE JUST AND REASONABLE.

86.

The Consolidation of Freight Classifications.

87. Modern Tendency Toward the Making of Commodity Rates in Relation to Class Rates.

88. Uniformity of Relationships Between Classes in the Class-Rate Scales. Minimum-Rate Power of the Commission.

89.

90.

91.

92.

Cost of Service.

Some of the Principal Elements of the Cost of Service.
Valuation of Common-Carrier Property.

93. What is a Reasonable Return to the Carrier?

98.

Value of the Commodity, Its General Utility and Danger of Loss.

99.

Value of the Commodity-Difference Between the Raw and the Manufactured Product.

100. Competition or Its Absence Considered in Determining Reasonableness of Rate.

101. Limitations on the Observance of Competition in Rate-Making.

102. Rates Affected by Amount of Tonnage.

103. Density of Traffic.

104. Distance and Revenue Per Ton-Mile.

105. Multiple-Line Hauls.

107. The Hoch-Smith Resolution and Its Effect on Rate-Making. 108. Estoppel.

109.

Rates Long in Existence Are Presumed to Be Reasonable. 110. Same Subject.

111.

112.

Voluntary Reductions of Rates.

Effect of Act of June 18, 1910, on Voluntary Rate Reductions.

113. Grouping Territory and Giving Each Group Same Rate Legal under

Some Circumstances.

114. Grouping Producing Points and Making Zones Taking Same Rates. 115. Basing-Point System.

116. Breaking Rates at the Territorial Gateways.

117.

Comparisons Between Different Lines as a Means of Determining Correet Rates.