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No. 21652

AMERICAN CROSS ARM COMPANY v. SOUTHERN RAILWAY COMPANY

Submitted July 5, 1929. Decided September 14, 1929

Rate on wooden insulator pins, in carloads, from Barboursville, Va., to Jacksonville, Fla., found unreasonable. Basis for future rate prescribed and reparation awarded.

H. J. Flack for complainant.

L. V. Crane for defendant.

REPORT OF THE COMMISSION

DIVISION 2, COMMISSIONERS CAMPBELL, MCMANAMY, AND BRAINERD BY DIVISION 2:

This case was presented under the shortened procedure. Exceptions were filed by defendant to the report proposed by the examiner. Complainant, a corporation manufacturing wooden cross-arms at Jacksonville, Fla., alleges by complaint filed September 17, 1929, that the rate charged on one carload of wooden insulator pins shipped February 22, 1928, from Barboursville, Va., to Jacksonville was and is unreasonable. A reasonable rate for the future and reparation are sought. Rates will be stated in cents per 100 pounds.

The shipment, weighing 36,000 pounds, moved over defendant's line, 694 miles. Charges were collected at the applicable sixthclass rate of 74 cents. Complainant seeks the rate of 36 cents, minimum 30,000 pounds, contemporaneously maintained on lumber from and to the same points.

In Rates on Lumber and Lumber Products, 52 I. C. C. 598, we recommended that rates on wooden insulator pins should not exceed those contemporaneously maintained on lumber. In subsequent cases we have found that the sixth-class rates on these pins, in carloads, of 86.5 cents from Charlottesville, Va., to Tampa, Fla., 921 miles, 65, 59.5, and 68 cents from Buchanan, Thaxton, and Boones Mill, Va., to Jacksonville, 672, 671 and 631 miles, and 85 cents from Chicago, Ill., to New Orleans, La., 912 miles, were unreasonable to the extent that they exceeded the concurrent rates of 43.5, 37, 28.5, 34.5, and 33.5 cents, respectively, on lumber from and to the same points, and awarded reparation accordingly. Peninsular Telephone

Co. v. S. Ry. Co., 120 I. C. C. 669; Joslyn Mfg. & Supply Co. v. C. & E. I. Ry. Co., 112 I. C. C. 743; American Cross Arm Co. v. N. & W. Ry. Co., 142 I. C. C. 477; American Cross Arm Co. v. Norfolk & W. Ry. Co., 156 I. C. C. 253.

Defendant urges that the difference in the transportation characteristics of insulator pins and lumber and the greater volume of movement of the latter warrant rates on the pins substantially higher than on lumber. In this connection it refers to Lumberton Broom & Mop Handle Factory v. A., C. & Y. Ry. Co., 140 I. C. C. 318, wherein rates 15 per cent higher than those on lumber were found reasonable on broom and mop handles in the white. It is further contended that because of the sporadic nature of the movement the application of the class rate on the shipment considered is justified. The evidence of record is not persuasive that a departure should be made herein from the principle announced in the similar cases cited. We find that the rate assailed was, is, and for the future will be unreasonable to the extent that it exceeded, exceeds, or may exceed the rate contemporaneously maintained by defendant on lumber, in carloads, from Barboursville to Jacksonville; that complainant made the shipment as described and paid and bore the charges thereon; that it was damaged thereby in the amount of the difference between the charges paid and those which would have accrued at the rate herein found reasonable; and that it is entitled to reparation in the amount of $136.80, with interest.

An appropriate order will be entered.

157 I. C. C.

No. 21663

PHILLIPS PETROLEUM COMPANY v. ATCHISON, TOPEKA & SANTA FE RAILWAY COMPANY ET AL.

Submitted July 3, 1929. Decided September 14, 1929

Rates charged prior to July 14, 1928, on muriatic acid, in carboys, in carloads, from Bartlesville, Okla., to Breckenridge and Borger, Tex., found unreasonable. Present rates found not unreasonable. Reparation awarded. C. R. Musgrove for complainant.

R. S. Outlaw, E. A. Boyd, H. C. Barron, and G. E. Duffy for defendants.

REPORT OF THE COMMISSION

DIVISION 2, COMMISSIONERS CAMPBELL, MCMANAMY, AND BRAINERD BY DIVISION 2:

This case was presented under the shortened procedure. No exceptions were filed to the report proposed by the examiner. Our conclusions differ somewhat from those proposed by him.

Complainant, a corporation producing and marketing petroleum and its products, having its principal office at Bartlesville, Okla., by complaint filed October 27, 1928, alleges that the rates charged on several carloads of muriatic acid, in carboys, shipped since January 1, 1928, from Bartlesville to Breckenridge and Borger, Tex., were and are unreasonable. Reasonable rates for the future and reparation are sought. Rates will be stated in cents per 100 pounds.

The shipments moved over defendants' lines, 391 miles to Breckenridge and 412 miles to Borger. Charges were collected at the applicable class A rates of 87 cents to Breckenridge and 86.5 cents to Borger prior to July 14, 1928, the effective date of the rates prescribed in the southwestern revision, and 71 and 77 cents, respectively, thereafter. There were contemporaneously in effect commodity rates of 54.5 cents to Breckenridge and 56.5 cents to Borger from Kansas City, Mo., and 58 cents to Breckenridge and 69 cents to Borger from St. Louis, Mo., for substantially longer hauls. These commodity rates were canceled December 20, 1928, leaving in effect on this commodity from Kansas City and St. Louis class A rates higher than those from Bartlesville. A commodity rate of 42 cents

on like traffic from Port Arthur, Tex., to various points in Oklahoma, including Oklahoma City, 502 miles, in effect when the shipments moved, also was canceled December 20, 1928.

No muriatic acid moved from Bartlesville prior to January, 1928. In that month complainant requested defendants to establish on this traffic from Bartlesville to the destinations considered rates the same as those in effect thereto from Kansas City. Defendants state they were agreeable to publishing the rates requested but were unable to do so because of complications incident to the publication of rates under the southwestern revision. They admit that the rates concurrently in effect from Kansas City would have been reasonable rates on complainant's shipments and are willing to pay reparation based thereon. However, in view of the fact that the rates from Bartlesville are, and since December 20, 1928, have been, lower than those from Kansas City, defendants oppose any reduction of the rates assailed for the future.

The classification rating on muriatic acid, in carboys, is not assailed, and the record contains no evidence of volume of movement or of other facts upon which we would be justified in prescribing commodity rates. The present class A rates, fixed by us after a most comprehensive investigation, are not assailed as such. We have consistently found that the mere admission by a carrier that the rates charged on certain traffic were unreasonable can not be accepted as conclusive, and that the willingness of a carrier to pay reparation can be approved only upon evidence which would warrant an award of reparation in opposition to its wishes. The record is insufficient to support a finding of unreasonableness on and after July 14, 1928. We find that the rates assailed were unreasonable prior to July 14, 1928, to the extent that they exceeded the reasonable rates of 71 cents to Breckenridge and 77 cents to Borger established on that date; that complainant made shipments as described prior to July 14, 1928, and paid and bore the charges thereon; that it was damaged thereby in the amount of the difference between the charges paid and those which would have accrued at the rates herein found reasonable; and that it is entitled to reparation, with interest. Complainant should comply with Rule V of the Rules of Practice.

157 I. C. C.

INVESTIGATION AND SUSPENSION DOCKET No. 3255

RULES COVERING COLLECTION AND DELIVERY OF LESS THAN CARLOAD FREIGHT AT BENNETTSVILLE, S. C.

Submitted May 3, 1929. Decided September 16, 1929

Proposed schedules providing for delivery and collection of certain interstate shipments of less-than-carload freight at Bennettsville, S. C., under the linehaul rates, found justified. Order of suspension vacated and proceeding discontinued.

W. M. Stevenson and S. S. Tison for respondent.
Henry Thurtell for protestant.

REPORT OF THE COMMISSION

DIVISION 3, COMMISSIONERS AITCHISON, EASTMAN, AND TAYLOR BY DIVISION 3:

By schedules filed to become effective March 15, 1929, respondent, Bennettsville & Cheraw Railroad Company, proposed the establishment of a tariff rule under which, except on single articles weighing in excess of 1,000 pounds, the interstate rates on less-than-carload shipments from or to Bennettsville, S. C., published in all of its tariffs, or in tariffs filed by other carriers in which it is shown as a participating carrier, would apply from or to the places of business or residences of all consignors or consignees within the corporate limits of Bennettsville and its suburbs. Upon protest of the Atlantic Coast Line Railroad Company, hereinafter called protestant, the proposed schedules were suspended until October 15, 1929.

The proposed schedules would, in effect, provide what is commonly called store-door delivery and collection services. No increase in rates is proposed. Respondent proposes to grant the same character of service to all persons within the specified limits.

Respondent's line extends from Kollock, S. C., where it connects with the Seaboard Air Line Railway Company's railway, hereinafter called the Seaboard, southeasterly through Bennettsville to Brownsville, S. C., 32 miles. Protestant's line also serves Bennettsville, but it is unwilling to establish or to participate in the establishment of service at that point similar to that proposed by respondent. The protestant, as a common carrier, may not unduly prefer one community or disadvantage another. If it voluntarily chooses.

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