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Posted by Tim
on 5/11/2009, 10:46 am
76.242.154.2
From the pages of Railway Age;
In another case the Court upheld a Commission order authorizing the Chicago, Milwaukee, St Paul & Pacific and the Chicago & Northwestern to pool their iron ore traffic from the Menominee range in Michigan and Wisconsin to the docks at Escanaba, Mich., and to pool revenues, expenses, tracks, equipment and employees engaged in that traffic. The Escanaba & Lake Superior opposed the commission order and brought suit in the U.S. District Court for the Western District of Michigan. The Escanaba & Lake Superior took the position that since it had an agreement with the Milwaukee which gave the later trackage rights for iron ore trains, it was a “carrier involved” within meaning of the provisions of the Interstate Commerce Act which cover pooling agreements. The high court held that while the road would be affected by the pool and had a right to be heard on the question, it was not a party to the agreement and could not prevent the pooling arrangement. The court also pointed out that the Escanaba is not a carrier of the ore but that it merely sold trackage rights for ore traffic to the Milwaukee.
Railway Age 3/5/1938, Vol. 104 No. 10, page 429
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