Charles Evans Hughes

“ It is insisted that the failure to provide for an appeal to any court from the final order of the commission, or for a judicial review of the reasonableness of the prescribed rates before they become effective, makes the statute void. But the statute does not deny to the carrier the right of access to the courts for the purpose of determining any matter which would be the appropriate subject of judicial inquiry. ”

“ The appellant, however, submits a broader contention which concerns the scope of the review to which it is entitled in this suit, and the nature of the judicial function where rates fixed by the legislature, or under its direction, are assailed as unreasonable.
It is urged that so long as a carrier's existing rates are just and reasonable for the services it performs, it is within its constitutional and statutory rights; that what constitutes a just and reasonable rate for the services it has performed is a question of fact upon which the carrier is entitled to a judicial hearing ”

“ It provides in substance that when complaint shall be made to the Railroad Commission, accusing any railroad company of charging extortionate rates, or when the commission shall receive information or have reason to believe that such rates are being charged, it shall be its duty 'to hear and determine the matter as speedily as possible.' The commissioners are to give the company complained of not less than ten days' notice, stating the time and place of hearing and the nature of the complaint or matter to be investigated. ”

“ The bill attacked the statute and the action of the commission, as violative of the rights secured to the complainant by the Federal Constitution. Objections were also made under the Constitution and statutes of the state. Demurrers were filed, but upon these no decision was made. The motion for preliminary injunction was heard upon bill and affidavits. In denying the motion, the court did not pass upon the validity of the second order, as it was of the opinion that those in whose favor the award of reparation had been made were 'necessary parties in interest;' these had not been brought in. ”

“ The commission purported to act under its statutory authority, and, finding the rates charged by the carrier to be extortionate, fixed other rates which they declared to be reasonable.
Again, it is further said that the enforcement of the rate order should have been enjoined in order to prevent unjust discriminations and undue preferences in contravention of §§ 817 and 818 of the Kentucky statutes. Section 817 prohibits unjust discrimination in charges, as between persons, for like and contemporaneous service in transportation. ”

“ One of its provisions, contained in § 573, is that the 'provisions of all charters and articles of incorporation, whether granted by special act of the general assembly or obtained under any general incorporation law, which are inconsistent with the provisions of this chapter concerning similar corporations, to the extent of such conflict, and all powers, privileges, or immunities of any such corporation which could not be obtained under the provisions of this chapter, shall stand repealed on September 28, 1897. ”

“ Section 819 prescribes penalties for violation, the prosecution to be by indictment. The point of this objection is that obedience to the commission's order with respect to the traffic from the three places of origin to the sixteen places of destination therein mentioned will bring about discrimination in intrastate rates, contrary to these statutes, as against thirty-two other distillery stations on the lines of the appellant, the distillers at which, so far as appears, have not complained of the appellant's rates. ”

“ No courts save those provided for in this Constitution shall be established.' taking to confer judicial powers upon the commission. By these sections, provision is explicitly made for three distinct departments of government; the judicial power of the commonwealth is vested in the courts established by the Constitution, and no judicial power can be exercised by any other officer except those thus named unless authorized by some other provision of that instrument. ”

“ This authority the legislature granted by the act of March 10, 1900, empowering the commission where, as in this case, particular rates were found to be exorbitant, to fix the reasonable rates thereafter to be charged. Siler v. Louisville & N. R. Co. 213 U.S. 175, 197, 53 L. ed. 753, 760, 29 Sup. Ct. Rep. 451.
The contention is that, before the commission makes such an order, it is required to exercise judicial functions. It is first to determine whether the carrier has been exacting more than is just and reasonable; it is to give notice and a hearing ”

“ Rep. 535; Western U. Teleg. Co. v. Richmond, 224 U.S. 160, 172, 56 L. ed. 710, 717, 32 Sup. Ct. Rep. 449; Minnesota Rate Cases (Simpson v. Shepard) 230 U.S. 352, 380, 57 L. ed. 1511, 1534, 33 Sup. Ct. Rep. 729; Southern P. Co. ”