George Shiras, Jr.

“ For the Federal courts to interfere with the legislative department of the state government when acting within the scope of its admitted powers is always the exercise of a delicate power,-one that should not be resorted to unless the reason for doing so is clear and unmistakable.
As we understand the condition of the statutes of Kentucky, there was at the time when this case was tried in the circuit court of Marion county, and when the court of appeals disposed of it, no power in the railroad commission to fix or establish rates or tolls which the railroad companies were bound to accept. ”

“ But, though it be conceded that ownership in a railroad is property, it is property of a kind that is subject to the regulations prescribed by the state. We do not wish to be understood as intimating that if, hereafter, the railroad commission should fix and establish rates of a confiscatory character, the company would be without the protection which courts of equity have heretofore given in cases of that description. ”

“ It is said that, while it is true that railroad companies receive their rights to exist and to maintain their roads from the state, yet that their ownership of such roads is property, and, as such, is protected from arbitrary interference by the state. ”

“ It is not compulsory upon the carrier to make such application for relief to the commission. If he does not choose to do so, he will continue to operate his railroad under and subject to the constitutional prohibition. If he elects to resort to the commission, he can no more complain that its judgment is final, when it is against his contention, than the community affected can complain when its judgment is in his favor. Finality is a characteristic of the judgments of all tribunals, unless the laws provide for a review. ”

“ It is scarcely necessary to argue or to cite authority for the proposition that a contract of exemption from future general legislation, either by a constitutional provision or by an act of the legislature, cannot be deemed to exist unless it is given expressly, or unless it follows by an implication equally clear with express words. ”

“ But what is claimed is that a railroad company, by mere force of its legal organization and the construction of its road, has a necessarily implied power to fix reasonable rates, and especially has the right to differ rates when competition exists from rates applicable where there is no competition. ”

“ Nothing is more common than the appointment of juries or commissioners to find the value of lands taken for public use, or to assess damages to them whose findings are deemed final. Yet the evidence on which they act is not preserved, nor do the courts go into any inquiry into the various sources and grounds of judgment upon which the appraisers have proceeded. ”

“ Complaint being made to the railroad commission, it investigated the matter and made an order in writing declining to exonerate appellant from the operation of the provisions of § 820, and thereafter, at the suggestion of the commission, appellant was indicted in the Marion circuit court, as provided in the statute. ”