Wiley Blount Rutledge

“ But whether and to what extent competition may have destructive effect, or other consequences hurtful to the public interest, in a particular situation may depend not merely on the difference in sizes of units, but on other factors. Each form of carriage has some inherent advantages over the others, such as mobility, speed, normal volume capacity, etc. ”

“ Appellants' broadest contention must be rejected at this stage. It is, in effect, that as a matter of law, in the particular circumstances competitive necessity becomes the controlling consideration, and costs of operation, that is the requirement that minimum volume rates be geared to loading capacity, become immaterial. That view must be rejected for the same reason as requires rejection, on this record and until further buttressed, of the Commission's converse view that costs exclusively control and competition becomes immaterial. ”

“ The respondents (appellants here) have not presented to us a valid reason from the point of view of economy in transportation or otherwise, such as we have found to exist in connection with certain trainload movements, [4] why they should be permitted to establish a minimum weight greater than is physically possible to load in the motor equipment usually used by them, and, in our opinion, no such reason exists. ”

“ And appellants' argument that a 30,000-pound minimum is necessary to meet rail competition is necessary to meet rail competition is at least consonant with the frequent recognition, both by the Commission and by this Court, that there are occasions when it is appropriate for the former to consider a carriers' need to meet other carriers' competition as a factor justifying what otherwise would be an unreasonable or an unduly discriminatory rate. ”

“ Appellants are motor carrier associations who seek to put into effect proposed rate schedules in order to meet rail competition. The schedules cover transportation of hard surface floor covering, e.g., linoleum, from points in New England and Middle Atlantic states to various destinations in Middle Western states. The Interstate Commerce Commission, three Commissioners dissenting, rejected the schedules. ”

“ The figures are only approximate; that is, 30,000 pounds represents not an exact carload capacity, since differences in loading characteristics of commoditions and slight differences in carload capacities may make possible loading slightly more or less in a car. Similar, perhaps somewhat wider, variations affect trucks. The findings were that 20,000 pounds reasonably can be viewed as a minimum weight geared to truckload capacity, though in some instances as much as 22,000 or 25,000 pounds actually can be loaded in one vehicle.↑ Cf. ”

“ M-1445 [3] that linoleum shipments which move by rail to the Ohio points generally are consigned to warehouses having rail sidings, while linoleum is tendered to the appellant motor carriers in quantities weighing from 18,000 pounds upward. If found also, and the finding is not questioned, that it is physically impossible to load 30,000 pounds of linoleum into a single unit of equipment operated by appellants. ”

“ The bulk of the westbound movement is frozen or salted fish.
Division 3 made findings and conclusions first that, based upon the costs proven and comparison with motor carriers' rates on numerous commodities, the proposed rates 45 per cent were 'just and reasonable provided the minimum that is applicable in connection therewith is reasonable.' Accordingly it examined the reasons advanced in support of the proposed minimum of 30,000 pounds. ”

“ Conceiving that these structures gave the railroads an undue competitive advantage on larger shipments, appellants proposed specific rates designed to enable them to compete with the railroads for such shipments. They sought to utilize a new minimum weight. The rates tendered were approximately the equivalent of 70 per cent of first class for shipments of less than 20,000 pounds, 47.5 per cent for 20,000 to 30,000 pounds, and 45 per cent for 30,000 pounds or more. The schedules therefore substantially put rail and motor rates on the same plane for less than 20,000 and more than 30,000 pounds ”

“ It affects not only shipments of linoleum, and motor carriers, but many kinds of shipment and all kinds of carriers within the Commission's jurisdiction. It may touch vitally the public interest. It involves, to some extent, the important task of reconciling previously established railroad policies with, or adapting them to, the requirements of the presently effective National Transportation Policy and its application to a coordinated transportation system. ”

“ From these alternatives it is charged the consequence is to force the truckers 'out of that very large field of traffic' and allocate it to the railroads. Whether this is the effect or not, we have no means of knowing on this record. ”

“ While some of it can transport 25,000 pounds, 'the normal trucking load of linoleum approximates 22,000 pounds.' Rejecting appellants' contention based on Carpets and Carpeting from Official to Southern Territory, 237 I.C.C. 651, the Division stated:
'The Commission has found repeatedly that carload minimum weights should be established by rail carriers with reference to the loading capacity of their freight cars and has condemned minimum weights in excess of the loading possibilities of the rail equipment. ”