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Interstate Commerce
a term which technically means the higher authority of the Federal Government over that of the individual states in matters of trade and commerce passing over state boundaries. This higher authority is based on Article I, Section 8, clause 3, of the Constitution of the United States, which declares that the Federal Govern ment, through Congress, shall have the right "to regulate commerce with foreign nations and among the several states, and with the Indian tribes." This clause gives Congress jurisdiction over all "highways"; railroads, rivers, canals, etc., passing from one state to another.
As an instance, when the New York Legislature, many years ago, before court decisions had determined exactly the limits of Federal jurisdiction, attempted to grant the exclusive right to navigate state waterways to certain private parties, a Supreme Court decision, based on the clause in the Federal Constitution, rendered this particular piece of legislation void. By this, and similar decisions, Congress has jurisdiction over harbors, even though they may be enclosed entirely by the territory of one state, and has the authority to grant concessions for harbor works. It may authorize and compel the removal of rocks or the dredging of rivers, to facilitate transportation and passenger traffic. It is within the jurisdiction of Congress to guard against dangers to the lives of travelers, to the extent that it can compel steamship or railroad companies to adopt safety appliances, should it deem such devices effective. Even telephone and telegraph services are included, as being inter-state in character. a Based on this fundamental law, the authority of Congress extends to larger proportion of private business than had probably ever been foreseen by the fathers of the country. For not only may it regulate inter-State transportation and passenger service on railroads, but it may also impose conditions on how business may be done between firms in one state and its patrons, or other firms, in other parts of the country. A particular instance is given in the inspection of meat packed by the Chicago packers.
Unsanitary conditions being suspected in this industry, endangering the health of the people, Congress had the constitutional right to intervene and compel the packers to abide by certain sanitary rules that were imposed. A great deal of Federal legislation has been passed, based on this Constitutional clause, the most important of which is the Sherman Anti-Trust Law, passed in 1890, which forbids combinations of manufacturers or traders tending toward monopoly, and so "restraining" the natural laws of supply and demand. Another illustration of this kind of legislation is the White Slave Act, which enables the Federal Government to protect young girls by its power to prosecute those who bring young women from one state to another for immoral purposes. As another illustration of the subservience of the States to the Federal Constitution, Iowa, which had passed a prohibition law, was unable to prevent li liquor being brought into the State until Congress came to her relief by a special act forbidding the importation of liquors into prohibition States.
INTERSTATE COMMERCE COM- MISSION, a body of nine members, authorized by Federal law to regulate inter-state trade, transportation, etc., in accordance with the clause in the Constitution placing commerce between the States under the jurisdiction of Congress. The original act to regulate commerce, approved Feb. 4, 1887, provided for a commission consisting of five members. By various amendatory and supplementary enactments the powers of the commission have been increased and the scope of the regulating statute materially widened. Among the more important of these enactments are the acts of March 2, 1889; the Elkins Act, approved Feb. 19, 1903; the Hepburn Act, approved June 29, 1906; the Mann-Elkins Act of June 18, 1910; the acts of Aug. 24, 1912, and May 29 and Aug. 9, 1917; and the Transportation Act, 1920. The number of Commissioners was increased under the act of June 29, 1906, to 7 members; under the act of Aug. 9, 1917, to 9 members; and under the Transportation Act, 1920, to 11 members. (See INTERSTATE See INTERS COMMERCE.) INTERSTATE COM. COMMISSION 179 The law creating the Commission, passed by Congress in 1887, and based on the above clause, was the result of a demand voiced by the farmers of the Middle West, between whom and the railroad companies considerable friction over freight rates had developed. In some cases extortionate freight rates were charged , making the growers of produce for distant markets economically dependent on the railroads.
With regard to railroads, sleeping car companies and express companies, no free transportation was permitted, with certain exceptions. Railroad companies were forbidden to transport free of charge commodities belonging to themselves, excepting timber and equipment.
Railroad Railroad companies must lay switches to any and all parties desiring to ship freight. There must be no disfavor of or against any private firm or corporation, desiring to ship goods.
There must be no special charges for short hauls. There must be of freight and division of earnings.
Rate and fare schedules must be published and posted in certain places visible to the public . Contracts between railroad companies and between companies and private firms must be filed before the Interstate Commerce Commission, and be formally approved by it.
To enforce these provisions, the Interstate Commerce Commission was created, whose eleven members are appointed for terms of six years, subject to the ap- . No more than three members of the Commission may the same political party.
The Commission is empowered to inquire into the business of all carriers; INTERSTATE COM. COMMISSION C., but its sittings may be in any part of the country. portation Act, 1920, provides for the ter- Transportation Act, 1920.-The Trans- 1920. -The Transmination of Federal control and limits ides for the terthe powers the President may thereafter exercise under the Federal-control act to those necessary to wind up and settle matters arising out of Federal control; for the turning over to the Secretary of matters arising out of Federal control in War for operation and settling up of all connection with boats, barges, tugs, and other facilities on the inland, canal, and waterways acquired by the United States under the Federal-control act, and requiring him to provide terthe interchange of traffic with carriers, and renders the operation of the boats and facilities subject to the provision of the interstatecommerce act to the same extent they would be if not owned by the United States. This act also authorizes the President to advance moneys to the carcertain purposes out of the revolving fund created by the Federal-control act, and requires the commission to ascertain and certify to the Secretary of the Treasury the amounts to be thus advanced to the carriers. It also provides for the appointment by the President of at law, suits in equity, proceedings in an agent to act as defendant in actions admiralty, and before the commission, based on matters arising out of Federal control, and confers upon the commission jurisdiction over all claims for reparation pertaining to the Federal-control period, whether arising in respect of intrastate or interstate traffic; that, pending actions, suits, proceedings, and reparation tion awards in such cases shall be paid out of the revolving fund; that the period of Federal control shall not be part of the periods of limitation in actions against carriers or in claims for reparation based on causes of action arising out of matters pertaining to Federal control ; and that a judgment in favor of the United States is the only one that may be levied against the property of the carrier where the judg ment is based upon such matters. railroad, steamship and express com- claims shall not abate, but that reparapanies ies. It may compel testimony and requisition papers and documents, and it has the right to investigate on all made before it. It must publish full reports on all such investigations.
The power most widely associated with the Commission, however, is that of fixing transportation rates, for both freight and passenger traffic. Its rates are final, and remain valid for two years. The Commission may also award damages where private persons or firms can prove injury received through any of the carrier companies coming under its jurisdiction.
It may examine the books and accounts of such companies . It may require from them annual, or even monthly, reports of their finances and business transactions.
Summed up, the Commission is, in fact, a court of adjustment in transportation matters, with all the powers of a court.
Its headquarters are in Washington, D. in force until changed by lawful author- The Transportation Act also continues ity all rates, fares , charges, classifications, regulations, and practices in effect on Feb. 29, 1920 , and prohibits reductions of such rates, fares, and charges prior to Sept. 1, 1920 , except with the approval of the commission. It provides certain for a period of six months from March 1, 1920, to all carriers which were entitled to the same INTERTRIGO under the Federal-control act, and which on or before March 15, 1920, filed with the commission a written statement that they accepted the provisions and conditions upon which such guaranties are made. A similar guaranty under the same conditions of acceptance is made to the American Railway Express Co. that the contract between it and the Director General of Railroads shall remain in effect during the guaranty period in so far as the said contract constitutes a guaranty to the express company against a deficit in operating income. It provides for advances to the express company and the carriers to meet operating expenses, and fixed charges, and that the commission after the expiration of the guaranty period shall ascertain and certify to the Secretary of the Treasury the amount due any carrier under the guaranty, and the amount of and the times at which such loans or advances shall be made to any carrier.
The Transportation Act also provides for the inspection of carriers' records by the President or his agents until the affairs of Federal control are concluded, and for the refunding of carriers' indebtedness to the United States. It also authorizes the Secretary of the Treasury to make new loans to carriers upon certain conditions and upon favorable certification by the commission and creates a revolving fund of $300,000,- 000 out of which said loans are to be made and out of which certain judgments, decrees, and awards are to be paid.
The Transportation Act also provides a plan for the settlement of controversies between carriers and their employees and subordinate officials through the medium of railroad boards of labor adjustment and a Railroad Labor Board. The latter consists of nine members, three of whom, representing the labor group, are to be chosen from not less than six nominees designated by the employees; three, representing the management, are to be chosen from not less than six nominees designated by the carriers. All nominations in both groups are made under rules and regulations prescribed by the commission. Three members, representing the public, are chosen directly by the President. All appointments are made by and with the advice and consent of the Senate.
INTERTRIGO (-trīgō), a slight inflammation of the skin occurring in the hollows of folds of the integuments or joints, where two surfaces lie in contact with each other, also called chafing, fret ting, galls.