Wadley Southern Ry. Co. v. State

• Decision Date: 13 February 1912
• Citation: 73 S.E. 741,137 Ga. 497
• Parties: WADLEY SOUTHERN RY. CO. v. STATE.
• Court: Georgia Supreme Court

73 S.E. 741

137 Ga. 497

WADLEY SOUTHERN RY. CO. v. STATE.

Supreme Court of Georgia

February 13, 1912

Syllabus by the Court.

The Railroad Commission act of 1907 (Acts 1907, p. 72) does not offend article 3, § 7, par. 8, of the Constitution of Georgia on the ground that the twelfth section of the act contains matter different from what is expressed in the title.

Section 6 of the Railroad Commission act of 1907 (Civil Code 1910, § 2663) contemplates that notice and an opportunity of a hearing be given to persons, railroads, or other corporations interested in the orders issued by the Commission, and that provision may be made for such notice either by statute or rule of the Commission. This section is to be construed to mean that the Commission shall not issue a special order in a particular case and directed to a person or corporation without first giving notice and an opportunity for hearing to the person or corporation so to be affected thereby.

A state statute, which confers on a Railroad Commission the power to require railroads to afford the usual and like customary facilities for interchange of freight to patrons of each and all routes or lines alike, and to make just and reasonable rules for preventing unjust discriminations, and provides for notice and an opportunity of a hearing of the railroad company to be affected by any order of the Commission, and for a violation of an order of the Commission imposes a penalty on the corporation in a sum not to exceed $5,000, in the discretion of the trial judge, and also subjects any person violating or abetting the violation of the order to punishment for a misdemeanor, does not offend the constitutional guaranties of due process of law and the equal protection of the laws, in that the railroad to be affected by the order is prevented from testing the validity of the statute of the order of the Railroad Commission because of excessive penalties.

The Georgia Railroad Commission act invests the Railroad Commission with power to require railroads to afford the usual and like customary facilities for interchange of freight to patrons of each and all routes or lines alike, and to make reasonable rules for preventing unjust discriminations. Under this power it is competent for the Commission to declare as an unlawful discrimination a course of conduct, whereby a railroad company, connecting with other railroad companies at each of its termini, which converge to a common point, affording a choice of routes from the common point to stations on its own line, receives from one of its connections freights destined to points on its own line without requiring prepayment of the earned charges of the favored carrier, and declines to receive from the connecting carrier at the other terminus freight destined to points on its own line without prepayment of the freight charges earned by that connecting carrier, where the conditions are substantially similar, and the effect of the course of conduct is to seriously curtail competition in rates and service to the patrons on its own line.

The action was properly authorized by the Governor.

The admission of irrelevant and immaterial evidence, not prejudicial to the losing party, is not cause for a new trial.

An exception to the refusal of the court to allow a witness to answer a stated question is insufficient where the answer expected to be elicited is not given.

The charge was adjusted to the law and facts and free of substantial error, and the evidence authorized the verdict.

Error from Superior Court, Jefferson County; B. T. Rawlings, Judge.

Action by the State against the Wadley Southern Railway Company. Judgment for plaintiff, and defendant brings error. Affirmed.

The action is by the state of Georgia against the Wadley Southern Railway Company to recover a penalty for disobedience to an order of the Railroad Commission of Georgia. The Central of Georgia Railway Company, a domestic corporation, owns and operates a line of railroad from Macon to Wadley and beyond. The Macon, Dublin & Savannah Railroad Company owns and operates a railroad from Macon to Rockledge. The Stillmore Air Line Railway Company operated a railroad from Wadley to Collins, where it connected with the Seaboard Air Line Railway Company. The Wadley & Mt. Vernon Railroad Company operated a line of railroad from Wadley to Rockledge. In 1906 the Stillmore Air Line Railway Company and the Wadley & Mt Vernon Railroad Company merged into a new corporation called the Wadley Southern Railway Company, and which was duly chartered under that name. The Central of Georgia Railway Company is the owner of all the stock and bonds of the Wadley Southern Railway Company. Adrian is a station on the Wadley Southern Railway Company between Wadley and Rockledge, being 27 miles distant from Wadley and 10 miles distant from Rockledge. On August 17, 1909, certain merchants and business men of Adrian addressed a petition to the Railroad Commission of Georgia representing that "the Wadley Southern refuses to handle freights delivered them at Rockledge by M D. and S. without freight charges being fully prepaid to Rockledge," and praying the interposition of the Railroad Commission in aid of interchange of freights at that point. A hearing was had upon this petition, and on March 16, 1910, the following order was passed by the Railroad Commission of Georgia: "In re refusal of the Wadley Southern Railway Company to accept freight from the Macon, Dublin & Savannah Railroad Company, at Rockledge, Georgia, without the prepayment of freight charges. *** The Commission having heard evidence and argument of counsel in the foregoing complaint as to discrimination alleged to be practiced by the Wadley Southern Railway Company as against shippers to Adrian, Ga., over the line or route of the Macon, Dublin & Savannah Railroad Company via Rockledge, Ga., and in favor of shippers over the line or route of the Central of Georgia Railway Company, at Wadley, Ga., and it appearing that the alleged unlawful discrimination arises out of the requirement of the Wadley Southern Railway Company that shippers shall prepay charges via Rockledge before it will receive freight at that point from the Macon, Dublin & Savannah Railroad Company for Adrian, but does not require like prepayment of charges on freight via the Central of Georgia Railway Company at Wadley, thus affording facilities to patrons of the Central of Georgia Railway Company's line or route, for the interchange of freight, denied to patrons of the Macon, Dublin & Savannah Railroad Company's line or route, and it appearing that the Macon, Dublin & Savannah Railroad Company's line or route via Rockledge is a competitor of the Central of Georgia Railway Company's route or line via Wadley for freight moving to Adrian and other points on the Wadley Southern Railway Company between Rockledge and Wadley, and that the rule or requirement of the Wadley Southern Railway Company complained of is intended to afford and does afford to patrons of the Central of Georgia Railway Company facilities denied to patrons of the Macon, Dublin & Savannah Railroad Company, a connecting line of the Wadley Southern Railway Company, and a competitor of the Central of Georgia Railway Company for Adrian business, which interferes with the exercise of the freedom of choice in routes by shippers, the Commission is of the opinion that the practice complained of is, under the law of Georgia, an unlawful discrimination, and such a discrimination as the Commission is required by law to forbid. It is therefore ordered that the Wadley Southern Railway Company at once desist from the discrimination specifically complained of in this case. Ordered further, that the Wadley Southern Railway Company, on and after the receipt of this order, afford to patrons or shippers over the line of the Macon, Dublin & Savannah Railroad Company via Rockledge, the same facilities for the interchange of freight afforded to patrons or shippers over the line of the Central of Georgia Railway Company via Wadley." Notice of this order was duly communicated to the general freight agent of the Wadley Southern Railway Company, and the attorneys of the Wadley Southern corporation replied that they had advised that company that "the order of the Railroad Commission is not legal, and that the railroad company is not legally bound to observe it." Whereupon his excellency, the Governor, passed the following order: "In re Wadley Southern Railway Company refusal to accept at Rockledge, Ga., freight from the Macon, Dublin & Savannah Railway Company, unless freight charges are prepaid. Whereas, the Railroad Commission of Georgia having notified me that the Wadley Southern Railroad Company had refused to obey the order of said Commission directing that said railway company should receive freight from the Macon, Dublin & Savannah Railroad Company without requiring prepayment of freight charges, which refusal it is claimed by such Commission is an unauthorized and illegal discrimination under the facts, and subjecting the said company to a penalty for a violation of the Commission's orders. It is therefore ordered in conformity with the act approved August 23, 1907, that suit be instituted by the special attorney of the Railroad Commission in the name of the state of Georgia for the recovery of such penalty."

In pursuance of this order a petition was filed in the name of the state to recover of the Wadley Southern Railway Company $5,000 penalty as provided by the act approved August 23, 1907. The petition contained two counts. The first count alleged that the railroad company had failed and refused to obey, observe, and comply with the order of the Commission, whereby they became indebted to the state of Georgia in a sum not...