road may require, and shall increase or reduce any of the rates, experience and business operations show to be just. In fixing joint tariffs of rates, for connecting lines, the Commission shall determine the proportion to be charged by each of the railroads. The Commission shall regulate and fix the rates to be charged on short hauls in excess of what may be charged on long hauls, and it shall determine in all cases whether the circumstances and conditions be or be not substantially similar. [Annotated Code (1902), section 4290.]

The State has the right, as a general proposition, to prescribe the compensation a railroad shall receive for carrying passengers and freight within its borders. Stone v. Yazoo R. R. Co., 62 Miss. 607 (1884).

The State may supervise railroads, and regulate their charges through a Commission. Stone v. Natchez R. R. Co., 62 Miss. 646 (1884). And the State may give the Commission power to rectify abuses in rates. Alabama Ry. v. Railroad Com., 38 So. 356 (1905).

1265. Missouri.

Said railroad commissioners shall have power to classify all articles of freight transported on any railroads or parts of railroads, owned, leased, or occupied in the State, except the articles in the special classes D, E, G and H, placing said articles in either of the general classes herein provided for, or in any of said special classes, except D, E, G and H; and are further empowered and authorized to reduce said rates on any of said railroads or parts of railroads, either in general or in special classes, whenever in their judgment, it can equitably be done. [Revised Statutes (1899), section 1204.]

§ 1266. Nebraska.

That the board hereby created shall have authority to inquire into the management of the business of all common carriers subject to the provision of this Act, and shall keep itself informed as to the manner and method in which the same is conducted, and shall have the right to obtain such common carriers full and complete information necessary to enable the

board to perform the duties and carry out the objects for which it was created; and for the purposes of this Act the board shall have power to require the attendance and testimony of witnesses and the production of all books, papers, tariffs, contracts, agreements and documents relating to any matter under investigation, and to that end may invoke the aid of any of the District Courts in this State, or of the Supreme Court, in requiring the attendance and testimony of witnesses, and the production of books, papers and documents under the provisions of this section; and any court of competent jurisdiction, within the jurisdiction of which such inquiry is carried on, may, in case of contumacy or refusal to obey a subpoena issued to any common carrier subject to the provisions of this Act or other person, issue an order requiring such common carrier or other person to appear before said board (and produce books and papers if ordered) and give evidence touching the matter in question; and any failure to obey such order of the court may be punished by such court as a contempt thereof. The claim that any such testimony or evidence may tend to criminate the person giving such evidence shall not excuse such witness from testifying; but such evidence or testimony shall not be used against such person on the trial of any criminal proceeding. [Compiled Statutes (1899), section 4056.]

See State v. Sioux City, etc., R. R., 46 Neb. 682, 65 N. W. 766 (1896), and Smyth v. Ames, 169 U. S. 466, 42 L. Ed. 819, 18 Sup. Ct. 418 (1898), for general principles to be employed in passing upon the reasonableness of rates.

§ 1267. New Hampshire.

In such case, if a railroad corporation shall not establish a tariff for the transportation of milk by the can, or if any person is aggrieved by the tariff established, the board of railroad commissioners, upon petition, after notice and hearing, shall establish such tariff as they shall deem to be fairly

proportionate to the rates charged by the corporation for the transportation of milk in large quantities, and shall notify the corporation thereof. [General Laws (1903), chap. 160, section 22.]

§ 1268. North Carolina.

That the said Commission is hereby empowered and directed: (1) To make reasonable and just rates of freight, passenger and express tariffs for railroads, steamboats, canal and express companies or corporations, and all other transportation companies or corporations engaged in the carriage of freight, express or passengers: Provided, That in fixing any maximum rate or charge or tariff of rates or charges for any common carrier, person or corporation subject to the provisions. of this Act the said Commission shall take into consideration. if proved or may require proof of the fair value of the property of such carrier, person or corporation used for the public in the consideration of such rate or charge or the fair value of the service rendered as in determining the fair value of the property so being used for the convenience of the public. It shall furthermore consider the original cost of the construction. thereof and the amount expended in permanent improvements thereon and the present compared with the original cost of construction of all its property within the State of North Carolina; the provable earning capacity of such property under the particular rates proposed and the sum required to meet the operating expenses of such carrier, person or corporation and all other facts that will enable them to determine what are reasonable and just rates, charges and tariffs. [Laws of 1899, chap. 164, section 2.]

The powers of this Commission were considered at length in Matthews v. Board of Corp. Comm'rs, 106 Fed. 7 (1901). It was held in that case that the Commission must not so reduce rates as to prevent the railroad from earning a fair return upon the present value of its property, but that rates on a particular article might be fixed at any reasonable rate provided the schedule as a whole produced an adequate return.

1269. North Dakota,

Before proceeding to make such examination, in accordance with such application or petition, said commissioners shall give to the petitioners and the railroad, railroad corporation, or common carrier reasonable notice in writing of the time and place of entering upon the same. If, upon such an examination, it shall appear to said commissioners that the complaint alleged by the applicant or commissioners is well founded they shall so adjudge, and shall inform the corporation operating such railroad or such railroad corporation or common carrier of their adjudication within ten days, and shall also report their doings to the governor, as provided in the second section of the Act. [Laws of 1897, chap. 115, section 8.]

The powers of this Commission under the various clauses of Laws of 1897, Ch. 115, were discussed in No. Pacific Ry. v. Keyes, 91 Fed. 47 (1898), where it was held that the railroad must be left a fair return upon their State business without regard to their interstate business.

$1270. South Carolina.

The commissioners elected as hereinbefore provided shall, as provided in the next section of this chapter, make reasonable and just rates of freight and passenger tariffs, to be observed by all railroad companies doing business in this State on the railroads therein, but said passenger rates shall not exceed the maximum prescribed in section 2165; they shall make reasonable and just rules and regulations to be observed by all railroad companies doing business in this State, as to charges to any and all points for the necessary hauling and delivery of all freights; shall make such just and reasonable rules and regulations as may be necessary for preventing unjust discrimination in the transportation of freight and passengers on the railroads in this State; shall have the power to make just and reasonable joint rates for all connecting roads doing business in this State, as to all traffic or business passing from one of said roads to another, and to require the making of such connection at intersecting points of the schedules of trains as the public convenience may in their judgment demand: Pro

vided, however, That before applying joint rates to roads that are not under the management and control of one and the same company the commissioners shall give thirty days' notice to said roads of the joint rate contemplated and of its division between said roads, and give hearing to roads desiring to object to the same; shall make reasonable and just rates of charges for use of railroad cars carrying any and all kinds of freight and passengers on said railroad, no matter by whom owned or carried, and shall make just and reasonable rules and regulations to be observed by said railroad companies or railroads, to prevent the giving or paying of any rebate or bonus, directly or indirectly, and from misleading or deceiving the public in any manner as to the real rates charged for freight and passengers: Provided, That nothing in this chapter shall be taken as in any manner abridging or controlling the rates for freight charged by any railroad company in this State for carrying freight which comes from or goes beyond the boundaries of the State, and on which freight less than local rates on any railroad carrying the same are charged by such railroad, but said railroad companies shall possess the same power and right to charge such rates for carrying such freights as they possessed before the passage of this chapter, and commissioners shall have full power, by rules and regulations, to designate and fix the difference in rates of freight and passenger transportation to be allowed for shorter and longer distances on the same or different railroads, and to ascertain what shall be the limit of longer and shorter distances. [Civil Code (1902), section 2092.]

§ 1271. Tennessee.

And it shall be the duty of said Commission to exercise a careful and watchful supervision over every such tariff or charges from time to time, as justice to the public and each of said railroads may require, and to increase or reduce any of said rates according as experience and business operations may