DIXIE GREYHOUND LINES, INC., v. MISSISSIPPI PUBLIC SERVICE COMMISSION et al.
No. 34341
Supreme Court of Mississippi
Feb. 24, 1941
Suggestion of Error Overruled, April 14, 1941
[200 So. 579. No. 34341.] [1 So. (2d) 489. No. 34341.]
Reversed and remanded.
McGehee, J., delivered the opinion of the court.
This appeal involves the decision of three questions: (1) Whether or not the order or judgment of the Public Service Commission, appealed from herein, is subject to judicial review; (2) the extent to which a judicial review is limited if the power exists; and (3) whether there is substantial (that is, more than a scintilla of) evidence to support the judgment of the commission, or, as stated
It is unnecessary to determine whether the Public Service Commission was acting in a judicial or quasi-judicial, instead of a purely administrative or legislative capacity, when it decided the contest between R. P. Cox, operating as Cox Motor Coaches, in whose favor the certificates of public convenience and necessity were granted, and the appellant, Dixie Greyhound Lines, Inc., for the reason that in either event the court below had jurisdiction to review the order or judgment of the Public Service Commission granting the certificates, if Section 10, Chapter 139, and Section 28, Chapter 142, Laws of 1938, are constitutionally valid. The cases of Cumberland Tel. & Tel. Co. v. State, 135 Miss. 835, 100 So. 378; and Dixie Greyhound Lines, Inc., v. Mississippi Railroad Commission, 174 Miss. 1, 163 So. 443, decided prior to the enactment of the statutes of 1938 hereinbefore mentioned, are not authorities to support the contention that the courts are without power under the present statutes to review such orders, but the effect of those decisions is that
If
Chapter 142, Laws of 1938, is modeled after the said Federal Motor Carrier Act of 1935, and Section 6, subsection (c), of our statute contains an express legislative direction that in administering the act the Public Service Commission shall conform as nearly as practicable to the rules, regulations, requirements, etc., of the Interstate Commerce Commission. Since the two statutes are strikingly similar in their provisions, the decisions of the United States Supreme Court in exercising the power of judicial review of the action of the Interstate Commerce Commission in the granting or denying of certificates of public convenience and necessity to motor carriers engaged in interstate commerce should be ample authority as to the right of judicial review.
But, it is said in effect by counsel for the appellees that to so hold runs counter to Dixie Greyhound Lines, Inc., v. Mississippi Railroad Commission, 174 Miss. 1, 163 So. 443. In that case the facts were that the Dixie Greyhound Lines contended that it had a certificate over U. S. Highway 80, between Jackson and Vicksburg, entitling it to operate one schedule a day each way, to three schedules per day operated by the existing carrier, the Motor Transportation Company, over the same highway. In order to amicably settle certain litigation between the two companies and the Commission, an agreement was reached whereby a certificate for one schedule per day each way had been granted to the Dixie Greyhound Lines, Inc., as successor to the Pickwick Greyhound Lines; and, also, one to the Motor Transportation Company for three schedules per day each way. The contract expired, and the Dixie Greyhound Lines neglected to resume operations under the certificate which it had thus acquired from the Pickwick Greyhound Lines, Inc. After the lapse of a year it applied to the commission for approval of a time schedule of operations, and a schedule of fares over the route. The Commission denied the application for the approval of the schedule and fares, and the Dixie Greyhound Lines attempted to appeal, both by direct appeal and by certiorari. The circuit court dismissed the direct appeal, since no such appeal was deemed to have been provided for by any statute then in force, and dismissed the appeal by certiorari, on the ground that the order of the Railroad Commission, which denied the Dixie Greyhound Lines’ application to operate an additional schedule, was legislative and administrative, not judicial.
The Court did take cognizance, however, of the claim made by the Dixie Greyhound Lines to the effect that the action of the Railroad Commission, complained of, had deprived it of its franchise without due process, and held that there was no merit in the contention, for the reason that if the Dixie Greyhound Lines had been deprived of any franchise right it was not by the action of the Railroad Commission, but by the Motor Transportation Company. In other words, the Dixie Greyhound Lines had permitted a period of one year to lapse without resuming
It is true that if the language of the opinion in that case is interpreted to mean that the legislature is without constitutional power to provide for an appeal to a court from the orders or judgments of the Commission of the character here under consideration, then to hold that Section 10, Chapter 139, and Section 28, Chapter 142, Laws of 1938, are valid would run counter thereto. If, however, the opinion is limited, as the interpretation of all court opinions should be, to the facts and necessities of the case with which the Court was then dealing, then the validity of these statutes of 1938 will not be affected thereby. The main question which the Court was there called on to determine was whether the case it then had under consideration could be brought to it either by a writ of certiorari under Section 73 of the Code of 1930, or by an appeal under Section 7125 thereof. After holding, and we think properly, that the order appealed from was not a judicial order or judgment, then the case of Cumberland Telephone & Telegraph Co. v. State,
By the enactment of Chapter 139, Laws of 1938, the legislature abolished the Mississippi Railroad Commission and created in its stead the Public Service Commission, vested with the powers, privileges, and duties theretofore exercised and performed by the former Commission, and then imposed upon the newly created one certain additional duties and responsibilities by the terms and provisions of Chapter 142, Laws of 1938. Among those duties was the protection of the safety and welfare of the public in its use of the highways, the protection of the highways from unreasonable, improper and excessive use, and the promotion of an adequate, economical and efficient service by motor bus carriers, without unfair or destructive competitive prices. The lawmakers necessarily knew that economy and efficiency in the service to the public could not be promoted by the granting of several certificates of public convenience and necessity to different carriers over the same route, nor could the safety and welfare of the public in the use of the highway, the protection of the roadbed from unreasonable, improper, or excessive use, and the franchise rights of existing carriers from destructive competition, be made secure without proper safeguards to guarantee the accomplishment of those ends. It was to achieve those objectives, which
The legislature, in refraining from delegating to the Commission powers unreviewable in the courts, when sitting in judgment on the issues of fact in controversies affecting the property rights of citizens, is presumed to have been cognizant of the decision of this Court in the case of Teche Lines, Inc., v. Board of Supervisors, 165 Miss. 594, 142 So. 24, 143 So. 486, wherein it was held that the franchise to operate a transportation motor bus over the highways under an existing certificate is a property right; that it is property, subject to taxation, and in the enjoyment of which the holder should be protected by the laws of this state; and the legislature is presumed to have taken into consideration that the safety and welfare of the public, in its use of the highways, and the freedom of the highways from unreasonable and excessive use would be jeopardized by the granting of additional certificates, where the public convenience and necessity do not so require.
Since on certiorari the courts are not permitted to look to the transcript of the testimony heard by the Commission, the legislature has seen fit by the enactment of Chapter 142, Laws of 1938, to grant the right of direct appeal to the Circuit Court for a judicial review of the evidence taken before the Commission.
With further reference to the question as to the limitations on the power of judicial review of such a proceeding,
In Smith v. Wald Transfer & Storage Co. (Tex. Civ. App.), 97 S. W. (2d) 991, 995, involving a certificate of convenience and necessity granted to a motor freight line, the Court of Civil Appeals of Texas declared it unnecessary to classify the Commission‘s delegated power to grant or refuse permission to use the public highways for commercial purposes; that is, whether this power is the exercise of a legislative, quasi judicial or purely administrative function; that the power had often been referred to as quasi judicial; that where notice and hearing is provided for the proceeding partakes of the nature of a judicial function; but that the ultimate exercise of the vested discretion could hardly be classed as a judicial function; and the Court then said: “Judicial review of such orders [whether legislative, administrative or judicial] has been repeatedly held to be confined to questions of a strictly judicial character; whether they are arbitrary or unreasonable, or unjust or discriminatory to the complaining party, and therefore constitute an abuse of the discretion which the Legislature has vested in the commission.”
In Railroad Commission v. Brown Express (Tex. Civ. App.), 106 S. W. (2d) 327, and Keel v. Railroad Commission (Tex. Civ. App.), 107 S. W. (2d) 439, involving the issuance of such certificates by the State Commission, the Texas Court upheld the right of judicial review to the extent of determining whether there was substantial evi-
In the case of Shields v. Utah Idaho Cent. R. Co., 305 U. S. 177, 185, 59 S. Ct. 160, 165, 83 L. Ed. 111, where the Railway Labor Act,
On the question of whether the judgment of the Public Service Commission here appealed from has any substantial evidence for its support, or is manifestly against the evidence, we are of the opinion, after a careful study and review of the testimony taken before the Commission, that there was no substantial proof of public convenience
The term public convenience and necessity, used throughout the statute here under consideration, is not to be confused with the idea of public convenience or necessity. It may be convenient to have a bus going in each direction every hour of the day from the various stations along a route, but the public necessity does not so require.
There is also involved in this appeal the granting of a certificate to Cox from Ruleville to Drew, Mississippi, over U. S. Highway 49 W. now being served by the appellant, and thence over an unnumbered county highway to Clarksdale, Mississippi, via Lombardy, Baltzar and Roundaway, the operation to be with closed doors between Ruleville and Drew, and with the same restrictions as to taking on passengers as prescribed for the route between Tchula and Greenwood. We are of the opinion that the evidence fully justified the finding of the Commission that public convenience and necessity required the granting of the certificate over the proposed route from Drew to Clarksdale; and that while it is shown that adequate service is being rendered by the appellant between Ruleville and Drew, we do not think that the permission granted to Cox under the restrictions heretofore mentioned, to use the route between Ruleville and Drew, a distance of approximately six miles, in transporting passengers from his own certificated route from south of Ruleville over this link of road by way of Drew, and from there over his proposed route into Clarksdale, can be said to be without substantial evidence to support it, or that it was manifestly against the evidence; nor are we able to say that such action constituted an unwarranted infringement of the existing franchise.
The judgment appealed from is therefore affirmed as to the route between Pickens and Tchula; reversed as to the portion of the route between Tchula and Greenwood; and affirmed as to the granting of the certificate to Cox
Affirmed in part and reversed in part; and judgment here accordingly.
ON SUGGESTION OF ERROR.
Griffith, J., delivered the opinion of the court on Suggestion of Error.
In the concluding portion of our original opinion we said: “A co-ordination of schedules between buses operated by Cox from Pickens to Tchula, and by the appellant from Tchula to Greenwood, would give such service to the people traveling to or from points south of Greenwood, over the proposed route applied for, as public convenience and necessity requires. The Commission has full authority to require such a co-ordination of schedules, and the appellant offered to lend its co-operation in that behalf.” 200 So. 579, 585.
Appellee Cox has interpreted this language as if we had meant to say that a certificate could not be granted to a new applicant except upon the condition precedent that the carrier under the existing certificate be given the opportunity to adjust its schedules and its facilities so as to meet the situation presented under the new application. It was not the intention by the quoted language to permit the stated deduction, as thus broadly stated, to be made.
The factual situation to which the quoted language was addressed was this: The appellant‘s northbound bus to Greenwood reaches Tchula, the connecting point with Cox, at 10:10 A. M. But Cox‘s bus arrives there at 10:35 or twenty-five minutes too late to make the connection, although Pickens, which is Cox‘s originating point, is only 29 miles distant. Appellant‘s southbound bus from Greenwood reaches Tchula at 5:10 P. M., but Cox leaves with his bus at 4:00 P. M., although having only twenty-nine miles to get back to Pickens.
Certainly an applicant cannot arbitrarily create a situation and thereupon seek an advantage as a result thereof; and when the Commission so permits, its action becomes, by way of adoption, an arbitrary exercise of its powers which is reviewable by the courts.
Appellee Cox advances the point in the concluding portion of his suggestion of error that unless he is permitted to use the Tchula-to-Greenwood route, the business from Pickens to Tchula will be insufficient to sustain the latter line, and thus the local people on that line would be deprived of any bus service at all, and that this of itself should be taken as a sufficient consideration to support the order of the Commission.
An examination of the briefs on the original submission will disclose that the stated feature was not there presented as a distinct issue for decision; nor was it distinctly developed as an issue sufficient to stand on its own merits on the hearing before the Commission, wherefore it falls within the rule that, save in exceptional cases of which this is not one, the Court will not examine into a point raised and presented for the first time in a suggestion of error.
Suggestion of error overruled.
