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CAB V. STATE AIRLINES, INC., 338 U. S. 572 (1950)

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U.S. Supreme Court

CAB v. State Airlines, Inc., 338 U.S. 572 (1950)

Civil Aeronautics Board v. State Airlines, Inc.

No. 157

Argued December 12, 1949

Decided February 6, 1950*

338 U.S. 572


Under the Civil Aeronautics Act of 1938, the Civil Aeronautics Board consolidated 45 route applications of 25 air lines into one area proceeding. After hearings, it made findings of fact as to what new routes should be established and which of the applicants could best serve these routes. It entered orders authorizing certificates of convenience and necessity for several new routes in the area. One applicant was authorized to engage in air transportation along certain of these routes which were different from those described in its applications. Its applications requested authority to transport on "the routes detailed herein, or such modification of such routes as the Board may find public necessity and convenience require," and also contained prayers for general relief.


1. On the record in this case, the applications were sufficient to permit certification of this applicant for the routes awarded. Pp. 338 U. S. 575-578.

(a) Except for the statutory requirement of written and verified applications, Congress plainly intended to leave the Board free to work out application procedures reasonably adapted to fair and orderly administration of its complex responsibilities. P. 338 U. S. 576.

(b) In deciding that the policies of the Act could best be served in this case by a consolidated area proceeding, the Board did not exceed its procedural discretion. Pp. 338 U. S. 576-577.

(c) In awarding routes varying from those specifically detailed in the applications in this case, the Board did not depart from congressional policy hinging certification generally on application procedures. Pp. 338 U. S. 577-578.

(d) The standard adopted by the Board under which the public interest is given paramount consideration is a correct standard. Pp. 338 U. S. 580-581. chanroblesvirtualawlibrary

Page 338 U. S. 573

2. On the record in this case, an unsuccessful applicant was not denied a fair hearing in the proceedings before the Board. Pp. 338 U. S. 578-581.

3. On the record in this case, the Board's finding that the successful applicant was fit and able to perform the services authorized and was better qualified to do so than the unsuccessful applicant was supported by substantial evidence, and is sustained. Pp. 338 U. S. 581-582.

84 U.S.App.D.C. 374, 174 F.2d 510, reversed.

The Court of Appeals reversed an order of the Civil Aeronautics Board granting certificates of convenience and necessity for the operation of certain new airline routes. 84 U.S.App.D.C. 374, 174 F.2d 510. This Court granted certiorari. 338 U.S. 812. No. 158 dismissed; Nos. 157 and 159 reversed, p. 338 U. S. 582.

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