US SUPREME COURT DECISIONS

1. Upon an application made under §§ 206 and 207 of Part II of the Interstate Commerce Act by an applicant which was owned wholly by a railroad, the Interstate Commerce Commission granted a certificate of public convenience and necessity, authorizing operations by the applicant as a common carrier by motor vehicle over specified routes along rail lines of the railroad, upon conditions designed to restrict the applicant's operations to service auxiliary to and supplemental of rail service. The Commission found, upon adequate evidence, that the restricted operations authorized were of a character different from existing motor carrier service and not directly chanrobles.com-red

Page 326 U. S. 61

competitive or unduly prejudicial to existing motor carriers.

Held: that issuance of the certificate was within the statutory authority and administrative discretion of the Commission. Pp. 326 U. S. 62, 326 U. S. 69.

2. In determining whether motor carrier service by a railroad is required by public convenience and necessity, the Commission must weigh the advantage of improved railroad service against any serious impairment of over-the-road motor carrier service. P. 326 U. S. 68.

3. Where an existing rail service may be improved by a unified and limited rail-truck operation, which would not be unduly prejudicial to motor carrier operations, the Commission may authorize such operation by the railroad even though exiting motor carriers might have been utilized. P. 326 U. S. 69.

The Commission here was entitled to conclude that the public will be better served through unified operation by the railroad than by use of the available motor carrier facilities. P. 326 U. S. 73.

4. It is the duty of the Commission, in pursuance of the national transportation policy, to guard against transportation monopolies and to preserve the inherent advantages of all modes of transportation. P. 326 U. S. 73.

5. The Commission did not abuse its discretion in refusing to reopen the proceeding to admit evidence as to the bias of witnesses, in the absence of excuse for failure to adduce such evidence previously. P. 326 U. S. 73.

6. In view of the conclusions here reached, refusal upon the hearing to require production of the contract between the railroad and it subsidiary was not material error. P. 326 U. S. 74.

Reversed.

Appeals from a decree of a district court of three judges enjoining the enforcement of an order of the Interstate Commerce Commission. See 42 M.C.C. 721. chanrobles.com-red

Page 326 U. S. 62