United States v. Trans-Missouri Freight Association
United States v. Trans-Missouri Freight Association | |
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Court membership | |
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Case opinions | |
Majority | Peckham, joined by Fuller, Harlan, Brewer, Brown |
Dissent | White, joined by Field, Gray, Shiras |
Laws applied | |
Sherman Antitrust Act of 1890 |
United States v. Trans-Missouri Freight Association, 166 U.S. 290 (1897), was a
Background
Various railroad companies had formed an organization to regulate prices charged for transportation. The federal government charged these companies with violating the Sherman Act, and the railroad companies replied that they were not in violation of the act because their organization was designed to keep prices low, not to push them higher. The companies also contended that Congress had not intended the Sherman Act to apply to them, because there were already a wide array of laws governing the railroads.
Opinion of the Court
The Supreme Court held that the Sherman Act prohibited all such combinations, irrespective of the purpose. The railroad association was price fixing under the per se approach. Competition should determine the reasonable rate, not agreements between companies.[2] The court further held that congressional debate could not be used to decipher legislative intent due to the complex and often varying opinions on what the act means for different legislators[3]
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See also
- US antitrust law
- List of United States Supreme Court cases, volume 166
References
- ^ United States v. Trans-Missouri Freight Ass'n, 166 U.S. 290 (1897).
- ^ Tally, J. O. "The Supreme Court, the Interstate Commerce Commission and the Freight Rate Battle". North Carolina Law Review. 25 (2): 189.
- ^ Landry, Michael; Stone. "The Trans-Missouri Case: Does the Sherman Act Apply to Railroads?". Essays in Economic & Business History. 21: 132–133.
External links
- Works related to United States v. Trans-Missouri Freight Association at Wikisource
- Text of United States v. Trans-Missouri Freight Association, 166 U.S. 290 (1897) is available from: Justia Library of Congress