Frozen Food Express v. United States
Opinion of the Court
delivered the opinion of the Court.
Part II of the Interstate Commerce Act, 49 Stat. 543, as amended, 49 U. S. C. § 301 et seq., grants the Commission pervasive control over motor carriers. Common carriers and contract carriers by motor vehicle, subject to that part of the Act, must have a certificate of public convenience and necessity or a permit issued by the Commission. §§ 206 (a), 209 (a). The Commission has powers of investigation to determine if a motor carrier has complied with the Act; and it has authority to issue an order compelling compliance. § 204 (c). These requirements for a certificate or permit
The controversy in these cases centers around this “agricultural” exemption. After an investigation instituted on its own motion, the Commission issued an order that specified commodities are not “agricultural” within the meaning of § 203 (b)(6).
The hearing to determine the meaning and application of the term “agricultural . . . commodities (not including manufactured products thereof)” as used in § 203 (b)(6) was held before an examiner. It was a public hearing at which various governmental officials and agencies and
Frozen Food Express, the plaintiff, is a motor carrier transporting numerous commodities which the Commission ruled were nonexempt under § 203 (b)(6) but which the carrier claims are “agricultural commodities.” Plaintiff, who was not a party to the administrative proceeding, instituted suit before a three-judge District Court (28 U. S. C. § 2325) to enjoin the order of the Commission and have it set aside, naming the United States and the Commission as defendants. 28 U. S. C. § 1336; 49 Stat. 550, as amended, 49 U. S. C. § 305 (g); 60 Stat. 243, 5 U. S. C. § 1009. The complaint alleged that plaintiff is a common carrier by motor vehicle, holding a certificate of public convenience and necessity which authorizes it to transport certain commodities between designated points and places; that plaintiff is transporting, in addition to those commodities, commodities which are exempt under § 203 (b) (6) and for which plaintiff has sought no authority from the Commission; that the Commission in its order has held the latter commodities nonexempt and accordingly has deprived it of the right granted by the statute; that the order of the Commission classifying certain commodities as nonexempt is unlawful; and that the Commission threatens to enjoin transportation of the commodities' which plaintiff claims are exempt. The Secretary of Agriculture intervened, supporting plaintiff’s position on some of the commodities. Other interveners
The District Court, being of the view that .the case was controlled by United States v. Los Angeles R. Co., 273 U. S. 299, dismissed the action, saying that the “order” of the Commission was not subject to judicial review. 128 F. Supp. 374. The cases are here by appeal. 28 U. S. C. §§ 1253, 2101 (b).
We disagree with the District Court. We do not think United States v. Los Angeles R. Co., supra, is controlling here. In that case the “order” held nonreviewable was a valuation of a carrier’s property made by the Commission. The Court held that the “order” was no more than a report of an investigation which might never be the basis of a proceeding before the Commission or a court. Mr. Justice Brandéis, speaking for the Court, said:
“The so-called order here complained of is one which does not command the carrier to do, or to refrain from doing, any thing; which does not grant or withhold any authority, privilege or license; which does not extend or abridge any power or facility; which does not subject the carrier to any liability, civil or criminal; which does not change the carrier’s existing or future status or condition; which does not determine any right or obligation. This so-called order is merely the formal record of conclusions reached after a study of data collected in the course of extensive research conducted by the Commission, through its employees. It is the exercise solely of the function of investigation. . . .” 273 U. S. 309-310.
The situation here is quite different. The determination by the Commission that a commodity is not an
„ 7
„ 7 Reversed.
Exempted carriers are also not subject to the provisions concerning rates and charges, §§ 217, 218, nor to the requirements concerning bodily injury and property damage insurance. § 215.
Dissenting Opinion
dissenting.
I do not agree that the District Court had jurisdiction to entertain this action to set aside the Commission’s “order.” It seems to me that the case falls squarely within those carefully developed rules which require that judicial intervention be withheld until administrative action has reached its complete development. I find nothing in the nature of the order which commends it to reviewability at this stage other than the fact that its promulgation was preceded by a lengthy investigation and that it contains a series of “findings” and “conclusions.” These factors should not be permitted to obscure the true character of the order.
After a self-initiated investigation, in which various carriers participated, the Commission entered this order discontinuing the proceedings and incorporating the “findings of fact and conclusions” of the Commission. That the order was not intended to be a “legislative” regulation seems apparent, since it was not put in the form ordinarily used by the Commission in promulgating regulations. The order simply lists the commodities considered by the Commission and determines whether they are within the § 203 (b)(6) exemption; it nowhere commands that carriers hauling commodities considered non-exempt comply either with the order or with the general requirements of the Interstate Commerce Act. It is clear, therefore, that no administrative or criminal proceeding can be brought for violation of the order itself. And it is equally clear that the proceeding did not conclude any rights as between any specific carriers and the Commission.
Nor can this order be likened to a determination of status, held reviewable in Rochester Telephone Corp. v. United States, 307 U. S. 125. As I understand that case, the touchstone of the decision was that the determination “necessarily and immediately carried direction of obedience to previously formulated mandatory orders addressed generally to all carriers amenable to the Commission’s authority.” 307 U. S., at p. 144. The specific determination that a particular carrier must comply with Commission regulations is quite different from this order, which is directed to no one in particular and is binding on no one, not even the Commission. Neither can this order be analogized to a declaratory order directed to the status of a particular carrier, which might be reviewable as carrying with it a direct threat of prosecution— see Rochester Telephone Corp. v. United States, supra, at p. 132, n. 11. Indeed, the Commission itself does not consider its determinations the final answer to the meaning of the § 203 (b) (6) exemption, even for administra
To be sure, the order does serve as a warning to carriers that the Commission interprets the Act in a particular way, and it is true that courts will give the Commission’s views some indéterminate weight in construing the statute. But that very fact, instead of justifying a holding of reviewability, seems to me a strong argument against it. The Commission’s willingness, in individual cases, to reconsider its determinations with respect to particular commodities points up the tentative nature of the conclusions here sought to be reviewed. When this action is heard on the merits, the District Court will have as an aid in construing the statute administrative interpretations which are admittedly inconclusive, and if they are to be given any weight it would seem important that this Court not do anything to freeze them in their present immature state. For all we know, the Commission’s decision not to issue this order in the form of regulations may have been because it recognized the need for further study.
Years of experience have shown that § 203 (b) (6) presents difficult problems of interpretation, and this Court should be wary of establishing a procedure which would prematurely throw into the courts questions of statutory construction not arising in the context of concrete facts, and which does not bring to the courts even the benefit of final interpretation by the agency assigned to administer the statute. That this should be done in a case where there is a right of direct appeal to this Court makes the wisdom of today’s decision even more questionable.
In my view, then, the language quoted by the majority from United States v. Los Angeles R. Co. aptly describes this order of the Commission, and I consider that wise decision controlling here. Neither the character nor the meaning of this order can be changed by the fact that the Commission, in asking us to hold it reviewable, calls it a “formal determination” of the scope of § 203 (b)(6). The significant fact is that, as shown by East Texas Motor Freight Lines v. Frozen Food Express, post, p. 49, the Commission itself does not consider its order definitive. Today’s decision opens the door wide to premature judicial review of various kinds of administrative action, and I must withhold my assent from it. I would affirm the decision below.
Reference
- Full Case Name
- FROZEN FOOD EXPRESS v. UNITED STATES Et Al.
- Cited By
- 186 cases
- Status
- Published