1. The order of the Director General of Railroads prescribing
that all suits against carriers while under federal control must be
brought in the county or district where the plaintiff resided at
the time of the accrual of the cause of action or in the county or
district where the cause of action arose was a reasonable exercise
of the power conferred by Congress on the President through the
Federal Control Act. P.
257 U. S. 114.
Missouri Pacific R. Co. v. Ault, 256 U.
S. 554.
2. So
held where the action was against the railroad
company, in a state court, on a cause which arose before federal
control.
122 Miss. 742 reversed.
Page 257 U. S. 112
Certiorari to a judgment of the Supreme Court of Mississippi
affirming a judgment for damages against the present
petitioners.
MR. JUSTICE BRANDEIS delivered the opinion of the Court.
On April 30, 1918, Smith Journey sued the Alabama &
Vicksburg Railway Company in the Circuit Court for the Second
District of Hinds County, Mississippi, for an injury suffered on
October 24, 1917. At the time of the accident, the railroad was
being operated by the company. When suit was brought, the railroad
was under federal control. The company pleaded in abatement that
the plaintiff was not a resident of Hinds County when the alleged
injury occurred, and that the alleged cause of action did not arise
in the district of the county in which suit was brought. And it set
up Order No. 18 of the Director General of Railroads, as amended
April 18, 1918, which prohibited the institution of suits against
railroads under federal control in the court for any district other
than that in which the plaintiff had resided or in which the
alleged cause of action arose.
* A demurrer to
the
Page 257 U. S. 113
plea was sustained; the plaintiff then recovered a verdict, and
the judgment entered thereon was affirmed by the highest court of
the state. 122 Miss. 742. The case was brought here by writ of
error. A petition for a writ of certiorari was also filed, and
consideration of the latter was postponed until the hearing on the
writ of error. It is now granted, and the writ of error is
dismissed.
The Supreme Court of Mississippi overruled the plea in abatement
on the ground that Order No. 18 exceeded the powers conferred by
Congress on the President, and by him on the Director General.
Whether the state court erred in so holding is the only question
before us. That it
Page 257 U. S. 114
did err is clear from what we said in
Missouri Pacific R.
Co. v. Ault, 256 U. S. 554,
decided since entry of the judgment under review. Section 10 of the
Federal Control Act of March 21, 1918, c. 25, 40 Stat. 451, 456,
permitted enforcement of liabilities against carriers while under
federal control except "insofar as may be inconsistent . . . with
any order of the President." It was within the powers of the
Director General to prescribe the venue of suits, and the facts set
forth in the order show both the occasion for it and that the venue
prescribed was reasonable.
Writ of error dismissed.
Writ of certiorari granted.
Judgment reversed.
*
"
General Order No. 18"
"
April 9, 1918."
"Whereas, the Act of Congress approved March 21, 1918, entitled,
'An act to provide for the operation of transportation systems
while under federal control,' provides (section 10)"
"that carriers while under federal control shall be subject to
all laws and liabilities as common carriers, whether arising under
state or federal laws, or at common law, except insofar as may be
inconsistent with the provisions of this act or with any order of
the President. . . . But no process, mesne or final, shall be
levied against any property under such federal control;"
"and,"
"Whereas, it appears that suits against the carriers for
personal injuries, freight and damage claims, are being brought in
states and jurisdictions far remote from the place where plaintiffs
reside or where the cause of action arose, the effect thereof being
that men operating the trains engaged in hauling war materials,
troops, munitions, or supplies, are required to leave their trains
and attend court as witnesses, and travel sometimes for hundreds of
miles from their work, necessitating absence from their trains for
days and sometimes for a week or more, which practice is highly
prejudicial to the just interests of the government and seriously
interferes with the physical operation of the railroads, and the
practice of suing in remote jurisdictions is not necessary for the
protection of the rights or the just interests of plaintiffs:"
"It is therefore ordered that all suits against carriers while
under federal control must be brought in the county or district
where the plaintiff resides, or in the county or district where the
cause of action arose."
"
General Order No. 18a"
"
April 18, 1918."
"General Order No. 18, issued April 9, 1918, is hereby amended
to read as follows:"
" It is therefore ordered that all suits against carriers while
under federal control must be brought in the county or district
where the plaintiff resided at the time of the accrual of the cause
of action or in the county or district where the cause of action
arose."