Missouri Pacific Railway Co. v. Nebraska

Background

The disputes arose from a Nebraska law that required railroads to provide equal facilities and build side tracks to serve grain elevators when requested in writing, with elevators needing at least fifteen thousand bushels capacity. One elevator company in Manley applied for a site, was refused, built its elevator, and demanded a side track; the railroad refused and was fined five hundred dollars. A second, similar case involved a different elevator company and a petition for a court order to force the railroad to build a side track.

Reasoning

The Court considered whether the State could require a railroad to build and bear the cost of private side tracks without paying the railroad or giving a prior hearing. The opinion stressed that railroads are protected property and that taking part of a roadbed or forcing construction without indemnity goes beyond the State’s police power. The statute was written in universal terms, imposed risk on the railroad, and allowed fines without assuring compensation or an advance hearing. For those reasons the Court held the statute unconstitutional as applied in these cases and reversed the state judgments, while noting a later 1907 amendment that might provide hearing and compensation.

Real world impact

The decision prevents enforcement of the Nebraska statute against these railroads so they cannot be fined or forced to pay for side tracks under the law as written. Elevator companies cannot rely on this statute to make railroads build private connections without compensation or prior adjudication. The Court left open that a properly amended law providing compensation or an advance hearing might be allowable.

Dissents or concurrances

Justices Harlan and McKenna dissented; the opinion notes their disagreement but gives no detailed reasons in the text.