B-137254, OCT. 31, 1960

B-137254: Oct 31, 1960

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TO CHICAGO AND NORTH WESTERN RAILWAY COMPANY: REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 21. FOUND THAT CHARGES IN EXCESS OF THOSE COMPUTED ON THE SIZE CAR ORDERED WERE UNJUST AND UNREASONABLE. THE EFFECT OF THAT DECISION IS TO SUPPORT THE SETTLEMENT ACTIONS WHICH DISALLOWED YOUR CLAIMS. APPEAR CORRECT AND THE SETTLEMENTS ARE SUSTAINED. THE CARRIERS INVOLVED IN THE CITED LITIGATION HAVE PETITIONED THE FULL COMMISSION FOR REVERSAL OF DIVISION 3'S RULING. THE DECISION IS ADVERSE TO THE GOVERNMENT'S POSITION AND YOU FEEL. THAT AN ADDITIONAL AMOUNT IS DUE. WE WILL BE PLEASED TO GIVE FURTHER CONSIDERATION TO THE MATTER AT YOUR REQUEST.

B-137254, OCT. 31, 1960

TO CHICAGO AND NORTH WESTERN RAILWAY COMPANY:

REFERENCE IS MADE TO YOUR LETTER OF OCTOBER 21, 1960, REGARDING THE STATUS OF YOUR BILLS FA-7870-B, FA-10504-A, FA-63128-A AND FA-63838-A, FOR ADDITIONAL CHARGES BASED ON THE SIZE CAR FURNISHED AND USED FOR THE TRANSPORTATION.

IN OUR LETTERS OF JANUARY 28, AND APRIL 23, 1959, FILE B-137254, WE ADVISED THAT REVIEW OF THE SETTLEMENTS WHICH DISALLOWED YOUR CLAIMS WOULD BE HELD IN ABEYANCE PENDING A DETERMINATION OF A SIMILAR ISSUE BY THE INTERSTATE COMMERCE COMMISSION ON REFERRAL FROM THE COURT OF CLAIMS IN THE CASE OF BALTIMORE AND OHIO RAILROAD CO. V. UNITED STATES, CT.CL. 275-55. ON MARCH 25, 1960, DIVISION 3 OF THE COMMISSION (310 I.C.C. 63), FOUND THAT CHARGES IN EXCESS OF THOSE COMPUTED ON THE SIZE CAR ORDERED WERE UNJUST AND UNREASONABLE. THE EFFECT OF THAT DECISION IS TO SUPPORT THE SETTLEMENT ACTIONS WHICH DISALLOWED YOUR CLAIMS.

ACCORDINGLY, THE CHARGES, AS NOW PAID, APPEAR CORRECT AND THE SETTLEMENTS ARE SUSTAINED. HOWEVER, THE CARRIERS INVOLVED IN THE CITED LITIGATION HAVE PETITIONED THE FULL COMMISSION FOR REVERSAL OF DIVISION 3'S RULING. IF UPON FINAL DETERMINATION OF THE ISSUE IN THAT LITIGATION, THE DECISION IS ADVERSE TO THE GOVERNMENT'S POSITION AND YOU FEEL, BASED THEREON, THAT AN ADDITIONAL AMOUNT IS DUE, WE WILL BE PLEASED TO GIVE FURTHER CONSIDERATION TO THE MATTER AT YOUR REQUEST.