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To amend the Interstate Commerce Act, with respect to the authority of the Interstate Commerce Commission to regulate the use by motor carriers (under leases, contracts, or other arrangements) of motor vehicles not owned by them, in the furnishing of transportation of property.

Use of vehicles

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 204 Motor carriers. of the Interstate Commerce Act, as amended (49 U. S. C., sec. 304), is amended by adding at the end thereof the following subsection: owned by others. "(e) Subject to the provisions of subsection (f) hereof, the Commis- 49 Stat. 546. sion is authorized to prescribe, with respect to the use by motor carriers (under leases, contracts, or other arrangements) of motor vehicles

not owned by them, in the furnishing of transportation of property

"(1) regulations requiring that any such lease, contract, or Leases, conother arrangement shall be in writing and be signed by the parties tracts, etc. thereto, shall specify the period during which it is to be in effect, and shall specify the compensation to be paid by the motor carrier, and requiring that during the entire period of any such lease, contract, or other arrangement a copy thereof shall be carried in each motor vehicle covered thereby; and

"(2) such other regulations as may be reasonably necessary in Direction and order to assure that while motor vehicles are being so used the control. motor carriers will have full direction and control of such vehicles and will be fully responsible for the operation thereof in accordance with applicable law and regulations, as if they were the owners of such vehicles, including the requirements prescribed by or under the provisions of this part with respect to safety of operation and equipment and inspection thereof, which requirements may include but shall not be limited to promulgation of regulations requiring liability and cargo insurance covering all such equipment.

"(f) Nothing in this part shall be construed to authorize the Com- Exceptions. mission to regulate the duration of any such lease, contract, or other arrangement for the use of any motor vehicle, with driver, or the amount of compensation to be paid for such use—

"(1) where the motor vehicle so to be used is that of a farmer or of a cooperative association or a federation of cooperative associations, as specified in section 203 (b) (4a) or (5), or is that 49 USC 303. of a private carrier of property by motor vehicle as defined in section 203 (a) (17) and is used regularly in the transportation of property of a character embraced within section 203 (b) (6) or perishable products manufactured from perishable property of a character embraced within section 203 (b) (6), and such motor vehicle is to be used by the motor carrier in a single movement or in one or more of a series of movements, loaded or empty, in the general direction of the general area in which such motor vehicle is based; or

"(2) where the motor vehicle so to be used is one which has completed a movement covered by section 203 (b) (6) and such motor vehicle is next to be used by the motor carrier in a loaded movement in any direction, and/or in one or more of a series of movements, loaded or empty, in the general direction of the general area in which such motor vehicle is based.

Approved August 3, 1956.

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To amend section 218 (a) of the Interstate Commerce Act, as amended, to require contract carriers by motor vehicle to file with the Interstate Commerce Commission their actual rates or charges for transportation services.

ment.
49 Stat. 561;

925.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 218 Interstate Com(a) of the Interstate Commerce Act, as amended (49 U. S. C. 318 merce Act, amend(a)), is further amended as follows: (1) By striking from the second sentence thereof the words "the 54 Stat. 919, minimum rates or charges of such carrier actually maintained and charged" and substituting therefor the words "the actual rates or charges of such carrier", and by striking out the period at the end of such sentence and inserting in lieu thereof a colon and the following: "Provided, That any contract carrier serving but one shipper having rendered continuous service to such shipper for not less than one year may file reasonable minimum rates and charges unless the Commission in any individual case, after hearing, finds it in the public interest to require the filing of actual rates and charges.";

(2) By striking from the third sentence the words "minimum charges" and substituting in lieu thereof the words “actual rates or charges";

(3) By striking out the fourth sentence up to the semicolon and inserting in lieu thereof the following: "Nothing herein provided shall be so construed as to require such carriers to maintain the same rates, rules and regulations for the same services for all shippers served. No reduction shall be made in any such charge either directly or by means of any change in any rule, regulation, or practice affecting such charge or the value of the service thereunder, nor shall any new charge be established, except after thirty days' notice of the proposed change or new charge filed in the aforesaid form and manner".

(4) By changing the sixth sentence up to the proviso to read as follows: "No such carrier shall demand, charge, or collect compensation for such transportation different from the charges filed in accordance with this paragraph, as affected by any rule, regulation, or practice so filed, or less than the minimum rate or charge as may be prescribed by the Commission from time to time, and it shall be unlawful for any such carrier, by the furnishing of special services, facilities, or privileges, or by any other device whatsoever, to charge, accept, or receive compensation different from the actual rates and charges so filed, or less than the minimum charges so prescribed:" Approved August 13, 1957.

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Increasing penalties for violation of certain safety and other statutes administered by the Interstate Commerce Commission.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Safety Interstate CoAppliance Acts, as amended (45 U. S. C. 1–16), are amended as follows:

(1) By striking in the first clause of section 6 of the Act of March 2, 1893 (27 Stat. 532), as amended (45 U. S. C. 6), the words “one hundred dollars" and substituting in lieu thereof the words "two hundred and fifty dollars"; and

(2) By striking in the first clause of section 4 of the Act of April 14, 1910 (36 Stat. 299; 45 U. S. C. 13), the words "one hundred dollars" and substituting in lieu thereof the words "two hundred and fifty dollars".

SEC. 2. Section 3 of the Hours of Service Act (34 Stat. 1416), as amended (45 U. S. C. 63), is amended by striking in the first clause of the first sentence thereof the amount of "$100" and substituting therefor the amount of "$200”.

SEC. 3. Section 9 of the Locomotive Inspection Act (36 Stat. 916), as amended (45 U. S. C. 34), is amended by striking in the first clause thereof the words "one hundred dollars" and substituting therefor the words "two hundred and fifty dollars".

SEC. 4. Section 222 of the Interstate Commerce Act (49 Stat. 564), as amended (49 U. S. C. 322), is amended as follows:

(1) By striking in the first sentence of subsection (a) thereof the words "not more than $100 for the first offense and not more than $500 for any subsequent offense.", and substituting therefor the words "not less than $100 nor more than $500 for the first offense and not less than $200 nor more than $500 for any subsequent offense.", and

(2) By striking in subsection (c) thereof the words "not more than $500 for the first offense and not more than $2,000 for any subsequent offense." and substituting therefor the words "not less than $200 nor more than $500 for the first offense and not less than $250 nor more than $2,000 for any subsequent offense.".

Approved August 14, 1957.

merce.
Penalties.
27 Stat. 531,

85th Congress, H. R. 3775
August 16, 1957

AN ACT

To amend section 20b of the Interstate Commerce Act in order to require the Interstate Commerce Commission to consider, in stock modification plans, the assents of controlled or controlling stockholders, and for other purposes.

Interstate Commeroe
Commission.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That paragraph (2) of section 20b of the Interstate Commerce Act, as amended (49 U. S. C. Railroad securities 20b (2)), is amended by striking out the fifth and sixth sentences and 62 Stat. 163. inserting in lieu thereof the following: "The Commission shall have the power to make such general rules and regulations and such special requirements in any particular case in respect to the solicitation of assents, opposition, assurances of assent, acceptance, approval, or disapproval of such holders (whether such solicitation is made before or after approval of the proposed alteration or modification by the Commission), as it shall deem necessary or desirable; and no solicitation shall be made, and no letter, circular, advertisement, or other communication, or financial or statistical statement, or summary thereof, shall be used in any such solicitation, in contravention of such rules, regulations, or special requirements. The Commission may direct that the assents (and any revocations thereof) of such holders to the proposed alteration or modification shall be addressed to a bank or trust company, approved by it, which is incorporated under the laws

of the United States or any State thereof, and which has a capital and 71 Stat. 369. surplus of at least $2,000,000, and is a member of the Federal Reserve 71 Stat. 370. System. Any bank or trust company so approved shall certify to the Commission the result of such submission and the Commission may, in its discretion, rely upon such certification as conclusive evidence in determining the result of such submission. If the Commission shall find that as a result of such submission the proposed alteration or modification has been assented to by the holders of at least 75 per centum of the aggregate principal amount or number of shares outstanding of each class of securities affected thereby (or as to any class (i) where 75 per centum thereof is held by fewer than twentyfive holders, or (ii) which is entitled to vote for the election of directors of the carrier and the assents of the holders of 25 per centum or more thereof are determined by the Commission to be within the control of the carrier or of any person or persons controlling the carrier, such larger percentage, if any, as the Commission may determine to be just and reasonable and in the public interest), the Commission shall enter an order approving and authorizing the proposed alteration or modification upon the terms and conditions and with the amendments, if any, so determined to be just and reasonable."

alteration.

SEC. 2. Paragraph (3) of section 20b of the Interstate Commerce Securities afAct, as amended (49 U. S. C., sec. 20b (3)), is amended by striking feated by out the last sentence and inserting in lieu thereof the following: "For 62 Stat. 165. the purposes of this section a security (other than a security entitled to vote for the election of directors of the carrier) or an evidence of indebtedness shall not be deemed to be outstanding if, in the deter

71 Stat. 370.

Effective date.

mination of the Commission, the assent of the holder thereof to any proposed alteration or modification is within the control of the carrier or of any person or persons controlling the carrier. The Commission shall, for the purposes of this section, divide the securities to be affected by any proposed alteration or modification into such classes as it shall determine to be just and reasonable.".

SEC. 3. The amendments made by this Act shall take effect on the first day of the fourth month following the month in which this Act is enacted.

Approved August 16, 1957.

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