Commerce and Carriers - City of Cherokee v. ICC: Railroad Abandonment
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Benson, Lorrie B.
FIRST PARAGRAPH(S)|More than a century ago the railroad industry was gathering steam to become the mighty power that would open the vast lands west of the Missouri River and provide a link to the west coast. During this time the railroad industry rose to a position of crucial importance in the country's development and then plummeted to a point where now many railroad companies have been forced into merger or bankruptcy. For many companies, the struggle to stay afloat financially has included efforts to abandon all rail service over unprofitable or deteriorating lines. In City of Cherokee v. ICC, the Eighth Circuit Court of Appeals examined the role that avoidable costs play in allowing a railroad to abandon a line. City of Cherokee provides an example of the substantive factors applied by the railroads, the Interstate Commerce Commission (ICC), and the judicial system in determining whether a line should be abandoned...
15 Creighton L. Rev. 872 (1981-1982)
Creighton University School of Law