"All charges made for any service rendered or to be rendered in the transportation of passengers or property... shall be reasonable and just; and every unjust and unreasonable charge for such service is prohibited and declared to be unlawful." — Interstate Commerce Act, 1887
This statute was passed largely in response to:
- A
Eastern bankers seeking new investment vehicles
- B
Demands by railroad executives for federal protection
- Ccheck_circle
Farmer and merchant complaints about discriminatory railroad rates
- D
The Supreme Court's ruling in Plessy v. Ferguson
Explanation
Granger and merchant pressure over rate discrimination, after Wabash (1886) limited state regulation, drove Congress to create the first major federal regulatory agency.