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Court Cases Cited
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The Western Union Telegraph Company was alleged to have discriminated against Call Publishing Company of Nebraska by charging higher rates to receive Associated Press dispatches than had been charged of the State Journal Company of Nebraska. This is effect gave the State Journal Company a competitive edge. The Call Publishing Company contended that without the dispatches the company could not stay in business and therefore was compelled to pay the higher rates. The state court system had ruled against Western Union, but because the company was engaged in interstate commerce, Western Union appealed to the U.S. Supreme Court and claimed the state courts had no jurisdiction. Western Union argued that there was no federal common law, that federal statutes applied, and that Nebraska statutes and common law were not controlling. Furthermore, because there were no federal statutes governing rates charged, Western Union was free to charge as it saw fit. The Court found such reasoning flawed and stated that without statutes, the common law of the land must be invoked. In this case, the decision of the Nebraska Supreme Court was affirmed. Full text: Western Union Telegraph Co. v. Call Pub. Co., 181 U.S. 92 (1901) |
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