The opinion of the court was delivered by: Perry, District Judge.
2. Plaintiffs are four conductors of the defendant The Pullman
Company (hereafter called Pullman) working on the sleeping car
lines of the defendant The Pennsylvania Railroad Company
(hereinafter called the Pennsylvania). The plaintiffs sue for
themselves individually and for all others similarly situated
(hereafter called Pullman conductors).
3. The Pennsylvania and Pullman are corporations which do
business in the State of Illinois and each has an office and
place of business in Chicago, Illinois. Each is a common carrier
engaged in interstate commerce and is subject to Part I of the
Interstate Commerce Act.
4. The Pennsylvania and most other railroads in the United
States own various numbers of shares of stock of Pullman,
representing in the aggregate all of the outstanding stock of
Pullman, all of said stock having been acquired in 1947 pursuant
to orders of the District Court of the United States for the
Eastern District of Pennsylvania entered in Civil Action No. 994,
in United States of America v. Pullman Company et al., 64 F. Supp. 108.
These orders were entered after the Court had theretofore
entered Findings of Fact, among which were the following:
"65. The Pullman Company furnishes sleeping cars
and sleeping car service. Its cars are hauled by the
railroads, and its patrons are the passengers of the
railroads on whose lines its cars are operated.
Sleeping car service is a service that the railroads
must render or have rendered by others in connection
with their passenger transportation service.
"66. The Pullman Company has always held itself out
as a company furnishing complete sleeping car
service, which consists of furnishing the necessary
facilities, supplies and equipment, as well as
supervision and the personal service of attendants.
It has never held itself out to perform service in
sleeping cars owned by others."
5. The Pennsylvania owns 118,298 shares of the total of 731,350
shares of Pullman now outstanding.
6. The contractual, financial, and other arrangements between
the railroads and Pullman are governed by Orders of the
Interstate Commerce Commission (hereafter called the Commission)
entered in Docket 29592. The Commission, in its Report and Order
in said docket, dated May 6, 1947, provided for the conduct of
sleeping car service on a uniform and nondiscriminatory basis and
approved and authorized a pooling of service and earnings subject
to the conditions set forth in said Order. The Report of the
Commission referred to in said Order is reported in 268 I.C.C.
7. By a Supplemental Application dated June 3, 1947, the
railroads, including the Pennsylvania, sought a revision in the
pooling of service and earnings then existing and prayed that the
Commission approve and authorize a proposed "Uniform Service
Contract" and the pooling of service and earnings to result
therefrom. On August 22, 1949 the Commission filed and entered an
Order in said docket approving a pooling of service and earnings,
as modified under the proposed Uniform Service Contract, subject
to the conditions prescribed in its prior Report. The Report of
the Commission referred to in said Order is reported in 276
I.C.C. 5. Except as modified by an Order of the Commission
entered on or about April 29, 1955, reported in 294 I.C.C. 703,
the Orders of the Commission aforesaid are still in full force
and effect. Pullman now operates substantially all of the
sleeping car services performed on the lines of the Pennsylvania
and on most other railroads
under and in accordance with the Uniform Service Contract,
dated March 23, 1949, effective July 1, 1949, as amended and
revised from time to time.
8. Pullman has not been a party, as applicant or otherwise, to
the proceedings before the Commission in I.C.C. Docket No. 29592
concerning the pooling of service and of gross or net earnings by
certain common carriers by railroad under and pursuant to the
Uniform Service Contract.
9. No officer or director of Pullman is now, or has been since
the year 1947, also an officer or director of the Pennsylvania or
any other railroad company offering sleeping car service to the
public on its lines.
10. The duly designated and authorized representative of
plaintiffs and the Pullman conductors, under the provisions of
the Railway Labor Act, is the Order of Railway Conductors and
Brakemen, the successor organization of the Order of Railway
Conductors of America, (hereafter called the Organization), and
said Organization is not the duly designated and authorized
representative of any craft or class of employees of the
Pennsylvania under said Act.
11. In July of 1962 the Organization heard rumors that the
Pennsylvania and Pullman had entered into an agreement, to become
effective October 1, 1962, whereby pullman cars would be operated
without the services of a Pullman conductor or a Pullman porter,
but with all other services being furnished by Pullman. Officials
of the Organization wrote to Pullman for details, but none was
12. After the filing of the Complaint herein on August 29,
1962, the submission by the plaintiffs of interrogatories, the
taking by the plaintiffs of depositions, and the filing by the
defendants of Answers, the plaintiffs learned the details of a
new arrangement scheduled to begin October 1, 1962, by the
Pennsylvania and Pullman, which had been requested by the
Pennsylvania on May 29, 1962, for the operation of sleeping car
service on the lines of the Pennsylvania, as follows:
"Joint-lines sleeping car service", that is,
service which begins, is performed, and ends, on the
lines of the Pennsylvania and one or more additional
railroads will not be affected;
On "local sleeping car lines," that is, service
which begins, is performed, and ends on the lines of
the Pennsylvania, the Pennsylvania and Pullman each
will perform a portion of the service, as follows:
Pullman to furnish the sleeping cars, properly
equipped, and to furnish with linen and other
Pullman to perform electrical and air conditioning
repairs on the cars and other yard and shop repairs;
Pullman to perform the cleaning of the interior of
Pennsylvania to provide the porter, to arrange for
the train conductor to collect sleeping car tickets,
to handle collections, and to handle the control ...