45 U.S.C. § 791 — Relationship to other laws
submitted 52 years ago by Pub. L. 93-236 to r/title-45-RAILROADS · 980 words · no verdicts yet
The chapter generally does not grant antitrust immunity, but exempts specified final-system-plan and supplemental transactions. It also sets exceptions and transitions involving commerce, securities, bankruptcy, environmental review, and Northeast Corridor rail properties.
(a) Antitrust. (1) Unless paragraph (2) says otherwise, this chapter gives no railroad, employee, or director immunity from civil or criminal antitrust liability and creates no antitrust defense. (2) Antitrust laws do not apply to actions to formulate or carry out the final system plan that comply with the plan, or to actions to formulate or carry out a supplemental transaction. (3) “Antitrust laws” includes the Act of July 2, 1890 (as amended); the Act of October 15, 1914 (as amended); the Federal Trade Commission Act (as amended); sections 73 and 74 of the Act of August 27, 1894 (as amended); the Act of June 19, 1936 (as amended); and the antitrust laws of any State or subdivision.
(b) Commerce, securities, and bankruptcy. (1) Subtitle IV of title 49 and the Bankruptcy Act do not apply to actions under this chapter to formulate or carry out a compliant final system plan or a supplemental transaction. (2) Corporation securities issued initially to the Association or in connection with transferring rail properties to the Corporation or a subsidiary are treated for all purposes as issued and authorized under section 11301 of title 49. (3) Section 77e of title 15 does not apply to issuing Corporation securities to the Association, securities deposited with the special court under section 743(a), or issuance or distribution approved by that court under section 743(c). (4) For a reorganizing railroad in the region that transfers all or substantially all designated properties under the final plan, the Commission’s section 77 Bankruptcy Act powers and duties and the filing requirement end on conveyance. They also ended February 5, 1976, for a nonchapter railroad that operated no line and transferred substantially all properties to a covered reorganizing railroad. Afterward, the district court with jurisdiction must reorganize or liquidate it under section 77 on just and reasonable terms, or under another Bankruptcy Act provision if best for the estate. This does not affect a regulated carrier’s obligation. The Commission’s section 77 powers continue only while the reorganizing railroad operates a line. (c) Section 4332(2)(C) of title 42 does not apply to chapter actions before or including the special court-ordered conveyance under section 743(b)(1), or afterward to actions complying with the final plan. (d) Northeast Corridor. (1) The National Railroad Passenger Corporation must purchase or lease properties designated under section 716(c)(1)(C), and must negotiate the agreement effective when the properties are conveyed. (2) Purchased, leased, or otherwise acquired properties must be improved as soon as practicable after January 2, 1974, toward improved high-speed passenger service under section 716(a)(3). (3) The Secretary must begin needed engineering studies and improvements January 2, 1974. (4) The final plan must coordinate freight or commuter use of the facilities, through one operating entity named in the plan or as interested parties agree. (5) Construction or improvements may be made in consultation with the Corps of Engineers.
Except as specifically provided in paragraph (2) of this subsection, no provision of this chapter shall be deemed to convey to any railroad or employee or director thereof any immunity from civil or criminal liability, or to create defenses to actions, under the antitrust laws.
The antitrust laws are inapplicable with respect to any action taken to formulate or implement the final system plan where such action was in compliance with the requirements of such plan and with respect to any action taken to formulate or implement any supplemental transaction.
As used in this subsection, “antitrust laws” includes the Act of July 2, 1890 (ch. 647, 26 Stat. 209), as amended; the Act of October 15, 1914 (ch. 323, 38 Stat. 730), as amended; the Federal Trade Commission Act (38 Stat. 717), as amended [15 U.S.C. 41 et seq.], sections 73 and 74 of the Act of August 27, 1894 (28 Stat. 570), as amended [15 U.S.C. 8, 9]; the Act of June 19, 1936 (ch. 592, 49 Stat. 1526), as amended; and the antitrust laws of any State or subdivision thereof.
The provisions of subtitle IV of title 49 and the Bankruptcy Act, are inapplicable (A) to actions taken under this chapter to formulate and implement the final system plan where such action was in compliance with the requirements of such plan, and (B) to actions taken under this chapter to formulate or implement any supplemental transaction.
All securities of the Corporation which are issued to the Association as the initial holder, or which are issued in connection with the transfer to the Corporation or a subsidiary thereof of rail properties under this chapter, shall be deemed for all purposes to have been issued subject to and authorized pursuant to section 11301 1 of title 49.
The provisions of section 77e of title 15, shall not apply to transactions involving the issuance of any security of the Corporation to the Association, transactions involving the issuance of any security of the Corporation that is deposited with the special court pursuant to section 743(a) of this title, or transactions involving the issuance or distribution of any security of the Corporation, where the terms and conditions of such issuance or distribution are approved by the special court pursuant to section 743(c) of this title.
The powers and duties of the Commission under section 77 of the Bankruptcy Act, with respect to a railroad in reorganization* in the region which conveys all or substantially all of its designated rail properties to the Corporation or a subsidiary thereof, or to profitable railroads in the region, pursuant to the final system plan, and the requirement that plans of reorganization be filed with the Commission, shall cease upon the date of such conveyance. The powers and duties of the Commission under section 77 of the Bankruptcy Act shall also so terminate, as of February 5, 1976, with respect to any railroad in reorganization under such section 77 but not subject to this chapter which (1) does not operate any line of railroad, and (2) has transferred all or substantially all of its rail properties to a railroad in reorganization in the region which was subject to this chapter prior to February 5, 1976. Thereafter, such powers and duties of the Commission shall be vested in the district court of the United States which has jurisdiction of the estate of any such railroad in reorganization at the time of such conveyance. Such court shall proceed to reorganize or liquidate such railroad in reorganization pursuant to such section 77 on such terms as the court deems just and reasonable, or pursuant to any other provisions of the Bankruptcy Act, if the court finds that such action would be in the best interests of such estate. This paragraph does not affect any obligation of any carrier by railroad subject to regulation under subtitle IV of title 49. The powers and duties of the Commission under section 77 of the Bankruptcy Act shall continue in effect only to the extent that the railroad in reorganization continues to operate any line of railroad.
The provisions of section 4332(2)(C) of title 42 shall not apply with respect to any action taken under authority of this chapter before, and including, the conveyance of rail properties ordered by the special court under section 743 (b)(1) of this title, and shall not apply thereafter to any action taken in compliance with the requirements of the final system plan.
Rail properties designated in accordance with section 716(c)(1)(C) of this title shall be purchased or leased by the National Railroad Passenger Corporation. The Corporation shall negotiate an appropriate sale or lease agreement with the National Railroad Passenger Corporation for the properties designated for transfer pursuant to section 716(c)(1)(C) of this title, which shall take effect on the date of conveyance of such properties to the Corporation.
Properties acquired by purchase, lease, or otherwise pursuant to this subsection shall be improved in order to meet the goal set forth in section 716(a)(3) of this title, relating to improved highspeed passenger service, by the earliest practicable date after January 2, 1974.
The Secretary shall begin the necessary engineering studies and improvements on January 2, 1974.
The final system plan shall provide for any necessary coordination with freight or commuter services of use of the facilities designated in section 716(c)(1)(C) of this title. Such coordination may be effectuated through a single operating entity, designated in the final system plan, or as mutually agreed upon by the interested parties.
Construction or improvements made pursuant to this subsection may be made in consultation with the Corps of Engineers.
Source credit: (Pub. L. 93–236, title VI, § 601(a)–(d), Jan. 2, 1974, 87 Stat. 1021; Pub. L. 94–210, title VI, § 618, title VII, § 706(b), formerly § 705(b), Feb. 5, 1976, 90 Stat. 117, 123, renumbered Pub. L. 96–254, title II, § 206(a), May 30, 1980, 94 Stat. 412.)
- 1974Enacted · Pub. L. 93-236 · 87 Stat. 1021
- 1976Amended · Pub. L. 94-210 · 90 Stat. 117, 123
A history note hasn’t been published yet. The record shows enactment by Pub. L. 93-236 on 1974-01-02.
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