49 U.S.C.
United States Code, 1994 Edition
Title 49 - TRANSPORTATION
SUBTITLE IV - INTERSTATE COMMERCE
CHAPTER 105 - JURISDICTION
SUBCHAPTER I - RAIL, RAIL-WATER, EXPRESS, AND PIPELINE CARRIER TRANSPORTATION
Sec. 10505 - Authority to exempt rail carrier and motor carrier transportation
From the U.S. Government Publishing Office, www.gpo.gov

§10505. Authority to exempt rail carrier and motor carrier transportation

(a) In a matter related to a rail carrier providing transportation, or a motor carrier providing transportation of property other than household goods, or in non-contiguous domestic trade, subject to the jurisdiction of the Interstate Commerce Commission under this subchapter, the Commission shall exempt a person, class of persons, or a transaction or service when the Commission finds that the application of a provision of this subtitle—

(1) is not necessary to carry out the transportation policy of section 10101 or section 10101a of this title; and

(2) either (A) the transaction or service is of limited scope, or (B) the application of a provision of this subtitle is not needed to protect shippers from the abuse of market power.


(b) The Commission may, where appropriate, begin a proceeding under this section on its own initiative or on application by the Secretary of Transportation or an interested party.

(c) The Commission may specify the period of time during which an exemption granted under this section is effective.

(d) The Commission may revoke an exemption, to the extent it specifies, when it finds that application of a provision of this subtitle to the person, class, or transportation is necessary to carry out the transportation policy of section 10101 or section 10101a of this title.

(e) No exemption order issued pursuant to this section shall operate to relieve any rail carrier from an obligation to provide contractual terms for liability and claims which are consistent with the provisions of section 11707 of this title. Nothing in this subsection or section 11707 of this title shall prevent rail carriers from offering alternative terms nor give the Commission the authority to require any specific level of rates or services based upon the provisions of section 11707 of this title.

(f) The Commission may exercise its authority under this section to exempt transportation that is provided by a rail carrier, or a motor carrier providing transportation of property other than household goods, or in non-contiguous domestic trade, as a part of a continuous intermodal movement.

(g) The Commission may not exercise its authority under this section (1) to authorize intermodal ownership that is otherwise prohibited by this title, (2) to relieve a carrier of its obligation to protect the interests of employees as required by this subtitle, (3) to relieve a motor carrier of property or other person from the application or enforcement of the provisions of sections 10706, 10761, 10762, 10927, and 11707 of this title, or (4) to exempt a motor carrier of property from the application of, and compliance with, any law, rule, regulation, standard, or order pertaining to cargo loss and damage; insurance; antitrust immunity for joint line rates and routes, classification of commodities (including uniform packaging rules), uniform bills of lading, or standardized mileage guides; or safety fitness..1

(Pub. L. 95–473, Oct. 17, 1978, 92 Stat. 1361; Pub. L. 96–448, title II, §213, Oct. 14, 1980, 94 Stat. 1912; Pub. L. 103–311, title II, §205(a), (c)(1), Aug. 26, 1994, 108 Stat. 1683, 1684.)

Historical and Revision Notes
Revised SectionSource (U.S. Code)Source (Statutes at Large)
10505 49:12(1)(b). Feb. 4, 1887, ch. 104, 24 Stat. 379, §12(1)(b); added Feb. 5, 1976, Pub. L. 94–210, §207, 90 Stat. 42.

In subsection (a), the words “by order” and “in such order” are omitted as surplus. The word “unreasonable” is substituted for “undue” for consistency. See the revision note for section 10101 of the revised title.

In subsection (b), the words “Secretary of Transportation” are substituted for “Secretary” for clarity.

In subsection (d), the words “after notice” are omitted as unnecessary in view of subchapter II of chapter 5 of title 5.

Amendments

1994—Pub. L. 103–311, §205(c)(1), inserted “and motor carrier” after “rail carrier” in section catchline.

Subsec. (a). Pub. L. 103–311, §205(a)(1), inserted “, or a motor carrier providing transportation of property other than household goods, or in non-contiguous domestic trade,” after “rail carrier providing transportation” in introductory provisions.

Subsecs. (a)(1), (d). Pub. L. 103–311, §205(a)(2), inserted “section 10101 or” before “section 10101a”.

Subsec. (f). Pub. L. 103–311, §205(a)(3), inserted “, or a motor carrier providing transportation of property other than household goods, or in non-contiguous domestic trade,” after “rail carrier”.

Subsec. (g)(3), (4). Pub. L. 103–311, §205(a)(4), added cls. (3) and (4).

1980—Subsec. (a). Pub. L. 96–448 substituted provision authorizing the Commission to grant an exemption when the Commission finds that application of a provision of this subtitle is not necessary to carry out the transportation policy of section 10101a of this title or is not needed to protect shippers from abuse of market power for provision authorizing the Commission to grant an exemption when the Commission finds that application of a provision of this subtitle is not necessary to carry out the transportation policy of section 10101 of this title, would be an unreasonable burden on a person, class of persons, or interstate or foreign commerce, and would serve little or no useful public purpose.

Subsec. (b). Pub. L. 96–448 struck out provision authorizing the Commission to specify the period of time during which the exemption is effective. See subsec. (c) of this section.

Subsec. (c). Pub. L. 96–448 substituted provision authorizing the Commission to specify the period during which the exemption is effective for provision authorizing the Commission to revoke an exemption, to the extent it specifies, when it finds that application of a provision of this subtitle to the person, class, or transportation is necessary to carry out the transportation policy of section 10101 of this title, to achieve effective regulation by the Commission, and to serve a useful public purpose.

Subsec. (d). Pub. L. 96–448 substituted provision authorizing the Commission to revoke an exemption, to the extent it specifies, when it finds that application to a provision of this subtitle to the person, class, or transportation is necessary to carry out the transportation policy of section 10101a of this title for provision authorizing the Commission to act under this section only after an opportunity for a proceeding.

Subsecs. (e) to (g). Pub. L. 96–448 added subsecs. (e) to (g).

Effective Date of 1980 Amendment

Amendment by Pub. L. 96–448 effective Oct. 1, 1980, see section 710(a) of Pub. L. 96–448, set out as a note under section 10101 of this title.