Such a corporation was created for public purposes. It performs a function
of the State. Its authority to exercise the right of eminent domain and to
charge tolls was given primarily for the benefit of the public. It is therefore
under governmental control, subject, of course, to. the constitutional guarantees
for the protection of its property. A corporation maintaining a public highway
although it owns the property it employs for accomplishing public objects, must
be held to have accepted its rights, privllegeSj and franchises subject to the
condition that the government creating it, or the government within whose
limits It conducts its business, may by legislation protect the people against the
exaction of unreasonable charges for the services rendered by it; but it is
equally true thnt the corporation performing such public services, and the people
financially interested in Its business and affairs, have rights that may not be



PROPOSED AMENDMENT OF INTERSTATE-COMMERCE LAW. 347

invaded by legislative .enactment in disregard of the fundamental guaranties
for tbe protection of property."

The principle enunciated in this decision regarding the constitutional limita-
tions of legislation by a State is, of course, equally applicable to Congressional
enactment.
Thereupon, at 12 o'clock, the committee took a recess until 2
o'clock p. m.
AFTERNOON SESSION.
The committee reassembled at 2 o'clock p. m., pursuant to the tak-
ing of recess, Hon. William P. Hepburn in the chair.
STATEMENT OF HON. JUDSON C. CLEMENTS, INTERSTATE COM-
MERCE COMMISSIONER.
