CHAPTER 2. OPERATION OF FREIGHT RAILROADS

IC 8-3-2
    Chapter 2. Operation of Freight Railroads

IC 8-3-2-1
Freight carriers; law governing
    Sec. 1. The provisions of the chapter shall apply to all suchcorporations, foreign or domestic, and to the receivers and lesseesthereof as shall be engaged in the business of a common carrier offreight in carload lots or less, for hire, on railroads between pointswithin this state. The provisions of this chapter shall also apply to allcarriers engaged in the performance of transfer or switching serviceon and over any terminal, transfer, belt, or switching railroad in thisstate; provided, that the provisions of this chapter shall not be soapplied as to regulate or control interstate commerce, or to in anymanner affect or regulate the charges imposed therefor. It is furtherprovided that the provisions of this chapter shall not apply to anycarrier or carriers within this state whose income from freightbusiness does not equal thirty-three and one-third percent (33 1/3%)of their gross revenue.
(Formerly: Acts 1907, c.231, s.1.) As amended by P.L.62-1984,SEC.13.

IC 8-3-2-2
Freight cars or locomotives; duty to provide and maintain
    Sec. 2. All carriers subject to the provisions of this chapter arerequired to provide and to maintain in serviceable condition thenumber of suitable and substantial freight cars necessary to promptlysupply the demands on their respective lines in this state for theprompt and expeditious shipment of all freight in carload lots. Allsuch carriers are also required to provide and maintain in serviceablecondition the number of suitable and substantial locomotives andother appliances and facilities necessary to promptly andexpeditiously transport from point of origin to destination in thisstate all freight in carload lots which shall originate on theirrespective lines in this state and be tendered for transportation.
(Formerly: Acts 1907, c.231, s.2.) As amended by P.L.62-1984,SEC.14.

IC 8-3-2-3
Freight movements; time limit
    Sec. 3. All carriers subject to the provisions of this chapter arerequired, when any carload freight has been properly loaded andproper shipping instructions have been delivered, to move the sameforward to destination, if on its line, or to the point of junction withthe connecting carrier named in the shipping directions, not less thanaverage of fifty (50) miles every twenty-four (24) hours, Sundays andlegal holidays excepted; provided, that twenty-four (24) hours shallbe allowed for movements through the terminals at point of originand for passing through any transfer or terminal en route. Every suchcarrier shall receive from its connecting lines, at junction points, or

at point of interchange agreed upon between them, all carload freighttendered there for forwarding on its lines and shall move the sameforward to destination, or to the connecting carrier named in theshipping directions an average of not less than fifty (50) miles everytwenty-four (24) hours, Sundays and legal holidays excepted;provided, that twenty-four (24) hours shall be allowed for themovement through the terminal at point of origin and for passingthrough any transfer or terminal en route. In case any such carriershall fail, unless prevented by wrecks or strikes or accident to tracks,to forward carload shipments as provided in this section, then everysuch carrier shall forfeit and pay to the consignee of such freight thesum of five dollars ($5) per car for each twenty-four (24) hours ormajor part thereof that the same has not been moved forward asrequired by this section, and the sum due on account of any suchforfeiture may be deducted from the freight charges following anysuch shipment. All shipments of freight in less than carload lots shallbe moved by the carrier at the same rate of speed as required by thissection for freight in carload lots, except that forty-eight (48) hoursshall be allowed for getting out of terminal at point of origin, and forpassing through any terminal or transfer en route. The penalty forfailure to so move shipments of freight in less than carload lots shallbe an amount equal to twenty-five percent (25%) of the freightcharged on such shipment for every day's delay or fraction of a day.
(Formerly: Acts 1907, c.231, s.3.) As amended by P.L.62-1984,SEC.15.

IC 8-3-2-4
Consignee; time for freight delivery; forfeitures
    Sec. 4. All carriers subject to the provisions of this chapter shalldeliver to a consignee on a private track, a track used by theconsignee for loading or unloading, or on their public delivery track,and receive from a connecting carrier, at any terminal point in thisstate, for the purpose of delivery to points located on its line at theterminal or points reached over or through its line at the terminal, allcarload freight tendered it by a connecting line, and shall deliver thesame to the consignee on a private track, or on its tracks, or to theconnecting line on its tracks at the terminal, within twenty-four (24)hours after the freight is tendered. If a carrier fails to deliver a car, itshall pay to the consignee the sum of five dollars ($5) for eachtwenty-four (24) hours or major part thereof that it fails to makedelivery as required by this section. Wrecks, strikes, or accidents totracks are a sufficient excuse for failure to make delivery. The sumdue because of a forfeiture may be deducted from the freight chargesfollowing a shipment. The Indiana department of transportation, aftera full hearing of all parties interested, may relieve a carrier fromswitching carload freight at terminal points which is to be deliveredupon its public delivery tracks at a terminal when it appears that thefacilities of the carrier at the point are only sufficient to care for thebusiness originating and terminating on its line at the point. Eachcarrier may impose and collect a reasonable transportation charge for

the performance of the service required by this section.
(Formerly: Acts 1907, c.231, s.4.) As amended by P.L.62-1984,SEC.16; P.L.384-1987(ss), SEC.34; P.L.18-1990, SEC.42.

IC 8-3-2-5
Freight and coal cars; duty to provide; shipment of livestock andperishable property; preference
    Sec. 5. Every carrier subject to this chapter shall furnish to allparties who apply therefor, as provided in this chapter, suitable carsfor the transportation of all kinds of freight in carload lots. If the carequipment of the carrier is not adequate to supply the whole numberof cars demanded by applicants for immediate use, then the carriershall distribute its available equipment between the applicants inproportion to their respective requirements for immediate use, andthe distribution shall be made without discrimination betweenshippers or between competitive and noncompetitive points, subjectto the rules of the Indiana department of transportation. Preferenceshall be given to the shipment of livestock and perishable property,and in all cases where any coal mine or mines are under contract tofurnish all or any part of their product to the state for the use of allor any of the buildings or public institutions of the state, thedepartment may, by order, require any carrier serving the mine ormines to supply empty coal cars to the mine or mines for deliveryonly of coal within Indiana up to one hundred percent (100%) of thecars necessary to fill the daily order contracted by the mine with thestate for the use of state buildings or institutions. A carrier serving acoal mine or mines shall comply with the order. Reconsignment ofshipments of coal are unlawful unless authorized by the Indianadepartment of transportation.
(Formerly: Acts 1907, c.231, s.5; Acts 1920(2ss), c.15, s.1.) Asamended by P.L.62-1984, SEC.17; P.L.384-1987(ss), SEC.35;P.L.18-1990, SEC.43.

IC 8-3-2-6
Carload freight shipments; billings; records; freight cars requestedand furnished
    Sec. 6. Each carrier subject to this chapter shall provide andpermanently keep at each billing station on its line in Indiana whereit handles carload shipments a substantially bound book, which shallbe in the form prescribed by the Indiana department oftransportation, suitable for permanently recording and preserving theinformation required by this section and other information as thedepartment may prescribe concerning the subject matter of thischapter. Any applicant for cars for use at a station shall record in thebook the date of application showing the number and kind of carsrequired, when required, for what kind of loading, the point ofdestination, and other information as the department prescribes. If itis not practical or possible for the applicant to apply in person, thenapplication may be made in writing or by wire, and if made inwriting or by wire, then one (1) authentic copy shall be furnished the

local agent for filing in the local agent's office, which copy shallconstitute a part of the lawful record. Each carrier shall furnish to theapplicant, in not less than forty-eight (48) hours after 6 p.m. of theday of filing such application, the cars so required, unless the carsare not so soon required, in which case they shall be furnished whenrequired. The carrier's agent at every station shall record in the bookthe date the cars were furnished and billed out, and other informationas the department may prescribe in the form for the record, and everyrecord, or a properly authenticated copy, shall be competent evidencein all the courts of this state and before the department concerningthe matters required to be recorded therein. A carrier shall not berequired to furnish cars for shipment unless applied for under thissection. The distribution and delivery of coal cars to coal mines oncarriers' lines in this state are not controlled by this section.
(Formerly: Acts 1907, c.231, s.6.) As amended by P.L.62-1984,SEC.18; P.L.384-1987(ss), SEC.36; P.L.18-1990, SEC.44.

IC 8-3-2-7
Records; freight cars requested and furnished; violations
    Sec. 7. It is a Class C infraction for a person to make any falseentry in the record provided for in section 6 of this chapter, or toalter, change, or mutilate any entry therein made, without notice toand with the consent of the other party interested therein. It is a ClassC infraction for a person to record in such a record a demand for carsnot required, or for more cars than are required, or to duplicate anydemand for cars previously ordered and not then furnished.
(Formerly: Acts 1907, c.231, s.7.) As amended by Acts 1978, P.L.2,SEC.822.

IC 8-3-2-8
Freight cars; delay in furnishing; forfeiture
    Sec. 8. Every carrier subject to the provisions of this chapterwhich shall fail and neglect to furnish cars to applicants inaccordance with the application therefor, and as provided in section6 of this chapter, shall forfeit and pay to the applicant the sum of onedollar ($1) for each car for each twenty-four (24) hours, or the majorpart thereof, that the delivery of the same shall be delayed beyond thedate when the cars were required to be furnished; provided, that suchforfeiture shall not accrue if the carrier shall show to the satisfactionof the court or jury trying the cause that it did not have the cars in itscontrol at the time they were required for delivery, and that, for areasonable time prior to the failure and at the time of the failure, ithad made and then made a bona fide and reasonable effort to supplyits line with the necessary car equipment to care for the traffic thenon its line and such future traffic as it could reasonably anticipatewould be offered for shipment.
(Formerly: Acts 1907, c.231, s.8.) As amended by P.L.62-1984,SEC.19.

IC 8-3-2-9 Coal cars; duty to furnish
    Sec. 9. At the request of a carrier, coal mine operator, or otherinterested party, the Indiana department of transportation, after five(5) days notice to the interested carrier and the coal mine operatorson the carrier's line and a full hearing, shall adopt rules for thedistribution by the carrier of empty coal cars to the coal mines on theline of the carrier. The rules adopted by the department may notconflict with the provisions of section 5 of this chapter. Thedepartment shall prescribe the manner in which the cars shall beapplied for, the manner in which the capacity and output of the minesshall be ascertained, and the manner in which empty cars shall bedistributed and delivered. The department shall adopt other rulesconcerning the subject as are necessary to secure a fair and equitabledistribution of cars without discrimination, so that each mine, in caseof car shortage, shall be secured the maximum amount of workingtime to which it is entitled, after taking into consideration thecapacity and output and the shipping orders of all the mines and theavailable equipment on the line for use in their operation. Ifconditions are the same, the department may adopt the same rules forall carriers having coal mines on their lines, or different rules fordifferent lines, as the differing conditions may require. The rulesshall go into effect upon the date fixed by the department and shallbe observed by the carriers and all other persons until set aside ormodified by the department. The department may, at any time, uponapplication by an interested party, modify or set aside the rules andadopt other rules as required. Any party interested in such rules mayfile a civil suit against the department in any court of competentjurisdiction to set aside or annul a rule adopted by the department.
(Formerly: Acts 1907, c.231, s.9.) As amended by P.L.62-1984,SEC.20; P.L.384-1987(ss), SEC.37; P.L.18-1990, SEC.45.

IC 8-3-2-10
Coal cars; failure to furnish; forfeiture
    Sec. 10. A carrier that fails, neglects, or refuses to deliver to acoal mine operator on its line empty coal cars for use at the mine inaccordance with this chapter and the rules of the Indiana departmentof transportation adopted under this chapter shall forfeit to the coalmine operator the sum of two dollars ($2) per day for each car foreach day, or major part thereof, that the car remains undelivered.
(Formerly: Acts 1907, c.231, s.10.) As amended by P.L.62-1984,SEC.21; P.L.384-1987(ss), SEC.38; P.L.18-1990, SEC.46.

IC 8-3-2-11
Coal in transit; confiscation by carrier
    Sec. 11. When for any reason coal in transit is confiscated by thecarrier, immediate notice shall be given both consignor andconsignee of such confiscation, and any carrier failing or refusing togive such immediate notice shall, on settlement, pay fifty cents (50cents) per ton over and above contract-price to consignee for suchcoal confiscated.(Formerly: Acts 1907, c.231, s.11.)

IC 8-3-2-12
Forfeiture and damages; delay in transportation or failure tofurnish freight cars
    Sec. 12. The forfeiture accruing under this chapter may becollected in any court of competent jurisdiction in any county in thisstate into which the carrier operates, and in case the plaintiffrecovers, the court or jury trying the cause shall allow the plaintiff areasonable sum for his attorney's fees. The accruing and collectionof any such forfeiture shall not preclude any such party fromcollecting actual damages in excess thereof which he shall havesustained on account of any such delay in transportation or failure tofurnish cars as required by this chapter.
(Formerly: Acts 1907, c.231, s.12.) As amended by P.L.62-1984,SEC.22.

IC 8-3-2-13
Repealed
    (Repealed by P.L.384-1987(ss), SEC.95.)

IC 8-3-2-14
Actions and proceedings to enforce railroad law
    Sec. 14. The Indiana department of transportation may inquireinto the management and business of carriers as regulated by thischapter and shall keep informed as to the manner and method inwhich the management is conducted. The department may obtainfrom the carriers, and their agents, officers, and employees full andcomplete information to enable it to perform its duties under thischapter. The department shall execute and enforce this chapter andfor that purpose may, with the approval of the governor, employ andpay special counsel and other persons to assist it. The departmentmay sue in its name in all the courts of Indiana and prosecute allnecessary and appropriate actions at law or suits in equity for thepurpose of securing the observance and enforcement of this chapter.If the department, in an action, is entitled to a temporary restrainingorder or injunction, pending final hearing, the court shall grant theorder or injunction with all reasonable dispatch and without requiringbond or surety from the department. All state statutes, concerningexaminations by the department of books and papers, and theproduction thereof, and the attendance of examination of witnessesin any investigation held by the department, regulate the proceedingsof the department in any investigations held by it under this chapter.
(Formerly: Acts 1907, c.231, s.14.) As amended by P.L.62-1984,SEC.24; P.L.384-1987(ss), SEC.39; P.L.18-1990, SEC.47.

IC 8-3-2-15
Temporary and emergency rates, routes, and regulations;receivership
    Sec. 15. If a carrier fails to provide the equipment, motive power,

and other facilities necessary to properly receive and care for thebusiness on their lines, as required by this chapter, or fails to performthe duties enjoined upon it by this chapter, and because of the failureconsiderable traffic on its line is refused or not promptly moved asrequired by this chapter, resulting in material injury to the citizens ofa community in Indiana, or the industries or commerce of Indiana,then the Indiana department of transportation, after five (5) daysnotice to the carrier interested and a hearing, shall adopt temporaryemergency rates, establish temporary emergency routes of shipment,and adopt temporary emergency rules concerning the movement oftraffic as are necessary to correct the existing conditions and mayissue orders suspending certain traffic in favor of other traffics forthe purpose of preventing existing or threatened public calamity ordistress. The carrier shall promptly comply with all orders of thedepartment, and, upon its failure so to do, the department shall applyto a court of competent jurisdiction for the appointment of anoperating receiver to enforce the orders and rules adopted by thedepartment and may also apply to a court for the appointment of areceiver for a carrier to enforce a provision or requirement of thischapter which the offending carrier has failed to observe. In theproceeding, the court may operate a carrier through its receiver,enforce orders made by the department concerning the carrier asapproved by the court, and continue so to do so long as is necessary.The court may order its receiver to purchase the equipment andmotive power, and supply other appliances and facilities as may benecessary to properly transact the carrier's present and prospectivebusiness in Indiana as required by this chapter. The court mayauthorize its receiver to issue and sell receiver's certificates for thepurpose of obtaining funds for the uses specified in this chapter or toissue certificates of indebtedness to pay for expenditures authorizedby this chapter. The court may declare certificates authorized underthis chapter to be the first and prior lien upon the property andincome of the carrier in the manner and upon the terms as the courtshall decree.
(Formerly: Acts 1907, c.231, s.15.) As amended by P.L.62-1984,SEC.25; P.L.384-1987(ss), SEC.40; P.L.18-1990, SEC.48.

IC 8-3-2-16
Partial invalidity of law
    Sec. 16. In case any of the provisions of this chapter shall be heldinvalid, such fact shall not operate to make invalid any other portionof the chapter, and the portions of this chapter not adjudged to beinvalid shall be observed and enforced the same as though the invalidportion had not been enacted.
(Formerly: Acts 1907, c.231, s.16.) As amended by P.L.62-1984,SEC.26.