BURDEN OF PROOF IN RATE CASES INVOLVING INTER-CORPORATE CHARGES

Authors

William E. Treadway, Attorney at Law in Spencer, Indiana

Abstract

The United States Supreme Court has held repeatedly that dealings between intercorporately related companies should be scrutinized closely to prevent any unfair advantage being taken of a subsidiary public utility company by a dominant organization through an exercise of the control inherent in capital stock ownership.1 Yet in an opinion written by Mr. Justice McReynolds in 1923, the court laid down a rule for utilities commissions in rate cases involving intercorporate service-contract charges which, if strictly adhered to, would have sounded the death knell for effective commission regulation.

Recommended Citation

William E. Treadway, BURDEN OF PROOF IN RATE CASES INVOLVING INTER-CORPORATE CHARGES, 31 Mich. L. Rev. 16 (1932).
Available at: https://repository.law.umich.edu/mlr/vol31/iss1/3