South Bay Transportation Co. v. Gordon Sand Co.

1. Introduction

Under the Highway Carriers’ Act, a permit from the Public Utilities Commission is required to engage in the business of transporting property on the highways in dump trucks and certain other types of vehicles. (§§ 3501, 3517, 3541, 3611; unspecified section references are to the Pub. Util. Code.) Such highway carriers are required to charge no less and no more than minimum and maximum rates established by the rules of the Public Utilities Commission unless the commission approves a deviation. (§§ 3662, 3664, 3665, 3667.) “The paramount purpose of the regulation of the carriers is the protection of the public against ruinous carrier competition and such possible attendant evils as improperly maintained equipment, inadequate insurance, and poor service.” (Keller v. Thornton Canning Co. (1967) 66 Cal.2d 963, 967 [ 59 Cal.Rptr. 836 , 429 P.2d 156 ]; cf. § 3661.) “[A] carrier has both the right and the duty to recover undercharges; recovery is essential to preserve the minimum rate structure for a vital quasi-public industry and to maintain the integrity of the orders of the Public Utilities Commission [citations].” (West v. Holstrom (1968) 261 Cal.App.2d 89,…