Ellingson Timber Company v. Great Northern Railway Company, a Corporation, and Western Pacific Railroadcompany, a Corporation

Plaintiff-appellant operated a lumber mill at Klamath Falls, Oregon. Defendants-appellees transported logs to plaintiff’s mill and reshipped the finished lumber to various markets.

Plaintiff filed this suit to recover treble damages for alleged violations of the Sherman Act, 15 U.S.C. §§ 1 , 2; 15. Defendants pleaded two affirmative defenses: first, that the action was barred by the four-year statute of limitations (15 U.S.C.A. § 15b); and, second, that the district court lacked subject matter jurisdiction because the matter complained of had been litigated before the Interstate Commerce Commission in a prior proceeding initiated by plaintiff and had been decided against plaintiff.

These defenses were segregated for separate trial to the court. After trial the court dismissed the action on both grounds. In sustaining the second ground the district court said:

Plaintiff’s principal contentions before both the Commission and the trial court were that certain of defendants’ rates were unreasonable and discriminatory and that defendants gave preferences to a competitive mill owned by defendant Great Northern. The Commission decided these issues against plaintiff. El-lingson Lumber…