Packer Transportation Co. v. United States of America

Petitioner, Packer Transportation Co. (“Packer”), seeks review of an order of the Interstate Commerce Commission (“ICC”) granting authority to Grover Trucking Co. (“Grover”) under which Grover is authorized to, inter alia, transport composition board from Empire, Nevada, to points in Oregon, Washington, and Idaho. Jurisdiction is properly invoked under 28 U.S.C. sections 2321 (a) and 2342(5). Because we agree that the action of the ICC fails to meet the “substantial evidence” test of 5 U.S.C. section 706 (2)(E), the petition for review is granted and the order vacated as hereinafter provided.

Petitioner Packer is a motor carrier operating under a certificate of public convenience and necessity issued by the ICC that permits it to, among other things, transport gypsum, gypsum products, and plasterboard from Empire, Nevada, to points in California, Idaho, Oregon, and Washington. A single Empire business, United States Gypsum Company, produces all of the products carried outbound by Packer. These wallboard shipments from Empire account for about one-third of Packer’s gross revenue and provide a backhaul commodity for Packer’s transportation of lumber products from Oregon and…