The teiroinology "exempt" is based on the exemption of the trucks 

 from certain rate filing and other miscellaneous requirements of the Inter- 

 State Commerce Commission. The trucks do not have to file and adhere to 

 published rates with the Commission, hence shippers can bargain with 

 operators of trucks in this category and obtain lower rates. In addition, 

 "exempt" carriers can give a more flexible service since they are not 

 confined to a single route or group of routes as are the regulated motor 

 carriers. 



The statutory basis for the exen^ition lies in the Motor Carriers 

 Act of 1935» When this statute was enacted, broad exemptions from certain 

 provisions of the Act were granted to trucks transporting fresh and frozen 

 fish and shellfish. Trucks cairrylng these products, provided they did not 

 carry for compensation any passengers and property other than "exen5)t" 

 property (as defined in Section 203 (b) (6) of the Motor Carriers Act of 

 1935), were exempted from certain regulations of the Interstate Commerce 

 Commission which required, among other things, that permits to operate 

 be obtained and schedules of tariffs be filed in connection with their 

 operations . 



It was left to the Courts to provide the bases for a detailed 

 intei^retation of the exemption provisions. A very important case in 

 this connection originated with frozen shrimp shippers and truck haulers 

 (I. C, C. vs. Love, 77 F. Supp, 63 affirmed by the United States Coiirt 

 of Appeals 172 F, 2nd, 22U) . In this case the Interstate Commerce Com- 

 mission interpreted the exemptions as not including raw headless shriir?). 

 The Courts ruled against this interpretation and, as a result, the 

 Interstate Commerce Commission subsequently foiind that the term "fish" 

 (including shellfish) as used in Section 203 (b) (6) of the Motor Car- 

 riers Act of 1935' meant "frozen, quick frozen, and unfrozen fish and 

 shellfish in the various forms in which it is shipped, such as live 

 fish, fish in the round, beheaded and gutted fish, filleted fish, be- 

 headed shrin^), oysters, clams, crabs, and lobsters, with or without 

 shells, including crab meat and lobster meat, but excluding fish and 

 shellfish in hermetically sealed containers and fish and shellfish which 

 have been otherwise treated for preserving such as smoked, salted, 

 pickled, spiced, corned, or kippered". 



United States Fish and VJildlife Service records indicate that 

 in 19U7 some Q$ carloads of fresh or frozen shrin?) were shipped by rail 

 from Louisiana and 180 carloads from Texas. In 1951 there were only 11 

 carloads shipped by rail from these two States, and in 1952, only one. 



The dominant position of trucks in the domestic movement of 

 fresh and frozen shrimp is also indicated in table VII - 19 which shows 

 receipts of fresh and frozen shrimp by type of carrier at the Chicago, 

 Illinois, wholesale market during the years 19U7-1957. Trucks, according 

 to trade sources, are also used for the transportation of a large pro- 

 portion of imported shriirp after its entry into the United States. 



76 



