CSX Urges Supreme Court to Rekindle Antitrust Case Against Norfolk Southern
CSX Transportation has turned to the U.S. Supreme Court in its ongoing battle to renew a pivotal antitrust lawsuit against Norfolk Southern. This bold move could redefine access dynamics at one of the nation's key maritime terminals.
A Power Struggle Over Port Access
In a saga reminiscent of corporate giants clashing for dominance, Jacksonville-based CSX has been locked in a legal tussle with its Atlanta counterpart since October 2018. The bone of contention? Allegations that Norfolk Southern, along with Norfolk & Portsmouth Belt Line Railroad Co., colluded to impose an exorbitant “switch rate” for train dock access at the Port of Virginia. This rate, pegged at a whopping $210 per train car, is claimed by CSX to have cost them hundreds of millions since its inception in 2009.
A Legal Setback
The case took a significant twist when the 4th U.S. Circuit Court of Appeals in Virginia deemed CSX's lawsuit untimely. The court ruled that the allegations fell outside the four-year statute of limitations typically upheld under U.S. antitrust laws. However, CSX remains undeterred.
CSX's Petition to the Supreme Court
In a petition fueled by tenacity, CSX contends that continuous daily harm from these fees effectively renews the statute of limitations. The essence of their argument is simple yet profound: each act of harm underlines a “new harm”, warranting fresh legal consideration.
“Although the Court has not yet had occasion to address the doctrine in the precise factual circumstances presented by this case, it has stated the principle that controls: Injury caused by an antitrust violation beginning outside the limitations period but causing new harm in that period restarts the statute of limitations,” the CSX petition stated.
The Path Forward
As CSX awaits the Supreme Court's decision on whether the case will be reopened, their focus remains steadfast on gaining competitive access at Norfolk International Terminals (NIT), the largest marine terminal overseen by the Virginia Port Authority.
“CSX remains focused on its efforts to gain competitive access at NIT so that we can best serve our customers,” said CSX spokesperson Sheriee Bowman in a statement.
While Norfolk Southern has remained silent following the petition, the unfolding legal battle promises to capture significant attention from stakeholders and industry experts alike.
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The original report on CSX's Supreme Court petition can be found on FreightWaves.
