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MANUFACTURERS RY. CO. v. SURFACE TRANSP. BD.

No. 11-1269.

676 F.3d 1094 (2012)

MANUFACTURERS RAILWAY COMPANY, Petitioner v. SURFACE TRANSPORTATION BOARD and United States of America, Respondents.

United States Court of Appeals, District of Columbia Circuit.

Decided April 13, 2012.

Attorney(s) appearing for the Case

Paul A. Cunningham argued the cause for petitioner. With him on the briefs was Richard B. Herzog.

Virginia Strasser , Attorney, Surface Transportation Board, argued the cause for respondents. With her on the brief were Robert B. Nicholson and Robert J. Wiggers, Attorneys, U.S. Department of Justice, Raymond A. Atkins , General Counsel, Surface Transportation Board, and Evelyn G. Kitay , Associate General Counsel, Surface Transportation Board.

Opinion for the Court filed by Circuit Judge KAVANAUGH.

KAVANAUGH, Circuit Judge:

To abandon or discontinue service over a railroad line, a railroad must first obtain authorization from the Surface Transportation Board. As a condition of Board authorization, the railroad must pay dismissed employees sometimes-hefty dismissal allowances. But the Board has long maintained an exception under which it does not require a railroad to pay dismissal allowances when the railroad abandons...

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