New York Telephone Co. v. Prendergast

One issue, if not the major issue, raised by the bill of complaint herein, is that the rates established by the orders complained of, not only do not in fact permit a fair return upon the value of plaintiff’s property used in the regulated service, but that said orders “were not intended” to permit such a return. Into the question of intent we need not enter at present, for the motion at bar only requires answer to the query whether the rates establishd by order of the principal defendant, are now yielding and have for a reasonable test period yielded an unfair and confiscatory rate of return…