Alabama Constitution Section 245 Railroad companies not to give rebates or bonuses in nature thereof deceiving or misleading public as to rates
Alabama Constitution – Section 245
Railroad Companies Not to Give Rebates or Bonuses or Mislead the Public About Rates
📜 Summary of Section 245:
Section 245 of the Alabama Constitution prohibits railroad companies from engaging in certain unfair or deceptive practices related to their pricing and services.
🚫 Prohibited Actions by Railroad Companies:
No Rebates or Bonuses:
Railroad companies are not allowed to offer rebates, bonuses, or anything that serves as a hidden discount or special deal to certain customers.
No Preferential Treatment:
These restrictions are intended to prevent favoritism — for example, giving certain shippers better rates or secret deals not available to others.
No Deceptive Practices Regarding Rates:
Railroads must not deceive or mislead the public about their rates or charges. This means:
Rates must be clear and truthful.
Companies cannot publish false information or hide actual charges.
🎯 Purpose:
To ensure fair competition.
To protect consumers and businesses from discrimination.
To promote transparency and honesty in railroad operations.

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