SURFACE TRANSPORTATION BOARD TO DETERMINE REASONABLENESS OF INDEMNIFICATION PROVISIONS FOR TRANSPORT OF TIH COMMODITIES, INVITES PUBLIC PARTICIPATION

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>From the Surface Transportation Board, Washington, D.C.
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The federal Surface Transportation Board announced today that it has begun
a proceeding to determine the reasonableness of certain tariff provisions
requiring shippers to  indemnify Union Pacific Railroad Company (UP)
against future liabilities, other than those resulting from UP's negligence
or fault, when UP transports toxic by inhalation hazardous (TIH)
commodities.  The Board has opened the proceeding to participation by the
public.


                                        The Board took this action in
                                        response to UP's request for a
                                        Board declaration on the
                                        reasonableness of the
                                        indemnification provisions in UP's
                                        tariff relating to the
                                        transportation of TIH commodities.
                                        Those provisions require TIH
                                        shippers to indemnify UP against
                                        all liabilities resulting from
                                        shipper negligence or fault, the
                                        negligence or fault of third
                                        parties, or from acts of God, among
                                        other liabilities, regarding TIH
                                        transportation.  Responding
                                        shippers assert numerous grounds in
                                        opposition to UP's request.


                                        The Board announced its initiation
                                        of the proceeding and provided
                                        information for public
                                        participation in its decision in
                                        Union Pacific Railroad
                                        Company—Petition for Declaratory
                                        Order, STB Docket No. FD 35504
                                        ( http://www.stb.dot.gov/decisions/readingroom.nsf/WebDecisionID/41915?OpenDocument )

                                        .  That decision may be viewed and
                                        downloaded on the Board's website
                                        at www.stb.dot.gov.


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