Mail Act

Last week the Army and the airmail finally parted ways when the last route (Chicago-Pembina, N. Dak.) was taken over by Hanford Tri-State Air Lines. Meanwhile in Washington Congress was putting the finishing touches to the new Air Mail Law before sending it on to the White House. The act establishes a 6-c- airmail postage rate, provides one-year mail contracts with rates to be fixed by the Interstate Commerce Commission (maximum 40-c- per airplane mile), prohibits interlocking directorates and holding companies, limits each contractor to one primary and two secondary routes, permits carriers whose contracts were canceled to sue for damages through the Court of Claims, and authorizes a committee of five to complete an aviation survey by next February. The temporary contracts now in effect probably will be extended to the end of the year.

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