Interstate Commerce Commission – Definition

Cite this article as:"Interstate Commerce Commission – Definition," in The Business Professor, updated March 19, 2019, last accessed October 21, 2020,


Interstate Commerce Commission (ICC) Definition

Interstate Commerce Commission was established to regulate the bad habits of railroads. The commission was tasked with overseeing carrier services from state to state. Even though it was the first commission of its kind, it was disbanded in 1995.

A Little More on What is the ICC

After its establishment in 1887, the ICC has already achieved a lot by 1910. ICC had not only succeeded in moderating profit and rates in railroads but also seeing through all the mergers and acquisitions in the sector. The authority of the ICC extended to car companies, oil pipelines, ferries, and all the communication services. Its mandate of regulating the communication services came to an end in 1934 after the establishment of the Federal Communication Commission.

ICC was also mandated with the responsibility of dictating rates and the amount of profit of the entire transport industry. All interstate carriers except aircraft were under the regulation of the ICC by 1940. Also, all labor disputes and operations in the railway system were under this commission. Between 1950 and 1960, the ICC played a key role in the implementation of the Supreme Court decision to unify railway roads.

The function of safety was taken away from the ICC in 1966. This was after the establishment of the Department of Transportation in 1966. Despite this, ICC was left with the mandate of establishing, regulating and profits until 1980 when The Staggers Rail Act and Motor Carriers Act was enacted.

ICC was stripped the majority of its mandates in 1994. Most of its functions were given to the Department of Transportation, Federal Highway Administration, and Surface Transportation Board. The ICC was later disbanded in 1995 after all its functions were transferred to other bodies.

References for Interstate Commerce Commission

Academic Research on the Interstate Commerce Commission (ICC)

Was this article helpful?