The Interstate Commerce Act of 1887 primarily targeted unfair practices in the railroad industry. One specific business practice that the act aimed to end was "rate discrimination," where railroads would charge different rates to different customers for the same service, often favoring larger companies or established customers over smaller shippers.
Additionally, the act sought to eliminate "rebates" and "kickbacks," where railroads provided secret discounts to certain favored shippers, thus creating an uneven playing field. The Interstate Commerce Commission (ICC), established by the act, was empowered to investigate and regulate these practices, ensuring that rates were just and reasonable and that discriminatory practices were curtailed. This was an important step toward regulating interstate commerce in the United States.
1 answer