# § 10502. Authority to exempt rail carrier transportation
**(a)** In a matter related to a rail carrier providing transportation subject to the jurisdiction of the Board under this part, the Board, to the maximum extent consistent with this part, shall exempt a person, class of persons, or a transaction or service whenever the Board finds that the application in whole or in part of a provision of this part—
**(1)** is not necessary to carry out the transportation policy of section 10101 of this title; and
**(2)** either—
**(A)** the transaction or service is of limited scope; or
**(B)** the application in whole or in part of the provision is not needed to protect shippers from the abuse of market power.
**(b)** The Board may, where appropriate, begin a proceeding under this section on its own initiative or on application by the Secretary of Transportation or an interested party. The Board shall, within 90 days after receipt of any such application, determine whether to begin an appropriate proceeding. If the Board decides not to begin a class exemption proceeding, the reasons for the decision shall be published in the Federal Register. Any proceeding begun as a result of an application under this subsection shall be completed within 9 months after it is begun.
**(c)** The Board may specify the period of time during which an exemption granted under this section is effective.
**(d)** The Board may revoke an exemption, to the extent it specifies, when it finds that application in whole or in part of a provision of this part to the person, class, or transportation is necessary to carry out the transportation policy of section 10101 of this title. The Board shall, within 90 days after receipt of a request for revocation under this subsection, determine whether to begin an appropriate proceeding. If the Board decides not to begin a proceeding to revoke a class exemption, the reasons for the decision shall be published in the Federal Register. Any proceeding begun as a result of a request under this subsection shall be completed within 9 months after it is begun.
**(e)** No exemption order issued pursuant to this section shall operate to relieve any rail carrier from an obligation to provide contractual terms for liability and claims which are consistent with the provisions of section 11706 of this title. Nothing in this subsection or section 11706 of this title shall prevent rail carriers from offering alternative terms nor give the Board the authority to require any specific level of rates or services based upon the provisions of section 11706 of this title.
**(f)** The Board may exercise its authority under this section to exempt transportation that is provided by a rail carrier as part of a continuous intermodal movement.
**(g)** The Board may not exercise its authority under this section to relieve a rail carrier of its obligation to protect the interests of employees as required by this part.
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**Source Credit**: (Added Pub. L. 104–88, title I, § 102(a), Dec. 29, 1995, 109 Stat. 808.)
## Editorial Notes
### Prior Provisions
Provisions similar to those in this section were contained in prior to the general amendment of this subtitle by .
Prior sections 10502 to 10505, 10521 to 10531, 10541 to 10544, and 10561, were omitted in the general amendment of this subtitle by .
Section 10502, , , , related to Interstate Commerce Commission jurisdiction over express carrier transportation.
Section 10503, , , , related to railroad and water transportation connections and rates. See .
Section 10504, , , ; , , ; , , , related to jurisdiction of Commission over mass transportation provided by local governments. See .
Section 10505, , , ; , , ; , (c)(1), , , 1684, related to authority of Commission to exempt rail carrier and motor carrier transportation. See sections 10502 and 13541 of this title.
Section 10521, , , ; , , ; , , ; , , ; , , ; , , , related to jurisdiction of Commission over motor carrier transportation. See .
Section 10522, , , , related to exempt transportation between Alaska and other States. See .
Section 10523, , , ; , , , related to exempt motor vehicle transportation in terminal areas. See .
Section 10524, , , ; , , , related to Commission jurisdiction over transportation furthering a primary business. See .
Section 10525, , , ; , , ; , , , related to exempt motor carrier transportation entirely in one State. See .
Section 10526, , , ; , , ; , §§ 7, 21(a), 24(a), , , 812, 814; , , ; , , ; , , ; , , ; , , ; , , ; , , , related to miscellaneous motor carrier transportation exemptions. See .
Section 10527, added , , ; amended , , , related to written contracts pertaining to certain interstate movements by motor vehicle.
Section 10528, added , , ; amended , , ; , , , related to mixed loads of regulated and unregulated property. See .
Section 10529, added , , ; amended , , , related to authority of Commission over cooperative associations. See .
Section 10530, added , , ; amended , , ; –(f), , ; , (), , , 1371, related to certificates of registration for certain foreign carriers. See .
Section 10531, added , , , related to mass transportation exemption from Commission jurisdiction.
Section 10541, , , , related to jurisdiction of Commission over transportation by water carriers. See .
Section 10542, , , ; , , ; , (10), , ; , , , related to exemption of transportation by water carriers of commodities in bulk from Commission jurisdiction.
Section 10543, , , , related to exemption of certain incidental water transportation from jurisdiction of Commission.
Section 10544, , , ; , , ; , , ; , , ; , , , related to exemption of certain miscellaneous water carrier transportation from Commission jurisdiction.
Section 10561, , , ; , , ; , , , related to jurisdiction of Commission over services of household goods freight forwarders. See .
A prior section 10562, , , ; , , , related to exempt freight forwarder service, prior to repeal by , §§ 6(d)(1), 15, , , 2999, effective 60 days after .
## Statutory Notes and Related Subsidiaries
### Effective Date
Section effective , except as otherwise provided in , see , set out as a note under .