The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1889-10-23

gree the qualifications OF tact and courtesy re-
success OF the past year. We may readily i'm
agine his complacent smile as, upon each new
application, he softly soliloquizes, "One more IN
commend to your careful consideration the
report OF the on proprietary goods. A
new complication has arisen in the shape OF
nfttrustlegislatio in some OF the Western and
Southern States which, In its present. form,
seems 10 threaten the usefulness. II not the sta
bflity, of the contract system. While we feel as
snred that these laws were not intended 10 In
cllde within their scope the rebate plan, "a APP
they so impose serious restriction upon
the regulating OF prices or quantities or
troversy The eS s sas : that MEETS + IN vs Is:
Are these laws. as now framed, binding IN our
easel Is it wisdom to wait for a Judicial decision
endanger the life Of the rebate plant Or, with
the light which viii be shed upon the subject by
the report OF the committee, based upon a late
decision by ChiefJustice Fuller. of United States
supreme Court, together with eminent legal opin-
Ion. are we justified in requesting proprietorst to
insist upon their contracts being signed as here
toforel Our brethren in the ANTITRUST States de-
serve great credit for their loyalty and prompt
action IN this emergency, IN rallylng to the sup sup
mutual understanding, the schedule prices until
! the precise scope Of the law could be ascertained.
animated discussion in our body, as also in the
Association OF Proprietors, which has postponed
Its annual convention in order 10 meet with us
here for conference on matters of mutual inter
est. particularly upon the wisest course to pursue
with reference to the antitrust States. The chair
man OF the committee, Mr.. Kline, has given a
a great deal of time to the investigation of this
subject, aud comes to us fortified with arguments
and legal opinions to demonstrate that antitrust
laws DO not apply TO contracts governing the
sale of proprietary goods. As TO the causes OF
the origin and rapid multiplication OF trusts
in this country. and their influence upon business
interests, there Is "A wide diversity or opinion.
Whether they are an experimental craze, soon to
beabandoned as economically useless, or a natural
evolution of business that "has come to stay
IL is too soon yet TO venture an opinion. The
subject Is receiving an amount OF attention never
before given 10 any purely economic question, and
as IL Is becoming prominently involved with p0lit-
zeal issues IL bids fair to receive a thorough ven
t1lation. TIE enactment or antitrust laws IS
doubtless the spontaneous and rapidly crystal
Lied expression OF public sentiment against q
comparatively new method of combination, not
fully understood (being usually conducted in
secrecy but intuitively distrusted as a danger
Gus form of monopoly, aiming TO control produc-
| ton, prevent competition, advance prices. and,
by closing the main channels OF industry against
individual enterprise and capital, to subject the
many TO the domination OF the few. Viewed
fare, and from their rapid increase alarming, it
Is not surprising that III the effort TO render them
illegal. hasty and il-digested legislation has re.
suited, SO sweeping in its character as 10 place,
by inference, under the ban of criminal law long
established and legitimate business methods.
This undoubtedly was not the intention
OF the law. While the difficulty of the
prevention or control Of trusts by legislation is
will yet lind a way to so hedge them about by
restrictions that they will cease to endanger
1 pubic Wel16Ie.
There are other important points connected
with the contract plan which Will be presented
to yon for consideration, and will demand de
matters be full and fearless, so that wise and
positive measures may be adopted. In the early
history of this system it was prudent to proceed
cautiously, until the plan was thoroughly tested
and understood. but now, after years OF practical
experiences, which should have given 20 all a
complete understanding OF the requirements OF
the system, neither proprietor nor dealer can
reasonably plead ignorance OF what is demanded
become so valuable 10 both. I feel assnred that
our association fully appreciates the value OF the
ardous and self-denying labors of Mr.. Kline and
his committee, and Will indorse 10y their hearty
support the conclusions they have. reached, and
the plans they may suggest for overcoming
present obstacles.
Owing to the frequent complaints from
our western members, or excessive ire
insurance rates exacted by the board
relief, the attention of the association
was early drawn to the subject in general, and
aiter wears Oh pa1ent ana laDoriQas lnVesnga-
three years ago, at the Minneapolis
convention, TO establish an insurance company
Of our own; and, acting upon this decision. in
due time the company was constituted under the
laws OF pennsylvania, and commenced business.
.Druggists' Mutual Insurance Company" 1t
was not only hoped. but fully expected. by the
promoters of this enterprise and the executive
officers Of the company, that 1t would receive
from the wholesale drug trade q ready sympathy
and cordial support. In this hope they have
Dtcn SfltNlDuSiy disappointed. Ill IRE tOSScS
in the wholesale drug trade during their short
experience in business have been exceptionally
heavy, In fact. unprecedented. and the company
has suffered severely; but, 10 their credit, be IL
said, they have sustained the honor of the asso-
citation by paying their losses with cOmmendable
prOmptness, and without complaint or annoy
ance to the insured. These losses, added to the
apathy manifested by the trade toward theirown
company, has had a very depressing effect upon
the board and officers, which facts are probably
we'll known to other companies. and are likely,
In the near future. to have the effect OF a gem
a~ol 1un m Al In ~ snar Iraro fnn o-I x.a
possibly render it difficult to obtain any in
surance whatever. While there can be 10 ques-
T HIIl ss SO we Ear ,e as MS ST to sossI RSllcg gl IS cU %Ssi5sr x 1t
are not bound in honor to rally promptly TO the
aid of this company. thereby demonstrating to
TO the insurance world that we had counted the
cost before we began to build. and escaping the
taunt that in this matter We did not 'build better
than we knew" The tate OF this company. and
with it our ability 10 resist extOrtiOnate lnsur-
ance rates, rests with the action taken on the re-
port of this committee. The question should be
met with that courage which the situation de-
mands.
AS the time for the next session of Congress is
near at hand, the ON LEGISLATION will
cusston measures looking to congressional relief
from the present unnecessary anu burdensoine
trade as well as almOsteveryb branch OF productive
industry. Our previous efforts for repeal or mod
i~ication of this tax have had their influence to-
ward convincing Congress of the justice OF our
claims. as a disposition is manifested to meet
our wishes by either a material reduction
VI III tdAs u 1ACc NiCOuoA " ucOlCLidA
and mechanical purposes. Influential OPP
position will be met with. OF a character simila ar
10 that which presented itself in the struggle for
the repeal of the stamp tax; but under the pres
ent circumstances, so auspici0us for the vigOr-
Gus presentation of our claims, we can by united
and determined action, together with the CO.
operation of our retail brethren and other in
terests directly involved, insure an equally i'm
pOrtant success.
In the subject of adlAteration this association
has always taken a deep interest. Early in its
history IL expressed the conviction that this was
q fit theme for consideratiOn-one contributing
to the eleyation and dignity ofthe business. The
committees serve as sentinels. and in this capac-
ity detect and warn US OF the various devices re-
sorted 10 for the betrayal OF honest dealers into
the purchase of degraded and spurious goods;
and, moreover, have TO a considerable extent di-
minished a means of competition on the part Of
INSCRIPTIONS dealers. against which no honest
man could hope to contend. The effective work
accomplished by this committee mas been at
tested by the steadily increasing demand for
pure goods OF best quality. The reports are pre-
pared with great care, replete with information
and fearless in their exposure of fraudulent prac-
tees. 1 shall be surprised IL the subject as treat
ed by the present falls behind its
predecessor in creating profitable and interest
ing discussion
II is a pleasure to state that friendly relations
with our retail brethren have been widened and
strengthened by the Interchange of sentiments
of mutual good will at the meetings of the vari-
GUS pharmaceutical associations throughout the
the States where such organizations exist or
where We have membership. The growing feel
ing of kinship and mutual dependence is highly
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