St. Paul daily globe., 1892-12-28
BONN COMPANY MINIS
Judge Cornish Peppetuafes an
Injunction That Means
Business.
:, w e~a# ne5
:s5Sa=7ET s.;.:z3
Northwestern Lu1nbepmenss
Association Is Given. a. -.
Hard BioWs2 .-..F ..23as
y aossss szs2
The Attempted Mon opoly' Of
Trade Is Smashed Re-sss
yond Hope. II. .'.+..1' ,....
20 80. -
Dealers May Sell to Whom
- They Please ats Their .
Own PPlee.,ees. es...:.e,-s.
t{-ffzf - ~. =.

Judge William d. Cornish Of the. dis
trict court bench, has filed decision
which perpetuates the injunction ap-
piled for by the BOhn Manufacturing
company against w. g. Hollis and,
number Of others, who are members of
the Northwestern Lumbermen's asso-
ciatlon. The association was formed
to prevent jobberS and manufacturers
OF lumber from selling direct to con-
sumers at prices lower than retail
prices. By the terms Of the bylaws of
the association any one violating the
regulations was assessed the difference
between the schedule price and the re-
tail price, and this fine or assessment
was to be divided among the dealers in
the neighborhood where the consumer
who got goods at special prices lived or
did Business.
The Bohn Manufacturing company
deals III manufactured lumber, such as
shades, etc. This firm belonged to the
association, but it was charged and the
firm admitted TO selling to consumers at
reduced rates. The Bohn company ap-
piled for an injunction to restrain the
association from collecting an assess
ment levied upon the firm, and to pre-
vent the association from b0ycOtting its
business. The bringing of the matter
into the courts eXclted great interest in
lumber circles in The whole country,
and especially in the Mississippi river
valley.
LII memorandum Judge Cornish re-
views the matter as follows: The
plaintiff claims that the defendant. The
Northwestern Lumber association, has
entered into a conspiracy to restrain
trade and to eyade the law in this re-
gard;. TO prevent every wholesale lum-
Der dealer from selling lumber to any
one except the members of the defend
ant association, so as to compel all re
tail dealers 10 join the defendant aSsOci-
alton and act with its members.
Plaintiff sold certain lumber to sew
eral customers within tie territory Of
another member of the association, and
was fined by the association, and it is
proposed to punish the plaintiff by
warning the dealers in the state not to
trade with him.
There are eighty five retail dealers
who will be warned not to trade with
the plaintiff by this defendant asS0cia-
tion and twenty-five wholesale dealers.
In view of these alleged facts the tenn
porary injunction was asked Tor.
In the answer the association
says that there. are .amore than l50
retail dealers III the ,aSsoclatien;. that
each one of them is financially responsi-
BILE: that it is proposed to strike the
name of the plaintiff Off the list Of the
h0horary members OF the association
and put their names on the unfriendly
list; after citing at length the rules and
bylaws of the association the court.
proceeded to Say: es .g1 80
! Ii trade can be so controlled by this
association there is established barrier
between the! producer and the con-
sumer which cannot be passed except
upon the payment OF the fixed penalty
of 10 per cent. This tax must come out
of the manufacturer. and through him
out Of the labor employed by him, or 1t
must come out of the consumer. and IN
either case it comes out OF the people OF
the state without any equivalent. 1t is
to protect class of mddlemen, and as
sure them of their profits whether they
successful, the people OF the stale can
buy goods oniy OF or through the local
dealer in the locality in which the goods
are to be consumed. Competition Is
thus prevented and the lumber trade
controlled by the association. The OBJ
ject OF the association Is to con-
troll the trade and the price. The re-
suit would be a great monopoly in q
great industry. No trust could be more
extensive or oppressive, and The danger
is not leSsened from the fact that it can
be operated without the risk of loss to
the members. Trade cannot be so re-
strained The defendants have sub
stantally admitted the charges made
by the complaint by disclosing their
real purpose. The answer that not all
the retail dealers of the state are mem
bers of the association is not sufficient,
as this class of monopoly need not be
complete to be effective.