The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1893-06-01
Argument Begun at St Paul In the
Matter OF Legality OF Traffic
Associations.
Railroad Companies Claim They Do
Not Come Under the Anti.
Trust Law.
The Sunday Opening Injunction Argu.
>ment Under Way In Court at
Chicago.

ST. PAUL, June 1.--Argument has
begun in the United States circuit
court of appeals in this city in . case
the outcome OF which involves the
existence OF all the railroad traffic asso-
Citations of the country, some 60 in
number. 1t is the case OF the United
States vs. The Trans Missouri Freight
association and the 10 roads constitnt-
ing ii. The case was heard by Judge
John Riner at Cheyenne, Wy, last
July, and decided in favor of the rail-
road companies. The United States
then appealed it to the United States
circuit court of appeals.
The association referred to above is
organized for the purpose of joint
agreement as to transportation rates,
rules and regulations at competitive
points to determine classification and
enforce the foregoing through q weigh
ing and inspection bureau The bust
ness of the association is transacted at
meetings which are attended by repre-
sentatives of all the roads. The rail-
roads have done business through
agencies of traffic associations fol the
past 20 years. Practically all business
relations are between the interstate
commerce commission and the rail-
roads.
The Railroad Contention.
The railroads claim that under ex-
isting railroad conditions, with the
complicated inter-relations between
railways, there is no other feasible plan
Of conducting the business with salts
faction to either the railroad companies
or the public.
Action was brought by J. w. Ady.
district attorney for the district of
Kansas, in the United States circuit
court in December, 1871, charging that
this association OF the railroads tended
to create monopoly, and, by reducing
competition. effected restraint Of
trade contrary to the provisions of an
act OF congress commonly known a.
the Sherman antitrust act, passed July,
1890. It Is not claimed that the rail-
road rates fixed by the association are
unreasonable. but that it il illegal for
the railroads to associate to fix rates at
all, as such an association might posi-
bly, tend to produce unreasonable rates.
Association Necessary.
The railroad companies answered, al
leging that the association is necessary
to prevent discrimination by different
roads; that unreguiated competition
Injuries established business enterprises
by fluctuations in rates; that by reason
OF the inter-relation Of rates at different
points, association 10 necessary to pre-
serve uniformity and equality as be-
tween different shippers and different
localities; that association is necessary
70 prevent under billing, false, classiica-
tion, false weighing and discrimination;
that unrestricted competition brings on
rate wars; that the interstate commerce
act was passed to prevent such evils by
regulation Of the railroads through q
commission; that the interstate COM
merce commission has recognized these
associations az desirable and necessary
auxiliaries in the enforcement OF the
law; that the railroads are subject to
the provisions Of
The Interstate Commerce Act
and not Of the anti-trust act, the latter