The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1897-03-24
GEORGE R. PEcRs VIEWS
He Says No Existing Traffic Organi-
cation Can Live Under the Decision.

Chicago. March 24-"Judging from the
press reports of the finding OF the United
ment's case against the TranS-M1SSour1
effect will be to make it impossible for
any existing traffic organization, 1relght
or passenger, to maintain its existence
So said George r. Peck, general coun-
sci of the Chicago, Milwaukee & st. Paul
railroad last night. And George r. Peck
successfully defended this same case in
two of the lower courts of the United
Nearly all of the existing traffic asso-
Citations of this country are founded on
Trans Missouri Freight association" con-
tinued Mr. Peck. THE Trans-M Missouri
Objectionable. from the court point q
view, of any of them Generally speak
the fundamental plank being the regula-
ton of rates by agreement of all inter-
ested lines, The United States supreme
court has held in this decision that such
organiza tions come within the Sherman
antitrust law, and are illegal; TO my
mind the outcome can be nothlng put
the dissolution of all railroad traffic as
sociations. 1t may be that there is some
saving clause in the courts opinion but
none appears in the press accounts of it.
The decision, it seems TO me, is a very
applaud it. and consider that its interests
have been protected against a gigantic
trust Some day it will awake to the fact
that it suffers more without traffic as
sociations. Under the present plan the
railroads protected themselves against
that certain rates shall be maintained.
If they are no longer permitted to do so,
rate wars will be of frequent occurrence.
What will be the result? / will show
you how it will effect the merchant. One
man in any given city will buy a big
stock of goods at prevailing prices and
pay a given freight rate. Before his
goods are fairly on the shelf a freight
will spring up. His competitor across
the street will buy his goods at exactly
the same price but he will pay a much
less freight rate. The first merchant will
find it absolutely impossible to compete
with his neighbor except at loss. His
sufferings will entail sufferings upon
many others as result of in%ability of
rates Other instances might be named
almost without number. What the ship
per and the conSignee of freight want
rates This freight associations insure.
No organization of the kind means the
greatest possible instability.
What effect will the decision have ups
In my opinion the abolition of traffic
organiza tiOnS under the antitrust law
viii have the direct effect of helping along
the pooling bill. AS L have indicated the
public will soon come to see the things
are worse with them. It will be seen
that some unity of action some under
standing to what rates shall be among
railroad companies is a necessity if
rates are TO be kept stable. Pressure will
be brought to bear upon congress to pass
a bill which will allow the railroads to
commerce commission
THAT is the intent of the Patterson
bill now before congress, and which pas
Sed the lower house at the session pre-
ceding the last. Several members of the
interstate commerce commission favor
such a law. Commissioner Knapp in fact
mans favors it. Within a few weeks a
member of the commission has said that
he hoped the government would win this
case. as it would be a great help to the
pooling BILL