The record-union., 1898-07-28
NATIONAL, NOT LOCAL.
Wells, Fargo & Co. Object to Null
duplication of Suits.

The following letter from the Presi-
dent of the Wells, Fargo & Co. Express
Company was yesterday sent to the
Merchants Association of San Fran
cisco. The claim is made, it will be seen,
that the war tax stamp question is al
ready in the Federal Courts and that
the threat to bring other suits to de-
termine who should affix the stamps is
unnecessary:
Wells, Fargo e. Company, Express
and Banking. San Francisco, July u,
1898.
A. S. Baldwin, First Vice President;
]. Richard Freud, Secretary, Mer-
chants Association, San Francisco, Cal.
Dear Sirs: Supplementing my letter
of the Goth, herewith inclose you the
Railway Age Of July 10Th, the lead
ing publication devoted to railway in
terests in this country, in an editorial
of which you will see the stamp tax
and the action of express companies
thus commented on:
1T isl not a question of evasion of the
law, but a queStion-and a very debat-
able one-of the laws meaning and Of
the intent Of Congress. Rail
way companies though fully aware that
that there was at least an even chance
that in law they could make the public
bear the tax, preferred to assume the
burden rather than provoke criticism
and hostility, which an assertion of
their rights would assuredly have in
Cured. Motives of policy much more
than Of ethics decided the railways in
the course which they have taken. Ex-
press companies, evidently, have been
less influenced by fear of public criti-
cism, but they are seeking to evade no
liability. They only desire to find out
if any liability exists
Please read the article at your leis-
ure.
You will observe that the Railway
Age" takes practically the same view
Of the question ! suggested to you,
namely, that it was not with the rail-
road mpanies-certainly not all Of
them-a conviction that the law laid
this tax upon them, but one of policy
which decided them to assume its bur
den; and this policy was recommended
by the fact that the tax, when aver
aged on each freight transaction by
rail- is moderate and reasonable;
whereas when so applied to express
transactions, it is excessive and unrea-
sonable. The stamp tax, if paid by the
express companies, will, it is estimated,
amount to 3 per cent. on the capital
stock, or gross earnings, of the COM
bined express interests. The same per-
centage assessed on railroad business
would tax that form of industry about
S16O, 100000 on the capital stock; or
If applied to actual gross earnings,
about $50, 100000. According to a state
ment made by Senator Wolcott of Coll
orado, during the debate over the law
in the Senate of the United States,
1.-The express packages carried upon the
express lines of the country aggregate
about 1S0000,O00, or almost as many
as the number of packages or ship
ments carried by all the railroads of
the country put together"
/ could furnish you expoSitionS of the
stamp question as affecting express
companies by the press-in such papers
as the Springfield (Mass) "Republi-
can," New York Times New York
Post" New York Sun" New York
Nation" and other publications of
high standing and influence, but it is
not necessary to burden you or the
members of your association with a
multiplicity Of concurrent literature.
The articles from the Journal of Com
merce," July 4th. and from the Rail
way Age present the situation from
two andpoints-namely, that of the