The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1898-10-25
JOINT TRAFFIC
CASE Is DECIDED.


NO64i0u0G rom E88S OHc.
contracts IN restraint OF trade are not
nsesssas1y pfeiacsciai to the welfare ana
security Of society, and that congress =
without power TO prdh.bit generally al
contracts In restraint Of trade and that the
efforts TO do THE snvalidasss the act In
question"
Justice peckham comments upon the
fears expressed BY counsel for the railroad
association that the fact OF these decisions
would be far-reach!ng. rendering Illegal
most business contracts or combinations,
euch IS contracts 20 maintain wages. con-
tracts OF incorporates for any line Of bust
nesa or partnership contracts
This makes quite q formidable list,
the opinion states. ''hu, ii will be observed
that no contracts Of The nature described
are now before the court"
The formation Of corporations has never
nature OF contracts in restraint CT trade.
The came IL true Of partnerships
Proceeding. the opinion says:
"Haa not congress-. with regard to inter-
state commerce and In the course OF reSu-
laiing Il. In the case Of railroad companies.
the power to say that no contract or COM
binatien shall be legal which shall restrain
trade and commerce by shutting out the
operation Of the general law OF compe;i-
t.ou7 We think II HIS. The busi-
meas Of a railroad carrier 10 OF . public
nature, and In performing II the carrier
Is also performing TO q certain extent .
function of government which requires
them TO perform the service upon equal
terms to all. This public service. that OF
transportation OF Passengers and freight.
Is part Of trade and commerce. and when
transported between states sach commerce
becomes what - described an intersta te,
and comes to a certain extent under the
jurisdiction Of congress-, by virtue OF Its
power TO regulate commercs among the
several states. When the grantees Of this
public franchise are competing railroad
companies for Interstate commerce, We
think congress Is competent to forbid any
agreement or commission among them by
means OF which competition y to be
smothered
I'VE think 1t extends al le&st to the pro-
hfbftion OF contracts relating to interstate
commerce. which would exiinguisn all com
petition between otherwise competing
railroad corporations, and which would. ia
that way, restrain interstate trade or COM
merce
I'VE do not think that when the grantees
OF this public franchise are competing rail-
| roads. seeking the transportation OF men
| or goods from one state to another, that
| ordinary freedom Of contract in the use OF
| management in their property. requires
| the right to combine as one consolidated
and powerful association for TIE purpose
| OF sitting competition among themselves
| and Of thus keeping their rates and
| charges higher than they nigh otherwise
| be under the laws OF competition. And
| this is so. even though the rates provided
not more than are reasonable. They may
| easily and at any time be increased. 1t is
| the combination OF these large and power
fui corporations, covering vast sections OF
| territory and Influencing trade throughout
| the whole extent thereof and acting as one
| body In all the matters over which the
combination extends, that constitutes the
| alleged EVIL. and in regard TO which. so
| far as the combination operates upon and
restraints Interstate commerce. congress
has power to legislate and to prohibit. The
prohibition OF such contracts may. in the
| Judgment OF congress. be one of the rea-
sonahie necessities for the proper regula-
ton or commerce. and congress is the
Judge OF such necessity , and propr,ety -. nn,
to for relief
Referring to the claims of counsel re-
gardsng the general constitutional right Of
the citizens to make contracts and the ex-
tent OF individual liber.y under the four
teenth amendment, the opinion says:
a proper Chat Is. lawful contract. one
which Is also essential and necessary In
carrying out his lawful purpose. The Ques-
ton which arises here is whether the con-
tract is a proper or lawful one. We pre-
sumo It viii be contended that the right
or the citizen 10 pursue any livelihood or
| vocation includes every means Of liveli-
hood. whether lawful or unlawful. Not
w!thstanding the general liberty OF con-
frac. which is possessed by the citizen I'M
der that constitution. while not in them
selves immoral or 'mala In Ee.' may yet be
prohibited by the legislature Of the state
or In certain cases by congress. The ques-
ton Is for us one OF power only, and not
one of policy. We think the power rests
| in congress-. and the statute therefore is
valid"
Justice Peckham deals finally with the
plea advanced that the court should re-
trace its steps because OF the widespread
alarm with which the trsnsmissouri deei-
sion was received and the serious conse-
auences which have resulted or may soon
result.
After reviewing the care taken In reach
ing the former decision. the opinion says:
And now for the third time the same ar
gumenis are employed and the court Is
again expected TO recant its former opn-
hon and to decide these same questions in
direct opposition to the conclusions arriv-
cd at In the transmissouri case. As We
have twice already deliherated and ear
nestly considered the same arguments
which are now for third time pressed
upon or attention. i could hardly be
change from that already expressed. We
have listened TO the same arguments be-
cause the erfinencs of the counsel engag-
ed. Their earnsssness and zeal. their evil
dent belief IN the correctness Of their prop
ositsons. and. most important of all, the
grave nature OF the questions involved,
calied upon the court again 10 give these
arguments respectful attention"
Referring TO the counsels claim that
the only resort open 20 railroads to save
themselves from ruinous competition is
that OF agreements among themselves TO
check and control it, Justice Psckham
says:
The natural, direct and immediate e.
feCt of competition 20 lower rates and "a
thereby increase the demand for c0rumosi
ities ne supplying OK which Increases com
rnefce- ana an agreemen; whose first and
direct effect IS 10 prevent this play Of
competition. restSains instead OF promoting
trade ana commerce
Whether. in the absence o. an agree
snent as 10 rates. the consequences fsarss
by counsel viii In fact follow is a matte
OF very great uncertainty. Railroads NAV
and often do. continue IN existence ara
engage In their lawful traH3c at say,s
proat although they are connecting RAJ
roads and are without Combination on
rates" wa
In conclusion the opinion saws: TT ss NJ.
only possible hu. probably that good sanss
and integrity OF purpose would rrevs i
WA -