The sun. [volume] (New York [N.Y.]) 1833-1916, 1898-02-14
UNION LABEL LAWS VOID.
UN ooNSTrTUTI0NAJ, sAXs VICE
CHlNOELLOR sTEVENa.

A Sweeping Decision In the Few Jersey Court
ef Ch~nuoory-Labei Acts Grant Exclusive
Privileges which Are Fsrbiaaen-An APP
peal 20 Ne Taken u the Higher Court.
II the Court Of Errors and Appeals in New
Jersey ~sustainsR a recent decision In q suit before
the Court of Chancery the laws of that State
granting the exclusive use Of union labels
on union made goods will DO declared un.
constitutional, and this may lead to like
decisions in other States. vice-Chancellor
Frederic w. Stevens has declared that
the use Of union labels Is a privilege; that by
tho wording Of tho statutes relating to them
only the labels and Trademark adopted by asso-
Citations or unions Of workingmen are protected
from Infringement; and that this special 10
therefore unconstitutional.
Tho decision was rendered in the suit Of
Schmalz against tho firm of woolley & Crane
of Newark Schmalz represented tho United
Hatters of North America and the Union Hat.
makers Association Of Newark, and action was
taken to prevent the firm and others from using
on hats made by union mon o facsimile Of the
label OF the organization, which 10 tho only REQ
ognized matters union label.
The defendants demurred, and tho demurrer
was sustained on tho ground that tho State
could not constitutionally grant such a special
p prran as the use Of the union label to certain
The right to such q label lisa property right,
ana OF value, says the Vice-Chancellor. 1t Is
granted to some associations and some indi.
yid9als," not to all; which the Vice Chancellor
holds makes such grants special acts
tore Unconstitutional: Tho vice-Chancelior
holds that, an act of the New Jersey
Legislature has given the. quality Of prop
erty to tho use of union labels. Before its
passage the right of property In a label could
only be assorted by those who owned or traded
in tho goods to which 1t was applied. After it's
passage the use of u label became O species of
property In itself. without reference to whether
IL had ever been applied to any goods or not.
Again, by an act in 1859. this new property
right was given only to associations or unions
OF workingmen. II does not embrace other as
sociations than those OF workingmen. not those
has granted to some associations and to some
individuals a right not given to other associa-
tions and to other individuals.
1t was held that tho statute might be held to
apply to labels. trademarks, and forms of adver-
Using generally, not merely to those adopted by
associations or unions. Tho Vice-Chancellor
holds that this view is not tenable by the word
ing of tho law, and that therefore the law does.
as ho holds. unconstitutionally apply to special
classes only.
The first case of prosecution by a labor organ
goods was decided on Feb. 4, when Julius Kap-
Ian Of 90 Orchard street. New York city, was
convicted of using tho label of the United Hat
ters OF North America on hats made in O nom
union factory. A fine OF $3.50 was inflicted.
The United Hatters Of North America have
declared their intention of sparing no expense
in prosecuting such cases, and will in all proba.
bility appeal from the New Jersey decision to
the highest court of that State.