The Dalles times-mountaineer. [volume] (The Dalles, Or.) 1882-1904, 1899-06-17
LAWS AGAINST TRUSTS.

The legislatures OF q NUMBER OI
states-the most notable among which
are Texas, Missouri and Arkansas
have passed strict antitrust laws,
. which, if they stand the test OF
Ne higher courts, will go long way
erd regulating unwholesome COM
{ations for the purpose of limiting
products and controlling prices. But
in Arkansas federal court has already
rendered ruling that will very great
ly modify the construction of the law
provided the decision is sustained by
the appellate courts. The Arkansas
law went so far as to prevent rating
agreements between insurance COM
panies, and some of the companies
closed up their business in the state,
but federal Judge has come to their
relief by holding that such rating
could only be prohibited by law when
made within the state. therefore those
institutions will remain and evade she
law simply by establishing rates at
their home Offices in other states.
By this decision question is raised
that will probably 60 to the supreme
court of the United States for final ad-
Indication. The point raised is, has
q state the constitutional right to
create such an Office as superintendent
of insurance and clothe 1t with powers
to regulate the business OF fire and life
insurance within its borders, and then
have the powers of that office limited
In the execution of its prescribed
duties to such acts as the companies
may agree upon within the state!
More fully illustrated the question is,
can a company or number OF COM
panies organized under the laws OF
several of the states agree upon poll
cy of doing thing that is prohibited
by law in another, and because of that
agreement not be amendable to the
laws of the state in which they seek to
do an unlawful act because the unlaw-
full act was agreed to outside of the
Jurisdiction of that state.
It is an established rule that state
cannot go beyond its own limits to
punish an individual or corporation
for the violation of its laws; but state
should have the power to punish
either for violation of law within its
borders though the primary violation
occurred without the state. 1t should
have the power to determine as to the
qualification of such criminal parties to
carry on business in the state, and
punish them or exclude them from
doing business therein, although the
parties doing the business are non
residents or have authority from other
states. But federal Judge of Ar
kansas has decided that illegal rates
made by insurance companies outside
do not exclude them from doing busi-
ness in Arkansas or make them
amendable to the laws of the state.
If this is good law it can be applied
legislation would be void. If it can
be applied to insurance companies it
can be applied to money lenders, for
instance, and would make all usury
laws INVALID, as for instance, money
lenders doing business in Oregon
could incorporate under the laws of
Washington, enter into combination
to not loan money for less than 20 |
per cent In this state, and their re-
ceiving greater rates of interest than
the law allows could not be held to be |
usury. Combines in all other indus
tries could be made, and states would
be left powerless to regulate them. It
Is not probable, however, tina. the SUI
preme court of the United states will |
sustain the decision of the Arkansas
Judge.