The times. [volume] (Washington [D.C.]) 1897-1901, 1900-05-16
REPORT AGAINST TRUSTS
A Proposition Advanced TO Amend
the Constitution.
The House judiciary Committee
Would Have Congress Define, Reg
ulnte, Control, Prohibit. and Dis
solve MonOpOlies Existing I'm Form
of Corporations or Otherwise.

The House Committee on the Judiciary
yesterday agreed to favorably report a
joint resolution for an amendment to the
Constitution giving Congress power to
regulate trusts. The Democratic members
Of the committee opposed the resolution
on the ground that If adopted the amend
ment would deprive theSStates Of part of
their rights. Representative Parker voted
with the Democrats, but the other Repub-
lican members Of the committee voted for
the report. The proposed amendment
reads as follows:
Congress 81 ali have power to define,
regulate, control, prohibit. or dissolve
trusts, monopolies. or combinations,
whether existing in the form of corpora
tion or otherwise.
THE several states may continue to ex-
ercise such power in any manner not in
conflict with the laws of the United States.
Congress shall have power to enforce
the provisions Of this article by appro-
pirate legislation
The report Of the committee, to accom-
pany the measure. will say. in part:
THE necessity for additional constitu-
tional authority is shown by reference to
the recent decisions of the Supreme Court
of the United States bearing on this sub
ject. 1t is quite true that the Constitution
has stood the test Of more than a century,
but 1t is also true that during that time
fifteen different amendments to that in
strument have been submitted and adopted.
The necessity for each and the wisdom OF
all is now universally recognized.
1T is equally true that we are now con-
fronted by. ondition5-fnancial, CONNER
cial. and industrial-npt contemplated by
the trainers of the Constitution, and out of
which arises a necessity for legislation by
the Congress of the United States not fore
seen by the trainers of that instrument. If
dimly foreseen and intended to be provided
for by the interstate commerce clause Of
the Constitution the recent decisions of the
Supreme Court OF the United States demon
strate that the power actually conferred
upon Congress is insufficient to enable 1t to
meet and remedy evils which have grown
to such proportions and have become SO
far-reaching that they are now national in
their influence. and really, though indi-
rectly. dominate interstate commerce while
they form no part of it. and are not there
fore. within the constitutional power OF
Congress to repress or remedy
In general language the necessity for
such constitutional amendment may be
summarized in the following propositions:
First-The existence OF monopoles and of
combinations, so-calied trusts, formed for i'm
proper purposes, purposes detrimental TO the
prosperity OF the people, and relating to and
seriously affecting manufacture, production, and
business. IS generally conceded.
Second-The Supreme Court OF the United
States has decided that Congress is without con-
s'itutional power to repress them, or to regulate
or control them when formed and operating in
the States except as to the carrying Of inter
state commerce.
Third-Manufacture and interstate commerc,
are SO intimately connected and mutually depend
ent, and affect all the people of all the States
that Congress should possess power over both. II
1t was wise and beneficial TO give Congress power
over interstate commerce, it is unwise and ri
mental to deny it power over manufacture and
production. which may, and many times do, dom
mate such commerce.
Fourth-Congress may regulate and control in
terstate commerce land create, CONTROL and dis
solve corporations TO carry il oa). nut not man
uiacture or production, which is no pa,t of COM
merce, even when MONOPOLY In. manufacture
seriously affects and cripples and, it may be,
TO its own products substantially destroys inter
state commerce.
Fifth-Monopoly combination, or conspiracy In
manufacture or production Of any kind is no part
is now beyond the reach OF national protection or
action. No power to repress or control mcnopo-
lies Of any kind is conferred on Congress by the
Constitution. unless it be monopoly to control
interstate commerce, which may &c doubted.
Can Congress prevent the ownership by New
York corporation or tote controlling it OF every
railroad and every steamship line in the United
States2
Sixth-Most monopolies. and nearly all the great
combinations or trusts formed for improper pur
poses. extend their operations and business into
all the States and Territories, and affect the
business and property interests OF nearly all our
people, thus becoming, in strse, national in
their character Hence they should be subject
and smenabie to uniform laws operative through |
out the United States and the territory thereof,
and which Congress alone is competent TO enact |
These laws should be enforced by the courts of
the United States. thus securing uniformity OF
administration. |
seventh-1he several States are powerless to en-.
act any laws operative outside their respective |
territorial lmits Usually the laws of the one |
State differ from those of every other, and hence
a monopoly, conspiracy, combination, or trust
forbidden by the laws of one State may and fire. |
quently does exist in another. and by pur-
chase or otherwise may and frequently does obtain
of all competing organizations in the |
United States, and so becomes national monop- |
oily. That is, tlroughc:i. the United States and the
Territories il monopolizes and controls the mani
facturc and production Of and commerce in certain
articles and fixes the price at will
Eighth-No State can exclude from its territory |
the corporation OF another state engaged IN IN |
terstate commerce. and hence a monopoly in man.
rtactufe existing in one State il also engaged in
interstate commerce. may, far any State !
is concerned. carry its product into every State
and control the price and market everywhere.
Nintl-These evils and others incident thereto |
can .. effectively remedied by constitutional |
amendment and subsequent Congressional action
only.
The report deals at length with the /
that the protection policy is |
responsible for trusts and its decision is In
the negative
Continuing. the report recites:
I'VE raise no cry against legitimate en-
erprises-legitimate combination of cap
ital In great or small business, manufac-
turing and productive corporations where
by production is increased and the cost OF
production may be and frequently is re-
iuced and great and general good accom-
plished. With the reduction Of the cost
of manufacture or production. other con-
iitions remaining normal, there should be
and many times is found corresponding
of cost to the user and con-
sumer of the manufactured product. a
reasonable profit to the capital engaged