Evening star. [volume] (Washington, D.C.) 1854-1972, 1902-04-07
Washington State Wants to
File a Bill Of Complaint
IN THE SUPREME COURT
CONSTITUTIONAL PROHIBITION
OF RAILWAY COMBINATION.
Statement Of the Law Officer Of the
State-Acquieseenee Of Counsel
for the Defendants.

Attorney General Stratton Of the state of
Washington today brought to the attention
OF the United States Supreme Court the
desire of that state to bring suit to pre-
vent the merger Of the Northern Pacific
and Great Northern railroads by moving
for leave to file a bill Of complaint on be-
half of the state VS.. Northern Pacific the
Great Northern railroad company and the
Northern Securities company. In making
the motion Mr.. Stratton said that counsel
for the defendants was present and pre-
pared to proceed with an oral argument II
the court was prepared to hear Them add
ing that the case involves the same ques-
tons as were presented in the Minnesota
case. He added that an immediate hear
Ing was desired because, it would save
another trip from the state Of Washington.
Ex-Attorney General Griggs who was
present as the representative of the rail-
road companies acquiesced in what Mr.
Stratton had said as to the desirability of
an early hearing.
The court announced that 1t would take
the matter under advisement and later in
struct counsel whether the court would
hear oral argument.
Constitutional Prohibition.
In the brief of counsel for complainant a
full statement of the facts In the case is
set forth The following provisions, it is
shown, are included in the constitution OF
the state Of Washington.
Article XII. section IA: No railroad COM
pany or other common carrier shall COM
bine or make any contract with the owners
or any vessel that leaves port or makes
port In this state, or with any common car
rier by which combination or contract the
earnings of one doing the carrying are to
be shared by the other not doing the car
rying.
Article XII, section 10: No railroad cor
poration shall consolidate It's stock, prop
erty or franchise with any other railroad
corporation owning a competing line.
Article XII, section %: Monopolies or
trusts shall meyer be allowed in this state,
and no INCORPORATED company, co-partner-
ship or association Of persons in this state
shall, directly or indirectly, combine or
make any contract with any other incor-
porated company, foreign or domestic,
through their stockholders, or the trustees
or assignees of such stockholders, or with any
co-partnership or association Of persons or
in any manner whatever for the purpose Of
or regulating the transportation of any
product or commodity"
The brief then cites that on or before the
LIST Of February, 1890. the st. Paul. Mime
apolis and Manitoba Railway Company con-
structed line Of railway across the north
ern tier Of the states OF the United States
lying west Of Lake Superior and on that
date leased the same for a period of 900
years to the Great Northern Railway Com
pany, corporation organized under the
laws of Minnesota.
The Northern Pacific Railway COMPANY
was organized under the laws of Wisconsin
In 1885 and Immediately succeeded to the
ownership, management, &C., of a line of
railway extending across the states re-
ferred to, including the state Of Washing
ton Both the Northern Pacific Railway
the state Of Washington subsequent to the
adoption of the above constitutional pro-
visions, and by so doing accepted the terms
OF the prohibitory features.
The Northern Securities Company.
1t Is shown that the Northern Securities
Company, New Jersey corporation, is by
its articles Of Incorporation authorized to
acquire by purchase, &C., stock of rail-
way companies.
1t also appears that the Northern Securi-
ties Company was organized at TIE instiga-
ton of parties subject to the control Of the
president and vice president of the Great
Northern Railway Company, conspiring
with the owners Of majority Of the stock
OF that railway. as well as with the mold
ers of the majority Of the stock Of the
Northern Pacific Company. From the
agreement or compact between these COM
panies counsel infers that the Northern Sc
curities Company designed to invade and
violate the constitution Of the state of
Washington. By their action they would
control all the railway lines Of these com
panies and fix the charges for transporta-
ton for freight and passengers which was
vested in single body Of men acting as the
board Of directors Of the Northern Secllrt-
ties Company
.Three-quarters of the stock Of each OF
the companies involved was delivered to
the Northern Securities Company, so that
the individual stockholders of the Compel
ed and a single common stock holder, the
Northern Securities Company, substituted
States Interest Affected.
The bill Of complaint sets forth that the
proprietary interests Of the state is affected
by this combination. The state owns up
ward Of 100000 acres Of land near these
railways, the development of which is al
most entirely dependent upon the trans
portation facilities furnished by them and
it is claimed that the value Of the land
will be greatly impaired by the conslida-
ton referred to-
The state also owns and maintains the
University of Washington, two hospitals
for the insane, three normal schools for the
education of teachers, state penitentiary
school for defective youth, a reform
school and soldiers home, and in the man
asement OF these institutions the state is
compelled to annually spend large amount
OF money Tor transportation of freight or
persons. The people Of the state also
would be seriously affected, it is claimed
and the public generally injured by the
striking down of competition between such
railway companies. which will result from
the consolidation referred to-
Counsel contends that the state is the
proper party to maintain an action in a
court Of competent Jurisdiction to restrain
an act which is against the general public
welfare and a violation of its laws The
state has sufficient proprietary interest
In the subject to restrain the infiiction Of a
threatened injury.
The action of the court in relation to this
bill Of complaint will be stated later.
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