The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-04-12
Minnesota Against North
ern Securities Co.
VICTORY FOR STATE
The Supreme Tribunal of the Nation
Holds That the Federal Courts
Have no Jurisdiction,
That it is a State
Matfnr
Matter.
(Ry the. Associated Press J

Washington, D. c., April 1.-THE Uni
ted States Supreme Court today decided
the case of the State of Minnesota VS..
Tie Northern Securities Company and the
Northern Pacific and Great Northern Rail
way companies involving the validity of
the merger of the two railroad companies,
holding that it was without jurisdiction
and reversing the opinion of the court
below
Justice Harlan who delivered the opin-
ion said that the Circuit Court should
not have entertained jurisdiction in the
case, the effect being to remand the case
to the State courts.
Justice Harlan called attention to the
fact that the proceeding was for the pur-
pose of enforcing both the State laws and
the Federal Antitrust act, saying that
the Circuit Court could not have taken
jurisdiction if only the State statutes had
been involved. Talking up the Federal
law and analy2ing its provisions he said
1t was clear that the case cid not belong
to any OF the classes provided for by
that law.
The contention that the case involved
proprietary interests of the State was
not allowed to influence the opinion. On
that point the court said the injury was
at most only remote and indirect.
The court also refused to hold that
Minnesota dignity or rights as State
would be affected under Article " of
the Federal Constitution by permitting
the stock of corporations of that State to
be held by an outside corporation like
the Securities Company. Justice Harlan
said the court did not think that the
article of the Constitution had any bear
ing whatever on the question.
He said in conclusion:
For the reasons stated we are are Of
the opinion that the suit does not use
tfc words of the act of 1S75--really and
substantially involved a dispute on con-
troversy within the jurisdiction of the
Circuit Court for the purpose OF a final
decree. That being thecase, the Circuit
Court following the mandate of the
statute should not have proceeded there
in, but should have remanded the cause
to the State court.
THE decree 0f the Circuit Court is re-
versed and the casa is sent back with
additions that it be remanded to the State
court
The opinion of the court was unani-
nous.
ST. Paul, Mimi, April 1.-THE Supreme
Courts decision in tne case of Minnesota
against the railway merger, is considered
by the States legal officers virtual vic
tory for the State, although it puts the
litigation back exactly where it was when
the suit first began. This was the orfgi-
nal suit against tho merger and began
before the Federal government began it's
action. 1t was transferred from the State
to the Federal court. Judge Lochran in
the Federal District Court assumed jurs-
diction and decided the case on its merits
against the State. The United States
Supreme Court now says virtually that
Judge Lochren should not have assumed
jurisdiction and should have not decided
that the merger was a legal corporation
that could not be reached by the laws of
Minnesota. The suit now goes back to
the State courts.