The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-03-15

q state corporation VIII pfcNeHA the
Securities company from exercising its
functions, and wiz be an invasion OF
the rights OF the state under which the
company was chartered. he said:
We cannot conceive how it is pos
sible for any one seriously TO contem-
plate such proposition"
Continuing in this line. he said- We
reject any such view Of the relations
Of the national government and the
states composing the Union. It can
not be given effect without destroying
the just authority OF the United
States"
Discussing the question as to the eff
feet of the antitrust law on financial
Interests, Justice Harlan sadf the pre-
diction had been made that disaster 10
business and widespread financial ruin
would follow the execution of its pro-
visions, and he added that such predic-
tions had been made in connection with
all preceding questions under that act.
But" he said. they have not been
verified" and continued:
Shelter Not Tenable.
1T is the history of monopolies In
this country and England that predic-
tons Of ruin are habitually made by
them when it is attempted. by legisla
ton, to restrain their operations. and
" EAONECN TIE BuDlAC against AAAtli "a
actions In this, as in former cases,
they seek shelter behind the reserved
rights OF the states and the constitu-
tiOnal guarantee of liberty Of contract
But this court has heretofore adjudged
that the act of congress did not touch
the rights of the states and that liberty
of contract did not involve a right to
deprive the public of the advantages
of free competition in trade and COM
TRruF h 7rF cs1a r-ad
the gloomy forebodings in which the
defendants indulge. il could not refuse
10 respect the action Of the legisla tive
branch of the government. If what il
has done is within the limits of its con-
stitutional power The suggestions of
disaster to business have, we appre-
bend, their origin in the zeal of parties
who are opposed to the policy under
lying the act of congress or are inter
ested i'm the result of this particular
case at any rate. the suggestions i'm
ply that the court may and ought TO
refuse the enforcement of the provis-
ions of the act if. i'm its judgment, con-
eress was not wise in prescribing as "A
rule by which the conduct of interstate
and international commerce is to be
governed, that every combination,
whatever it's form. in restraint of such
commerce, and the monopoHzing or at
shall be illegal. These plainly are
questions as to the policy of legislation
which belong to the legislative depart
ment. and this court has no function
10 supervise such legislation from the
standpoint of wisdom or policy"
Argument Fallacious.
Justice Harlan set aside as fallacious
the argument that the acquisition Of
stock by the Northern Securities COM
pany was in the nature of an invest
ment. saying that there had been no
actual investment in any substantial
sense. In this connection he referred
! to Mr.. Morgan as authority for the
statement that the stock had been
transferred to the Securities company
merely for the purpose of suppressing
competition. and in support of this
statement quoted the testimony Of Mr..
Morgan in which he had said that the
Securities company had been created
a custodian because it had no other
alliances.
Referring to the decree of the circuit
court. Justice Harlan said that no valid
objection could be made to it in form
or in substance.
Discussing the effectiveness of relief
at the hands of the court, he quoted
approvingly the disposal by the circuit
| court of the point. and continued:
The circuit court has done only
what the actual situation demanded.
Its decree has done nothing more than
| to meet the requirements of the stat
ute"
Criminal Features.
Attention also was given to the ar
| gument that the antitrust act must be
| strictly construed in its criminal fea-
lures. Quoting a number of authOri-
| ties on this subject, Justice Harlan
said:
Guided by these long established
rules Of construction, ii is manifest that
| if the antitrust act is held not to en-
brace case such as is now before US,
! the plain intention Of the legislative
branch OF the government viii be de-
/ feated'
| Justice Harlan in conclusion said:
/ The judgment OF the court is that the
/ decree below is hereby approved with
| liberty to the circuit court TO proceed
/ in the execution OF its decree as the
| circumstances may require"
Brewers Opinion.
Justices Brewer. Brown. McKenna
and Day concurred in this opinion and
they. with Justice Harlan, constituting
a majority Of the court, made it the
! opinion of the court. Justice Brewer.
however, Gid not accept the reasoning
of Justice Harlan in all its details. and
| therefore delivered a brief opinion of
his own. He expressed the opinion that
some of the recent decisions Of the
court in antitrust cases had gone too
far, and after mentioning several OF
them said:
Instead of holding that the anti
trust act included all contracts. reason
able and unreasonable. in restraint of
/ interstate trade, the ruling should have
been that the contracts there presented
were in themselves unreasonable
restraints Of interstate trade, and
therefore within the scope Of the act.