The Montgomery advertiser., 1904-03-15

that such rule Is prohibited by ths Constitution or is not one that Congrcs, could appropriately prescribe when exert ing its power under the commerce clause of the Constitution? Whether the free operation of the normal laws of compe- tition Is a wise and wholesome rule for trade and commerce is an economic Ques- ton which this country need not con- sider or determine. Many persons. we may judicially know. of wisdom, expe- rfence and learning, believe that such a rule is more necessary in these days of enormous wealth than it ever was In any former period of our history; indeed. that the time has come when the public nee.ls to, be protected against the exactions of corporations welding the power which attends the possession of unlimited cap ital. Be this as 1t may, Congress has m effect recognized the rule of free com petition when declaring Illegal every combination or conspiracy in restraining of interstate and international commerce. If. in the Judgment of Congress, the public convenience or the general well fare will be best subserved when the natural laws of competition are left un- disturbed by those engaged in interstate commerce. that must be for all the end of the matter If this is to remain gov. ernment of laws and not of men,"
 Taking up the contention that railroad corporations created under the laws of a State can only be consolidated with tlss consent of that State. Justice Harlan said he could not understand why this suggestion was made in this case. "for," he went on. "there Is no pretense that the combination here was under the au- thority of the States under whose laws these railroad corporations were created" :" z. Vested in Congress.
 He then quoted the case of Gibbons vs. Ogden to the effect that "the power over commerce with foreign nations and among the several States Is vested in Congress. as absolutely as 1t would be n a single government having in It's constitution the same restrictions on the exercise of power as are found in the constitution 0: the United States"
 At this point. Justice Harlan announced the inability of the court to concur h the view that the antitrust act Is repugnant to the Constitution of the United States. The contention of the defendants. he said, could not be sustained without in ef- feet overruling the prior decisions of this court as to the scope and validity of the antitrust act If. as the court has held. d between private persons. or private coz porations that restrain trade among the States, in Iron pipe or in ties. grates and mantels. surely 1t ought not to De doubt. ed that Congress has power 10 declare iilegal a combina ton that restraints com. inerce among the States and with for. eigr nations as carried on over the lines of competing railroad companies in the exercise of public franchises. and engaged in such commerce."
 Proceeding further, in propoundlng this line of argument. he said:
 sIndeed, if the contentious of the de- fendants are sound. why may not all the railroad companies in the United States that are engaged under State charters, in interstate and international commerce, enter into a combination such as the one here in question, and by the device of holding corporation obtain the absolute control throughout the entire country oi rates for passengers and freight beyond the power of Congress to protect tho public against their exactionsr
 No Invasion of Rights.
 Coming again to the consideration of the contention that interference by the Federal government with the affairs of . State corporation will prevent the secu- rites company from exercising Its func' tions and will be an invasion of the rights of the States under which the company was chartered. he said;
 I've cannot conceive for it to be pos sible for any one to seriously contemplate such proposition" Continuing on thls line he sad:
 we reject any such view Of the reia. tions of the national government and .thC States composing the Union. II cannot he given without destroying the just au thority of the United States. Every cor created by a State is necessarily subject to the supreme law of the land And if the suggestion is made that 10 re- strain a state corporation from interfer inR with the free course of trade ana commerce among the States. in violation of, an act of Congress, Is hostile to thu reserved rights of the States.
 '"rhe Securities Company is itsess par of this combination: its head and iron its trustee. It would be extraordinary | the court fin executing the act of Con gress. could not lay hands upon that com pary and prevent it from doing tha which If done. will defeat the act O Congress Upon like grounds the co:rt without interfering with the rights q any State car. by appropriate orders. pre- vert the two competing railroad compa nies herein involved fror: co-operat!ni with the securities company in restrain iaa commerce amorg the States. 1: short. she court may make any orde necessary to bring about the dlssolutio: Of ar illegal combination that restrairi interstate commerce All this car b. done without infringing in any degree upon the just authority Of States" The Result on Business.
 Discussing tie question as to the eEec 0. the antitrust law or financial i=ter ests, Justice Harlan said the prediction had been made that disaster to b1s.res ard widespread financial ruin would fol low. .he execution of i:s provisions aSC he added that euch predictions had beer made i. connection with al: preceding cases under that act. ''but." he said "they have not been verified"
 " Justice Harlan set aside as saHaciou'
 the argument that the acquisition O.
 stock by the Northern Securities Com ,pany was 1. the nature o: an investment
 saying that the=e had been no actual i1
 yestment in any substantial sense. Y
 this connection he referred to M-. Mor'
 gar as authority For the statement that tee stock had been transferred to the
 securities company merely for the pur' pose Of suppressing competition, and !. support Of this statement he quoted the testimony of Mir. Morgan. i3 which hC sad that the Securities Company had been created a custodian because fl had TO. other alliances. This" said Justice Harlan. disclosed the actual nature oi the transaction which was only te organize ;he Securities Company as a LAaAN-~ ta AaNAR os