Oxford Democrat. [volume] (Paris, Me.) 1833-1933, 1905-03-07
Injunction Sustained,

In April, 1902, the Attorney General
of the United States, under direction of
President Roosevelt commenced action
against the alleged beef trust under
what was designated as the Sherman
Antitrust law. The charges were,
combining or cOnspiriAg to interfere
with Interstate commerce, or preventing
free competition among owners and sell
ers of live stock and packing house
products. The trial was before Judge
Grosscup of Chicago with the result
that an injunction was issued restrain
ing the meat packers from conspiring to
rIise the price of dressed beef while de-
pressing the price of cattle. Judge
Grosscup'S injunction contained the
following counts: (D Prohibits the
continuance of combination to sup
press competition in the purchase of
cattle for slaughter; (2) forbids the
maintenance of uniform prices in selling
meats; (3) forbids combination between
parties to obtain discriminating rates
from the railway companies. The in
junction was made permanent. An
appeal was then taken by the packers to
the Supreme court.
1t was practically established in Judge
Grosscup's court that by mutual agree
ment among themselves the packers
each day fixed the price of live cattle
which stock raisers were obliged to ac-
cept, and that the selling price of the
dressed products was also mutually
established.
The United States Supreme Court has
recently handed down decision through
Justice Holmes, concurred in by the full
bench, sustaining Judge Grosscup's in
junction against the beef trust in full.
In sustaining the injunction Justice
Holmes thus spoke:
1T charges a combination of domi-
nant proportion of the dealers in fresh
meats throughout the United States not
To- bid against each other in the live
stock markets of the different states, to
bid up prices for few days in order to
induce the cattlemen to send their stock
to the stockyards, to fix prices at which
they will sell and to that end to restrict
shipment of meat when necessary, to
establish a uniform rule of credit to
dealers and to keep black list, to make
uniform and improper charges for cart
age, and finally To get less then lawful
rates from the railroads to the exclusion
of competitors"
Attorney General Moody now believes
that there is no longer any possibility OF
4 misunderstanding on the part of the
trust. for the injunction accomplishes
the following objects:
First-It prohibits the continuance of
a combination TO suppress competition
in the purchase of cattle for slaughter.
This branch of the injunction will re-
dound to the benefit of the cattlemen
and farmers.
Second-The injunction forbids COM
binations to maintain uniform prices in
selling meats. This section of the in
junction will more directly affect the
consumers.
Third-It forbids combination between
parties TO obtain discriminatory rates
from the railroad companies. This
branch of the litigation will be of bene-
tit to the cattlemen and consumers alike.
It nov remains 10 be shown whether
the sherman Antitrust law is still be-
ing violated. 1t is stated that the Presi-
dent has instructed the Attorney Gener-
al TO see that, if proofs of violation can
be sustained, prosecutions shall be in
stitured
This all goes to prove that what the
people have long claimed of the COM
bined slaughtering firms, controlling at
their will the price of cattle and the
price of dressed meat, is true If this
action of the court succeeds in breaking
up such combination it may be expect
ed that the law of supply and demand
will again assert itself, and that the
cattle and meat trade will rest on
more rational basis.